Explainer

What’s a ‘Secondary Tariff’ Like the One Trump Imposed on India?

Trump's 50% Tariffs on India Take EffectPhotographer: Sumit Dayal/Bloomberg

In his second term as US president, Donald Trump has used tariffs as a blanket solution to pursue a wide range of goals: increasing domestic manufacturing and foreign market access, boosting federal revenue, and even punishing the government of Brazil for prosecuting his political ally, former President Jair Bolsonaro. Now he’s deployed a tool he calls a “secondary tariff” in an effort to get countries to distance themselves from US adversaries.

Such a tariff on imports from India took effect on Aug. 27. On top of a 25% levy on goods from India imposed earlier, Trump added an additional 25% tariff to penalize India for buying oil from Russia.