US President Donald Trump’s sweeping tariff agenda has fundamentally reshaped global trade since he took office in January 2025. By March 2026, the United States has imposed or threatened tariffs on goods from dozens of countries — setting off retaliatory measures, WTO disputes, emergency court rulings and major supply chain disruptions worldwide. The Trump administration has now launched a fresh Section 301 trade probe targeting 16 nations including China, India and the European Union, raising fears of a new round of tariff escalation by summer 2026.

Key Milestones: The Full Timeline

February 2025: Trump imposed 25 percent tariffs on imports from Mexico and Canada, and 10 percent tariffs on Chinese goods, citing fentanyl trafficking as the primary justification.​

March 26, 2025: Trump unveiled a 25 percent tariff on all imported cars and light trucks — a move that inflated vehicle prices across the United States and rattled the global automotive industry.​

April 2, 2025 — “Liberation Day”: Trump announced sweeping global tariffs with a 10 percent baseline on virtually all US imports, with significantly higher duties on specific countries. China was ultimately hit with tariffs reaching 145 percent.​

April 9, 2025: Trump paused most country-specific tariffs less than 24 hours after they kicked in, maintaining only the 10 percent blanket duty — a move widely seen as a tactical retreat after bond markets reacted sharply.​

May 9, 2025: Trump and British Prime Minister Keir Starmer announced a limited bilateral trade agreement, leaving 10 percent tariffs on British exports in place but reducing duties on British car exports.​

May 12, 2025 — US-China Truce: The United States and China agreed to temporarily slash tariffs. The US cut its extra tariffs on Chinese imports to 30 percent, and China issued a parallel pause on extra tariffs — giving both sides 90 days to negotiate.​

June 4, 2025 — Steel and Aluminium Hit 50 Percent: Trump signed an executive order doubling tariffs on all imported steel and aluminium to 50 percent — the highest level ever imposed by the United States on these materials. “At 25 percent, they can sort of get over that fence. At 50 percent, they can no longer get over the fence,” Trump told workers at a Pennsylvania steel plant. The move has severely inflated costs for the automotive, construction and manufacturing sectors.

July–August 2025: Trump imposed an additional 25 percent tariff on Indian goods, citing India’s purchase of Russian oil. Tariffs on Indian exports climbed to a peak of 50 percent — covering textiles, pharmaceuticals, engineering goods and more.

August 21, 2025 — US-EU Framework Deal: The US and EU locked in a framework trade agreement setting duties at 15 percent on most goods imported from Europe, with Washington pledging to reduce the 27.5 percent levy on cars and car parts provided Brussels delivered reciprocal tariff cuts.​

August 11, 2025: Trump extended the tariff truce with China for another 90 days, withholding three-digit duties until November 10.​

January 2026: Trump threatened tariffs on eight European allies over the Greenland dispute, further straining transatlantic relations.​

January 27, 2026 — India-EU Free Trade Deal: In a direct response to Trump’s tariff pressure, India and the European Union clinched a landmark free trade agreement after nearly 20 years of negotiations. The deal covers 2 billion people, represents 25 percent of global GDP, and could increase bilateral trade to $200 billion by 2030.​

February 2026 — India-US Framework Agreement: In a significant development, the United States and India struck a framework trade deal — lowering US tariffs on Indian goods from a peak of 50 percent to 18 percent. India committed to reducing tariffs on US industrial and agricultural products and pledged to purchase $500 billion worth of US energy, aircraft and technology over five years.

March 2026 — New Section 301 Probe: The Trump administration launched a fresh trade investigation targeting 16 nations — including China, India and the EU — for alleged excess industrial capacity and dumping. The US Trade Representative has set April 15 as the deadline for public comments, with a formal hearing in early May and potential new tariffs before July 2026.

Impact on India

India faced one of the most turbulent tariff journeys of any US trading partner — with duties peaking at 50 percent before falling to 18 percent under the February 2026 framework agreement. The deal gives Indian goods a competitive edge over Chinese products in the US market, according to Commerce Minister Piyush Goyal. However, the new Section 301 probe launched in March 2026 has introduced fresh uncertainty, with trade bodies warning that new tariffs could arrive as early as summer 2026.

India has also diversified its trade relationships in response to US pressure. The landmark India-EU free trade deal signed in January 2026 has opened new avenues for Indian exporters in Europe, partially offsetting the US tariff burden.​

Impact on China

China has faced the most severe tariff treatment of any US trading partner — with duties at one point reaching 145 percent. The May 2025 truce brought extra tariffs down to 30 percent temporarily, and extension through November 2025 provided some breathing room. However, the March 2026 Section 301 probe signals that the Trump administration is preparing for a new round of pressure on Beijing, with US officials simultaneously preparing for trade talks with Chinese counterparts in Paris ahead of a possible Trump-Xi meeting.

Global Trade Disruption Continues

Economists warn that the cumulative effect of Trump’s tariff policies has significantly raised consumer prices in the United States and disrupted global supply chains. The International Monetary Fund has downgraded global growth forecasts, citing trade fragmentation as a key risk. The ongoing US-Israel-Iran war has compounded these pressures by driving up global energy costs, further straining import-dependent economies. A comprehensive resolution to global tariff disputes remains elusive as the Trump administration prepares yet another round of trade investigations.

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