The reciprocal tariff levy by the US is seen to pose both short-term as well as long-term challenges for India’s economy, trade relations, and currency markets.

The United States has flagged concerns over India's increasing and burdensome import-quality requirements, among its many barriers to trade, in a report released two days before planned U.S. reciprocal tariffs take effect.

Talking about India, Donald Trump called Prime Minister Narendra Modi ‘a great friend’ but added that the country was ‘not treating us right’. "Their Prime Minister (Naren