Too soon to comment on impact of US tariffs on Indian economy, commerce ministry reviewing the situation: Nirmala Sitharaman

Finance Minister Nirmala Sitharaman today said it is too soon to comment on the impact of the tariff changes announced by the Trump administration on the Indian economy.

“Impact on the Indian economy is too soon for me to comment. But on trade particularly, aside from the Indian economy in general, the commerce ministry is reviewing the situation and the delegation will have to take a call on when they would like to go (to the U.S.) for further negotiations,” said Sitharaman after addressing a post-budget meeting with the RBI Central Board Directors in New Delhi today.

Both India and the US had finalised a preliminary understanding of the trade deal and the agreement was supposed to be signed in the March. However, in the wake of the US Supreme Court invalidating the Trump tariffs on Friday, and US President Donald Trump imposing additional 15% tariff after the ruling, India has postponed the visit of the delegation for the talks.

Commerce ministry studying developments: Govt

In a statement issued on Sunday, ministry of commerce and industry said it had taken note of the ruling and President Trump’s remarks at a press conference following the verdict. 

“We have noted the US Supreme Court judgement on tariffs yesterday. President Trump has also addressed a press conference in that regard. Some steps have been announced by the US Administration. We are studying all these developments for their implications,” the ministry said. 

Last week, the US Supreme Court ruled that unilateral imposition of tariffs on multiple nations without Congressional ratification violated the federal law. This comes as a major legal setback to Trump’s aggressive trade policies, which he adopted ever since taking over the reins as the US president for second time last year.

Chief Justice John Roberts issued the majority opinion, and the court agreed 6-3 that the tariffs exceeded the law. “The president asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope," Roberts wrote.

“In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorisation to exercise it," the Chief Justice added. The court ruled that the emergency authority which trump took recourse to “fell short" of authorising him to impose tariffs.

The case -- ‘Learning Resources v. Trump’, and ‘Trump v. V.O.S. Selections, Inc.’ – was filed in the US Supreme court last year in the wake of the tariffs imposed by the trump administration. The US Supreme Court, deliberated on whether the Trump administration had the authority under the International Emergency Economic Powers Act (IEEPA) to announce various tariffs via executive orders.

Supreme Court ruling disappointing: Donald Trump 

On April 2, 2025, Donald trump signed the ‘Liberation Day’ tariffs, issuing the Executive Order 14257, imposing tariffs on every trading partner across the globe. Trump regime argued that the measures were paramount to insulate the US economy, and jobs, and address persistent trade issues.

Responding to the ruling, U.S. President Donald Trump said the ruling is “deeply disappointing”.

During a briefing moments after the verdict, he announced imposition of10% additional tariffs over and above the normal tariffs already being charged and will initiate investigations to protect the U.S. from unfair trade practices of other countries and companies. Later, trump increased the additional global tariff to 15%.