India is grappling with the United States’ imposition of a 25% tariff on its exports effective August 7, 2025, with an additional 25% set to apply from August 27, potentially impacting $48.2 billion in merchandise exports, as stated by Minister of State for Commerce and Industry Jitin Prasada. This escalation stems from tensions over India’s purchase of Russian oil amid the Russia-Ukraine conflict, affecting sectors like textiles, engineering goods, and dairy products, while sparing pharmaceuticals and electronics. To counter this, India is urged to diversify trade partnerships, capitalizing on the July 24, 2025, free trade agreement with the UK that grants 99% duty-free access for Indian exports and aims to boost bilateral trade to $120 billion by 2030, alongside pursuing a potential EU deal. Domestically, accelerating reforms under initiatives like Make in India will enhance strategic autonomy in semiconductors, AI, and defense, drawing from UPI’s success in reducing foreign reliance. The government vows to safeguard farmers, workers, and MSMEs through export promotion and mitigation strategies, transforming challenges into opportunities for self-sufficiency.