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Recently in November 2025, USA announced to reduce imports tariff on total 200 products as per HSN code from India. The duty reduction will be effective from 13th Nov 2025 after reciprocal tariff documents being signed by white house on 12th Nov 2025. The additional tariff on these products have reduced form 50% to 0%, now these products will be subject to nominal tariff as per MFN ( Most Favoured Nation).
The products are of Annexure II of HTSUS (Harmonized Tariff Schedule of the U.S.) , the 8 digits HS codes excluded from tariff. The products includes – Tea & Coffee, Spices , fruits and nuts.( Speciality teas, coffee, and fruit juices, Mango-based products, pomegranates, bananas, and cashews, Cocoa and certain fertilizers, Black pepper, cloves, cumin, cardamom, turmeric, ginger, and curry spices).
The over all impact of this will be on the 1% of the total monetary value of exports from India to USA, the impact will be on 1 billion USD of the total exports of approx. 100 billion USD.
There will be increase in demand and exports for these products from India but this not impact to a demand driven freight increase from India since the volume in MT will not be so high.
This tariff reduction is seen as a positive sign for India- USA ties which was not doing to good since last few months.
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