US President Donald Trump's decision to impose 25% tariffs on goods imported from India could hit the country's growth prospects, experts say.
It is unclear how big the hit could be, given that Trump has announced an unspecified penalty in addition to the 25% tariff rate.
In a post on his Truth Social platform on Wednesday, Trump said the penalty would be imposed on India starting 1 August for buying Russian oil and weapons "at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE".
Experts say further details on the fine print of the penalty will be crucial to determine the actual economic impact of the decision.
"The tariff (and penalty) now proposed by the US is higher than what we had anticipated and is therefore likely to pose a headwind to India's GDP growth. The extent of the downside will depend on the size of the penalties imposed," Aditi Nayar, chief economist at ratings agency Icra, said in a statement.
