The 25% tariff imposed by Donald Trump on India seems to be a profitable deal for countries like Vietnam, because 20% tariff has been imposed on it and this country is in direct competition with India in many major sectors, including electronics, textiles, marine food.
On one hand, while US President Donald Trump was constantly issuing updates about the India-US Trade Deal and hinting that the tariff on India could remain below 20%, now his announcement has surprised everyone, because along with imposing a high tariff of 25% on India, he has also announced a penalty on doing Russian business. However, there are about 16 countries on which Trump has imposed a tariff higher than India.
In the list of countries on which Trump has dropped the tariff bomb so far, Brazil is at the top with 50%, 40% on Myanmar, 26% on Thailand and 35% on Bangladesh. So after the agreement with many countries, they have been given relief in tariff and it has been reduced as compared to earlier. Let’s understand the reasons as well. Which countries are feeling relieved in this tariff war and are taking it as an opportunity, and which ones seem to be losing?
Till now, tariffs on these countries range from 15% to 50%
India is the newest name in the list of countries for which new tariffs have been announced by America and Trump tariff letters have also been sent to them. If you look at the tariff rates imposed on various countries till now, then Trump has given the biggest blow to Brazil.
| Country | Tariff |
| Brazil | 50% |
| Myanmar | 40% |
| Laos | 40% |
| Cambodia | 36% |
| Thailand | 36% |
| Bangladesh | 35% |
| Serbia | 35% |
| Canada | 35% |
| Mexico | 30% |
| South Africa | 30% |
| Bosnia and Herzegovina | 30% |
| Sri Lanka | 30% |
| Algeria | 30% |
| Iraq | 30% |
| Libya | 30% |
| China | 30% |
| India | 25% |
| Brunei | 25% |
| Malaysia | 25% |
| south korea | 25% |
| Vietnam | 20% |
| Indonesia | 19% |
| Philippines | 19% |
| Japan | 15% |
Talking about other countries, this list includes Kazakhstan (25%), Moldova (25%), Tunisia (25%) and European Union with 15%. New tariffs are going to be implemented on all these countries from August 1, 2025, but in the meantime, the most shocking decision has been taken by the US regarding India. Looking at the list, it is clear that there are 16 countries like Brazil, Myanmar, Bangladesh, Canada, Mexico, which have been more victims of Trump tariffs than India.
It was expected to remain below 20%
Earlier, during the ongoing talks between Trump and India about the trade deal, it was being indicated that the US Tariff on India could remain below 20%. Trump had said that it is not necessary to send letters to every country, the tariff on those countries which are trade partners will be 15 to 20% only. But now that the US President has announced a 25% tariff on India and a penalty on trade with Russia, it is contrary to expectations and is shocking.
Worry in India, celebration in Vietnam!
While the announcement of 25% tariff on India has increased concern among Indian exporters, thousands of miles away from Delhi, Vietnamese exporters are quietly celebrating it. The big reason behind this is that with only 20% tariff on its goods going to America, Vietnam is now gaining a significant lead of 5 points over India. But it is not just about points, but also about time, situation and preparation.
Vietnam is already competing directly with India in several key sectors, including electronics, textiles, marine food (especially shrimp). These sectors account for about 5% of India’s $91 billion exports to the US and Vietnam is poised to grab them. Its supply chain is also strong and its relations with American buyers are also strong. Apart from this, Vietnam has also signed a trade agreement with America before the tariff war escalated and it seems to be getting the benefit of taking the first step.
Indonesia – Philippines also in a strong position
Not only Vietnam, but Indonesia is also in the list of countries with advantages. Due to the July 2025 trade agreement, Jakarta’s exporters will face a 19% tariff, which is 6% less than the tariff imposed on India. If the fines related to the Russian businessman, as announced by Trump, are also added, then it looks in a better position. However, Indonesia is focused on high value sectors like textiles, electronics and palm oil.
Philippines has also been given relief from the earlier 20% and it is likely to get a slight advantage compared to India, especially in the textile and electronics sector. Talking about Malaysia, its tariff is 25%, just like India, but after the announcement of additional penalty for India, it also joins the list of winning countries, because Malaysia seems to be gaining an edge in the absence of any such burden. Especially in the electronics sector, where it competes directly with India.
There is concern in India, but these countries are suffering from US tariff
While Trump’s 25% tariff is considered a big setback for India, the situation of its South Asian neighbours is even worse and they have been seen losing the Tariff War. In the list of these countries, Bangladesh, which was once a major competitor in the textile sector, is now facing a 35% tariff. Due to which its products have become less competitive than Indian products. This is when its $6 billion garment sector is already facing difficulties. Sri Lanka is grappling with a 30% tariff on its $1.9 billion textile exports.
The special thing is that Trump Tariff may harm India, but it is also causing problems to the neighboring countries. South-East Asian countries like Vietnam are ready to meet the shortage of products in the US market, while India is looking like an unexpectedly strong player for South Asia and is ready to take market share from its struggling neighbors.
