These tariffs would drastically undermine the price advantage Indian drug makers currently enjoy in the US, especially in cost-sensitive markets like federal health schemes and among low-income patients.

President Donald Trump said on Tuesday that the United States would initially place a "small tariff" on pharmaceutical imports before hiking it to 150% within 18 months and eventually to 250% in an effort to boost domestic production.

US President Donald Trump signaled Tuesday that fresh tariffs on imported pharmaceuticals and semiconductors could be unveiled within the coming week, in his ongoing push to reshape global trade.

India buys about 90 per cent of its crude oil from overseas and has been the biggest market for Russian seaborne crude since 2023, according to ship tracking data compiled by Kpler. India imports about 5mn barrels of oil a day, of which 2mn come from Russia.

India’s government is scrambling to contain the economic fallout from President Trump’s threatened tariff action.

The RBI governor hoped that India and the US will reach an “amicable solution” for both nations' trade concerns