Indian American communities and businesses grapple with Trump's tariffs

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American small businesses that rely on goods from India are feeling the strain after President Donald Trump imposed 50% tariffs on imports from the nation.

From restaurants to clothing shops, owners say U.S. trade policy is reshaping their bottom line in ways they can’t control. Their options are limited: absorb the costs, raise prices and risk losing customers, or cut back on traditions that make their businesses unique.

The Trump administration recently doubled tariffs on Indian imports to 50% as a punishment for Indian purchases of Russian oil, which Trump says is helping support Russian President Vladimir Putin’s war in Ukraine.

The Indian government has called the tariffs “unfair, unjustified, and unreasonable.” Just days after the tariffs went into effect, Chinese President Xi Jinping, Indian Prime Minister Narendra Modi and Putin held a trilateral meeting, and some analysts say India’s alignment with Russia and China makes Washington’s tariff push riskier and complicates U.S.-India relations.

The geopolitical considerations come alongside very real economic consequences for some businesses in the U.S.

At All India Cafe, a family-run restaurant chain in Southern California, the price of importing the authentic Indian spices and liquor that define the menu has “almost doubled.” Owner Pawandeep Kaur Khinda, whose parents emigrated from India to open their first Pasadena location in 1996, is weighing whether to raise menu prices, cut staff hours or even shutter the business.

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