🇮🇱 Israel vs 🇮🇳 India Tariffs — Import Duty Comparison (2026)

When choosing between Israel and India as import sources, US businesses must weigh tariff rates, trade agreements, product availability, and supply chain logistics.

Both countries face the same base tariff rate of 10% on most goods entering the United States.

Both countries export Diamonds, Pharmaceuticals, Machinery, Chemicals to the United States, creating direct competition in these sectors.

In terms of trade volume, Israel accounts for approximately $50B in bilateral trade with the US, compared to India's $130B.

Both countries are subject to the 10% Section 122 tariff imposed on February 24, 2026, following the Supreme Court's ruling striking down IEEPA tariffs. This rate expires approximately July 24, 2026 unless Congress extends it.

Israel's advantages include: Trade agreement: US-Israel FTA (duty-free on qualifying goods); Unique export categories: Electronics, Medical instruments, Optical instruments. India's advantages include: Higher US trade volume ($130B vs $50B); Unique export categories: Petroleum products, Textiles, Iron and steel.

With equivalent base tariff rates, the choice between Israel and India depends primarily on product-specific duties, shipping costs, lead times, and supply chain considerations rather than the base tariff rate.