MUMBAI (Reuters) -About 55% of India's merchandise exports to the United States will be subject to the tariff imposed by President Donald Trump's administration, the Indian government said on Monday.

As the president pursues his goals on Russia and trade, America’s relationship with an important partner in Asia could end up as collateral damage.

According to President Donald Trump’s latest deal, Nvidia and AMD can restart sales of — respectively — their H20 and MI308 chips to China in return for handing 15 per cent of revenues gleaned to the US government.

The government said the impact of tariffs on different goods is estimated on factors involving product differentiation, demand, quality and contractual arrangements.

Trump-era tariffs pressure India’s garment exporters as buyers move orders elsewhere, raising concerns over jobs and trade competitiveness.