Daily Current Affairs (02 – Aug – 25)
1. Trump’s 25% Tariff on Indian Exports: Rising Trade Tensions in India–US Relations –
• The U.S. President Donald Trump has announced a 25% tariff with additional penalties on Indian exports, citing India’s ties with Russia and high trade barriers, marking a further dip in India-U.S. trade relations.
India–US Trade Overview
• Top Trade Partner: The US was India’s largest trading partner (2021–25), with $186 billion bilateral trade in 2024–25.
• Trade Surplus: India exported $86.5B, imported $45.3B, resulting in a $41B trade surplus.
• It was $35.32 billion in 2023-24 and $27.7 billion in 2022-23.
• Services Trade: India also maintained a $3.2B surplus in services.
Key Traded Products
• India’s Exports: Drug formulations, telecom equipment, petroleum products, textiles, gems & jewellery, auto components.
• India’s Imports: Crude oil, coal, petroleum products, machinery, aircraft parts, gold.
Impact on Indian Exports
• Cost Increase: Higher tariffs will make Indian goods costlier and less competitive in the US market.
• Affected Sectors: Labour-intensive industries like pharma, textiles, leather, footwear, gems, handicrafts may suffer most.
• Competitor Comparison: India faces 25–38% duty, while competitors like Vietnam (20%), Bangladesh (35%), and Thailand (36%) may still undercut Indian goods.
2. India-EFTA Trade and Economic Partnership Agreement –
• The Union Minister of Commerce and Industry of India has announced that the Trade and Economic Partnership Agreement (TEPA) between India and the European Free Trade Association (EFTA) nations will come into force on 1st October 2025.
What are the Key Highlights of TEPA?
• About: The Trade and Economic Partnership Agreement (TEPA) between India and the EFTA (Iceland, Liechtenstein, Norway, Switzerland) was signed on 10th March 2024 after 21 rounds of negotiations since 2008.
• It aims to boost trade, attract investment, and create employment by reducing tariffs and non-tariff barriers.
• Objective: To ensure fair, transparent, and predictable market access for service providers and investors.
• It also enhances customs cooperation, trade procedures, IPR protection, and dispute resolution.
Key Highlights of the Agreement:
• Strategic Investment Commitment: EFTA will invest USD 100 billion in India over 15 years, USD 50 billion in the first 10 years and another USD 50 billion in the next 5, to create 1 million jobs.
Market Access & Tariff Concessions:
• EFTA offers 92.2% tariff lines, covering 99.6% of India’s exports (non-agricultural and processed agri-goods).
• India offers 82.7% tariff lines, covering 95.3% of EFTA exports, including gold (no change in effective duty).
• Indian rice (basmati and non-basmati) to get duty-free access without reciprocity.
3. The Role and Powers of the Vice President of India –
• The Vice President of India is one of the highest constitutional authorities in the country. While the role might seem secondary compared to the President, the Vice President holds significant responsibilities, especially in the functioning of the Parliament and in situations where the President is unable to discharge their duties. This position combines both ceremonial and functional importance.
Introduction to the Vice-President of India
• The Vice President of India is the second-highest constitutional office in the nation, just after the Parliament. The position was created under Article 63 of the Indian Constitution.
• The Vice President serves as a vital link between the executive and the legislature, playing a key role in maintaining the parliamentary process.
• Method of Election
• The Vice President is elected not directly by the people but by an Electoral College.
This Electoral College consists of :
• Members of both Houses of Parliament (Lok Sabha and Rajya Sabha).
• Voting is conducted by the single transferable vote system through secret ballot.
4. Govt Launches ‘Apna Ghar’ Resting Facilities for Truck Drivers –
• As of July 1, 2025, the government has successfully established 368 ‘Apna Ghar’ units equipped with 4,611 beds. These facilities are strategically located at retail fuel outlets of Public Sector Oil Marketing Companies (OMCs) along both national and state highways, ensuring accessibility for long-haul drivers.
Facilities Provided to Truckers
• Each ‘Apna Ghar’ unit is designed to address the pressing needs of truck drivers on tiring journeys. The key amenities include,
• Dormitory accommodations for safe and restful sleep
• Restaurants/dhabas serving affordable meals
• Clean toilets and dedicated bathing areas
• Self-cooking spaces for those who prefer home-style food
• Purified drinking water to maintain health and hygiene
5. First-Ever BIMSTEC Traditional Music Festival Begins in New Delhi –
• In a historic moment for regional cultural cooperation, the first-ever BIMSTEC Traditional Music Festival will be held today at Bharat Mandapam, New Delhi.
• The event, titled ‘SaptaSur: Seven Nations, One Melody’, will bring together artists from the seven BIMSTEC nations—India, Bangladesh, Bhutan, Myanmar, Nepal, Sri Lanka, and Thailand—for an evening of musical harmony and shared heritage.
A Celebration of Seven Nations
• The festival, organised by the Indian Council for Cultural Relations (ICCR), will showcase the rich and diverse musical traditions of the BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) member countries. It promises to be a unique cultural experience, symbolising the motto of unity in diversity across the Bay of Bengal region.
MCQ Quiz
Q1. Which organization has launched the women-led cooperative schemes — Swayamshakti Sahakar Yojana and Nandini Sahakar ?
a) National Cooperative Development Corporation (NCDC)
b) NITI Aayog
c) National Bank for Agriculture and Rural Development (NABARD)
d) Ministry of Women and Child Development
Q2. The Pralay Missile is developed by which organization ?
a) Indian Space Research Organization (ISRO)
b) Defence Research and Development Organisation (DRDO)
c) Hindustan Aeronautics Limited (HAL)
d) Bharat Dynamics Limited (BDL)
Q3. Where is the newly discovered Harappan site Ratadiya Ri Dheri located ?
a) Punjab
b) Rajasthan
c) Gujarat
d) Haryana
Q4. Consider the following statements regarding the 71st National Film Awards (2025):
1. Shah Rukh Khan and Vikrant Massey were both awarded Best Actor.
2. Rani Mukerji won Best Actress for her role in Kathal: A Jackfruit Mystery.
3. The Best Feature Film award went to 12th Fail.
Which of the statements given above is/are correct ?
a) 1 and 2 only
b) 2 and 3 only
c) 1 and 3 only
d) 1, 2 and 3
Explanation-
• Statement 1 is correct: Both Shah Rukh Khan (Jawan) and Vikrant Massey (12th Fail) were joint winners of the Best Actor award.
• Statement 2 is incorrect: Rani Mukerji won Best Actress for Mrs Chatterjee Vs Norway, not for Kathal.
• Statement 3 is correct: 12th Fail was awarded Best Feature Film, recognizing its excellence in storytelling and execution.
Q5. Which of the following Acts provides legal recognition to Arya Samaj marriages in India ?
a) Hindu Marriage Act, 1955
b) Special Marriage Act, 1954
c) Arya Marriage Validation Act, 1937
d) Religious Societies Marriage Act, 1930
Explanation-
• Arya Samaj marriages are legally recognized under the Arya Marriage Validation Act, 1937, which legitimizes marriages conducted according to Arya Samaj rituals, including inter-caste and interfaith unions (where both individuals are Hindu by faith at the time of marriage).