India proposes retaliatory tariffs on US over steel, aluminium duties
India has proposed retaliatory tariffs against the United States at the World Trade Organisation, arguing that American duties on steel and aluminium violate global trade rules.
In a communication circulated by the WTO May 9, India said the US safeguard measures affect approximately $7.6 billion worth of Indian-origin imports and would result in estimated duty collections of $1.91 billion.
The move follows a formal consultation request India filed in April under the WTO’s Agreement on Safeguards, after the U.S. announced updated tariffs on certain steel and aluminium products.
India told the WTO that it plans to suspend concessions and obligations toward the US in response to the revised tariffs, which were introduced through a US presidential proclamation dated Feb. 10 and are set to take effect March 12, 2025.
The United States has maintained that its tariffs are based on national security considerations and should not be treated as safeguard measures under WTO rules.
The initial US tariffs were imposed on March 8, 2018, with a 25% duty on certain steel products and a 10% duty on aluminium. These were extended in January 2020. In the latest revision, the US extended the measures indefinitely, maintaining the 25% tariff rate.
India contends that although the United States has not officially notified the WTO of these new measures, they function as safeguard actions and are therefore subject to WTO oversight.
PNN
News