'Reserve right to ...': Amidst trade talks, India eyes retaliatory duties against US

India has projected retaliatory tariffs connected Friday against the United States astatine the WTO (World Trade Organisation) successful effect to American safeguard measures connected the automobile sector.

The determination comes amidst ongoing commercialized woody talks with the Donald Trump administration."The projected suspension of concessions oregon different obligations would instrumentality the signifier of an summation successful tariffs connected selected products originating successful the United States," states a WTO notification circulated astatine India's request.According to a PTI report, India has informed the WTO's Council for Trade successful Goods regarding its intended suspension of concessions and different obligations nether circumstantial WTO provisions.

India-US WTO Issues

On March 26 this year, the United States implemented a safeguard measure, imposing a 25 per cent advertisement valorem tariff summation connected imports of rider vehicles, airy trucks, and circumstantial automobile parts from India.Starting from May 3, 2025, these regulations were implemented for automobile components and volition proceed indefinitely.Also Read | India-US commercialized deal: What’s the deadlock about? Top issues blocking statement arsenic Donald Trump’s 26% tariff deadline looms"This notification is made successful transportation with safeguard measures extended by the United States of America connected imports of automobile parts from India," the WTO papers indicated.

The United States has not registered these regulations with the WTO, though they fundamentally represent safeguard measures.India's presumption maintains that the United States' actions bash not align with GATT (General Agreement connected Trade and Tariff) 1994 and the Safeguards Agreement.Since the United States has not responded to India's petition for consultations regarding these tariffs, India has stated it "reserves the close to suspend concessions oregon different obligations".The safeguard measures would interaction yearly imports worthy $2,895 cardinal into the United States from India, resulting successful work collections of $723.75 million."Accordingly, India's projected suspension of concessions would effect successful an equivalent magnitude of work collected from products originating successful the United States," according to the statement.In March, India implemented comparable measures successful effect to American tariffs connected alloy and aluminium.