‘Will not discuss…’: US tells WTO that India has no basis to impose retaliatory duties on 29 American products
Amidst India-US trade deal talks, the United States of America on Friday informed the World Trade Organization (WTO) that India's suggestion to suspend concessions in retaliation to American duties on steel and aluminium lacks foundation.
Washington's response to the WTO said, "The US will not discuss Section 232 tariffs under the Agreement on Safeguards as we do not view the tariffs as a safeguard measure."
Section 232 grants the US President authority to regulate imports that could potentially compromise US national security. The US emphasised, "These actions are, therefore, not safeguard measures".
The development comes at a time when India and the US are in discussions to finalise a trade deal. Reports suggest that India is looking to seal the first phase of the India-US trade deal by early July before Donald Trump’s reciprocal tariffs kick in. Donald Trump has also expressed displeasure at Apple's plans to make iPhones in India, stating that the smartphones made outside the US for American market will be subject to 25% tariff. However experts suggest that Trump's statements on Apple's India plans may be a negotiating tactic amidst the trade deal talks.
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‘Will not discuss…’: US tells WTO that India has no basis to impose retaliatory duties on 29 American products
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TOI Business Desk | TIMESOFINDIA.COM | May 26, 2025, 08:38 IST
‘Will not discuss…’: US tells WTO that India has no basis to impose retaliatory duties on 29 American products
The US has informed the WTO that it sees no basis for India's proposal to suspend concessions in response to American tariffs on steel and aluminium. India had proposed retaliatory duties on 29 American products, claiming the US tariffs would affect $7.6 billion in imports.
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Amidst India-US trade deal talks, the United States of America on Friday informed the World Trade Organization (WTO) that India's suggestion to suspend concessions in retaliation to American duties on steel and aluminium lacks foundation.
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Washington's response to the WTO said, "The US will not discuss Section 232 tariffs under the Agreement on Safeguards as we do not view the tariffs as a safeguard measure."
Section 232 grants the US President authority to regulate imports that could potentially compromise US national security. The US emphasised, "These actions are, therefore, not safeguard measures".
India & US in WTO
India & US in WTO
India had last week suggested implementing retaliatory tariffs on 29 US products, including apples, almonds, pears, anti-freezing preparations, boric acid and specific iron and steel items under the WTO framework to counter American duties on steel and aluminium, which were imposed as safeguard measures.
India notified the WTO that these actions would impact $7.6 billion worth of imports into the United States, according to an ET report.
‘Will not discuss…’: US tells WTO that India has no basis to impose retaliatory duties on 29 American products
03:40
India Proposes Retaliatory Tariffs On U.S. Goods, Approaches WTO
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Also Read | Donald Trump's fresh blow for Apple’s ‘Make in India’ plans; announces 25% tariff on iPhones made outside US
The development comes at a time when India and the US are in discussions to finalise a trade deal. Reports suggest that India is looking to seal the first phase of the India-US trade deal by early July before Donald Trump’s reciprocal tariffs kick in. Donald Trump has also expressed displeasure at Apple's plans to make iPhones in India, stating that the smartphones made outside the US for American market will be subject to 25% tariff. However experts suggest that Trump's statements on Apple's India plans may be a negotiating tactic amidst the trade deal talks.
On March 8, 2018, the United States enacted protective measures on specific steel and aluminium products, implementing 25% and 10% ad valorem duties respectively, effective from March 23, 2018. On February 10, 2025, it modified the protective measures for steel and aluminium imports, taking effect from March 12.
India stressed that the United States did not inform the WTO Committee on Safeguards about its decision to implement protective measures. As a significantly affected exporting member, India sought consultations with the US administration.
The United States responded on Friday, stating that India failed to meet its obligations under the Agreement on Safeguards by not acknowledging Washington's proposal for discussions regarding these tariffs in its response dated April 16, 2025.
According to WTO regulations, concessions may be suspended after holding consultations under the agreement with the nation implementing the protective measure. India had previously sought consultations regarding these tariffs on April 11, 2025.
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