India Plans $3.82-bn Duty to Counter US Steel Tariff

WTO notified of proposed increase in levy

- Mukesh Jagota

India has revised upwards the extent of retaliatory measures it might take against the US tariffs on imports of steel and aluminum even as both countries hold intense negotiations on a bilateral trade agreement (BTA).

In a notification to the World Trade Organization (WTO), India has said that it will adjust duties on imports from the US in such a way that it will bring in additional import duties of $3.82 billion. The latest notice of retaliation comes in response to an increase in duties on steel and aluminum and their derivatives by the US to 50% on June 3 from 25%. The higher duties will impact $7.6 billion worth of Indian exports to the US and, through these additional taxes, the US will collect $3.82 billion as taxes, India's communication to the WTO said.