Duty on auto, auto parts not safeguard measures: US on India's claim in WTO

It asserted that the duties are imposed on national security grounds. It added that, on these grounds, India has no basis to propose retaliatory tariffs

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NEW DELHI: The US has rejected India's claim that American tariffs on auto and auto parts qualify as safeguard measures under the WTO (World Trade Organization) rules, and asserted that the duties are imposed on national security grounds.

It has added that, on these grounds, India has no basis to propose retaliatory tariffs against these duties.

India has said it is reserving the right to impose retaliatory duties on US tariffs (25 per cent) on automobiles and auto parts, stating that the levies are safeguard measures that are harming its domestic industry.

In a reply to this, the US has informed the WTO that US President Donald Trump imposed these tariffs to adjust imports of these articles as they threaten to impair the national security of America.