India Eyes Retaliation as US Rejects WTO Notice

Global trade concerns persist

- Rajeev Jayaswal

NEW DELHI: The US has rejected India's May 9 notice at the World Trade Organization that proposed retaliatory action against Washington imposing steep import tariffs on steel and aluminum and said its actions were not safeguard measures, which is why it would not hold any discussion with New Delhi on the matter, people in the know said on Sunday.

Under the current circumstances, India may retaliate by proportionately suspending concessions given to American imports (for example, almonds and walnuts) and levy higher customs duties on metals coming from the US, said the people cited above, requesting anonymity. The Indian notice was against the US's February 10 decision to impose 25% levies on all imports of steel and aluminum effective from March 12. Now, the matter has been aggravated further as the Trump administration on May 30 doubled tariffs on the metals to 50% effective from June 4, citing national security.