India and US have decided to end retaliatory tariffs on trade in several products including steel and aluminum, government officials said on Tuesday, June 27.
The decision to end disputes leading to tariffs and counter tariffs was reached soon after Indian Prime Minister Narendra Modi’s state visit to Washington.
The US has assured that it will exempt 70 percent of ‘requests’ on steel and 80 percent request on aluminum for additional scrutiny for imposition of 25 percent and 10 percent import tax under Section 232, on grounds of ‘national security measures’.
Reciprocating the gesture, the Indian government has announced lifting of retaliatory tariffs on eight product categories imported from the US.
It may be pointed out that in 2018, US has imposed 25 percent and 10 percent import tax on steel and aluminum respectively imported from India citing ‘national security.’
In the next step towards improved trade relations, the two countries are expected to commence talks soon on India’s demand for grant of benefits under Generalized System of Preference (GSP) to US imports from this country, the official said.
