India has proposed retaliatory measures if no agreement is reached on the UK’s imposition of safeguard duty and quota restrictions on some steel products imports from the country, a government official said citing India’s official complaint lodged with the WTO.
India has proposed the retaliatory imposition of duties on imports of products from the UK, to the tune of $250 million, or the equivalent of the duties to be collected by the UK from imports of steel products from India.
India has officially made a complaint to the WTO against the UK extending safeguard duties and quota restrictions on steel imports from India until 2024, claiming that the extension is in violation of the WTO’s Agreement on Safeguards.
In its communication to the WTO, India has maintained that the safeguard measures had resulted in a 219,000 mt decline in steel exports to the UK, for which the latter had collected duties to the tune of $247.7 million.
“If no agreement is reached on the compensation within 30 days of the consultations, India reserves its right to suspend concessions or other obligations substantially equivalent to the adverse effects of the measures under...the Agreement on Safeguards, on the UK's trade, and any other right available under GATT 1994 and Agreement on Safeguards," India’s communication to the WTO said.
It has been learned that, while the UK has rejected India’s claims that the extension of the safeguard duties violated WTO norms, it has agreed to hold meetings on options for compensation.