Hey everyone! In a bold move that’s sparking global trade chatter, New Delhi has proposed retaliatory duties at the World Trade Organization against the U.S. after its 25% tariff on automobiles and select auto parts hit $2.89 billion of India’s exports 🚗.
The official notification details that the U.S. tariff is expected to collect about $725 million in duties, prompting India to impose an equivalent levy on U.S. products. Essentially, India reserves the right to suspend concessions or other trade obligations that mirror the adverse effects on its trade, a clear stance to protect national interests.
Indian Trade Minister Piyush Goyal emphasized that any trade deal must prioritize the nation's interests, stating, "National interest will always be supreme." While New Delhi is open to reducing its high tariffs for U.S. goods, it remains firm on not opening its agriculture and dairy sectors, dismissing the July 9 deadline set by U.S. President Donald Trump.
This development comes amid robust bilateral trade—the total trade reached approximately $129 billion in 2024, with India’s exports to the U.S. steadily rising. It’s a dynamic reminder of how global trade policies continue to evolve and impact industries worldwide.
Stay tuned for more updates as this trade tussle unfolds and reshapes the economic landscape!
Reference(s):
India proposes retaliatory duties at WTO over U.S. auto tariffs
cgtn.com
