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India hits back with $240 million tariff on 30 items imported from US

Published

8 years ago

June 16, 2018

India hits back with $240 million tariff on 30 items imported from US

[vc_row][vc_column][vc_column_text]In response to a unilateral hike in import tariffs on certain steel and aluminium products by US, India has decided to retaliate by suspending concessions on 30 items it imports from US.

India on Wednesday, June 14, notified to the World Trade Organization (WTO) a revised list of 30 items imported from the US, including almonds, apples, phosphoric acid and motorcycles with engine capacity more than 800 cc (including Harley-Davidson Inc.), on which it intends to impose retaliatory tariffs.

India emphasised that the tariffs will be substantially equivalent to the amount of trade affected due to the US’ measures. Duties hiked by the US on certain steel and aluminium products would have implications of about $241 million on India, the raise in tariffs proposed by New Delhi too would have an equal implication on America, said a Business Standard (BS) report.

According to news agency PTI, US’ decision to hike import duties will have an impact of about $241 million — $198.6 million on steel and $42.4 million on aluminium. India exports only about 4 per cent of its steel and 2 per cent of aluminium to the US. India is looking to hit back with tariffs amounting to the same.[/vc_column_text][vc_raw_html]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[/vc_raw_html][vc_column_text]”The US would be collecting $241 million worth of duties by hiking tariffs on certain steel and aluminium items from India, we also proposed to withdraw concessions of a similar amount from these 30 products imported by India from the US,” said the BS report quoting sources.

Earlier in May, India proposed to raise duties by up to 100 per cent on 20 products such as almonds, apple and specific motorcycles imported from the US.

The additional duty proposed to be hiked on these items ranges from 10 per cent to 100 per cent. Another report, in LiveMint, said in the revised list, India has brought down the proposed maximum additional duties from 100% (on walnuts) to 50% (on Harley-Davidson).

“The revision is being provided to adjust the products and the tariff rates in accordance with India’s rights reserved vide its notification to the Council for Trade in Goods contained in the WTO document…of 18 May 2018.

“India hereby reiterates its decision to suspend concessions or other obligations notified to the Council for Trade in Goods on 18 May 2018…of the General Agreement on Tariffs and Trade 1994 and Article 8.2 of the Agreement on Safeguards, that are substantially equivalent to the amount of trade affected by the measures imposed by the United States,” according to a communication by India to WTO, reported BS.

It said that the proposed suspension of concessions or other obligations takes the form of an increase in tariffs on selected products originating in the US, based on the measures of America.

“The proposed suspension of concessions or other obligations takes the form of an increase in tariffs on selected products originating in the United States, based on the measures of the United States,” the notification read. “India wishes to clarify that suspension of concessions shall be equivalent to the amount of trade affected by the United States’ measures.”

“India reserves its right to further suspend substantially equivalent concessions and other obligations based on the trade impact resulting from the application of the measures of the US,” it added.

The country has proposed this move under the WTO’s Agreement on Safeguards. India has also dragged the US to the World Trade Organisations dispute settlement mechanism over the imposition of import duties on steel and aluminium.

The move comes at a time when India has decided to negotiate a “trade package” with the US to ease tensions between the two sides.

Earlier this year, US President Donald Trump announced a 25 per cent and 10 per cent tariff on imported steel on aluminium respectively from all countries, except Canada and Mexico. US is the world’s largest steel-consuming nation. Trump’s announcement, in line with his America First policy, sparked fears of a trade war after countries began mulling imposing their own tariffs.

India had asked the US government to exempt it from its 25% levy on steel and 10% on aluminium imposed by President Donald Trump on grounds of national security. However, the US rejected the Indian request. India has also dragged the US to the dispute settlement mechanism in the WTO over the matter.

Trade minister Suresh Prabhu said on Friday after a two-day US visit that the talks he had were held in a positive atmosphere and that trade officials from both sides would soon meet to resolve all pending issues.

Assistant US trade representative Mark Linscott is likely to visit India in the last week of June to negotiate a “trade package”, the official quoted earlier said.

The package is likely to involve negotiations granting an extension to India on generalised system of preferences (GSP) that the US is currently reviewing. India exports about 3,500 items worth $5.6 billion to the US at zero or low duties. In exchange, India may facilitate more US imports in items such as dairy products and Harley-Davidson motorcycles.

Trump has often raised the issue of higher tariffs on Harley-Davidson motorcycles imposed by India and has threatened to put reciprocal taxes on Indian bikes, which he has wrongly claimed to be selling “in thousands” in the US.

Addressing the press on the sidelines of the G7 summit in Canada’s Quebec City last week, Trump specifically named India, accusing it of charging 100% tariff on some US goods. “We’re like the piggy bank that everybody is robbing,” Trump said.

Unilateral tariff hikes undertaken by Trump administration have already got the US embroiled in a trade tariff war with EU and China which have hit back with retaliatory duties on US goods.[/vc_column_text][/vc_column][/vc_row]

Related Topics:Canada Donald Trump World Trade Organisation (WTO)

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Supreme Court raps Meta over WhatsApp privacy policy

The Supreme Court warned Meta that it would not tolerate any compromise of citizens’ privacy while hearing a case related to WhatsApp’s 2021 privacy policy and a CCI penalty.

Published

17 mins ago

February 3, 2026

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The Supreme Court on Tuesday delivered strong observations against Meta, the parent company of WhatsApp, over the messaging platform’s 2021 privacy policy, warning that it would not tolerate any compromise of citizens’ privacy.

A bench led by Chief Justice Surya said the court would not allow the sharing of user data in a manner that exploits Indians, remarking that privacy protections under the Constitution must be followed. “You can’t play with privacy… we will not allow you to share a single digit of our data,” the Chief Justice said during the hearing.

The matter relates to a plea challenging the law tribunal’s decision that upheld a ₹213 crore penalty imposed by the Competition Commission of India (CCI) on WhatsApp, while also permitting certain data-sharing practices for advertising purposes.

Court questions accessibility of privacy policy

During the hearing, the court raised concerns about whether WhatsApp’s privacy policy could realistically be understood by large sections of the population, particularly those who are poor or not formally educated.

The bench questioned if users such as roadside vendors, rural residents, or people who do not speak English would be able to comprehend the policy’s terms. It also expressed scepticism about the effectiveness of opt-out clauses, stating that even legally trained individuals find such policies difficult to understand.

Describing the alleged data practices as potentially exploitative, the court said it would not allow private information to be taken without genuine and informed consent from users.

The Chief Justice also cited a personal example, suggesting that users often begin seeing advertisements shortly after exchanging sensitive messages on WhatsApp, such as medical conversations, raising questions about how user data is being utilised.

Arguments from government and Meta

Appearing for the government, Solicitor General Tushar Mehta criticised WhatsApp’s data-sharing practices, calling them exploitative and commercially driven. In response, the Chief Justice said that if companies cannot operate in line with constitutional values, they should not do business in India.

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Background of the case

In November 2024, the CCI ruled against WhatsApp over its 2021 privacy policy, holding that the company had abused its dominant market position by effectively forcing users to accept the updated terms.

The watchdog objected to WhatsApp making continued access to messaging services conditional on permitting data-sharing with other Meta platforms, leading to the imposition of a ₹213 crore fine. Meta has deposited the penalty.

In January 2025, Meta and WhatsApp challenged the CCI order. Later, in November 2025, the law tribunal lifted a five-year restriction on data-sharing while maintaining the financial penalty.

India News

India welcomes US tariff cut as PM Modi thanks Trump for easing trade barriers

PM Modi has thanked US President Donald Trump after the US reduced tariffs on Indian goods to 18%, calling the move beneficial for bilateral trade.

Published

4 hours ago

February 3, 2026

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Prime Minister Narendra Modi on Sunday welcomed US President Donald Trump’s decision to lower tariffs on Indian goods, describing the move as one that unlocks significant opportunities for cooperation between the two countries.

Minutes after President Trump announced the reduction on his social media platform, the Prime Minister took to X to express his appreciation, calling the development a boost for “Made in India” products entering the US market.

“Delighted that Made in India products will now have a reduced tariff of 18 per cent,” PM Modi said, thanking President Trump on behalf of India’s 1.4 billion people.

The Prime Minister said he had a “wonderful” conversation with President Trump and underlined the broader significance of the decision, noting that closer economic cooperation between the world’s two largest democracies benefits people on both sides.

PM Modi also said that when two major economies work together, it opens doors for mutually beneficial growth, adding that India supports President Trump’s efforts aimed at global peace, stability, and prosperity. He said he looked forward to strengthening the partnership further.

President Trump, while announcing the tariff reduction, described the move as a “trade deal” and referred to PM Modi as a close friend and a respected leader.

Trade signals positive momentum

The US India Strategic Partnership Forum described the tariff reduction as an important and positive first step in strengthening bilateral trade relations.

While the detailed terms of the agreement are yet to be finalised, the announcement reflects political intent on both sides to move towards a broader US-India bilateral trade agreement. Such an agreement is expected to address issues related to tariffs, market access, non-tariff barriers, and trade across multiple sectors.

How tariffs on Indian goods evolved

The latest decision comes after months of tariff fluctuations on Indian exports to the US.

Timeline of key developments

April 2, 2025: The US imposed a 26% reciprocal tariff on several Indian imports as part of global tariff actions.
April 10, 2025: The tariffs were paused for 90 days, with a 10% duty retained on all US imports.
July 31, 2025: A 25% tariff was announced on Indian goods, along with a warning linked to India’s purchase of Russian oil.
August 7, 2025: Tariffs were raised to 50%, the highest imposed on any US trade partner at the time.
February 2, 2026: The US announced a reduction in tariffs on Indian goods to 18%.

The latest rollback marks a significant easing of trade tensions and sets the stage for deeper engagement between India and the United States.

India News

US-India trade deal to strengthen strategic partnership, says Amit Shah

Amit Shah says the US-India trade deal with reduced tariffs will elevate strategic partnership and pave the way for stronger trade ties and mutual growth.

Published

4 hours ago

February 3, 2026

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Union Home Minister Amit Shah on Monday said the newly announced trade deal between India and the United States will elevate the strategic partnership between the two countries and pave the way for stronger trade ties and mutual growth.

In a post on social media platform X, Shah said the agreement marks a significant moment in India-US relations, with business between the two nations set to expand further. He noted that the deal, which includes a reduction in reciprocal tariffs, will benefit both countries and their people.

Calling it a “big day” for bilateral ties, Shah said the trade deal has been locked with a significantly reduced tariff of 18 per cent, creating fresh opportunities for economic cooperation. He also congratulated Prime Minister Narendra Modi and US President Donald Trump on what he described as a historic agreement.

According to Shah, the agreement will strengthen the strategic partnership between the two democracies and support growth on both sides. He added that trade and business activity between India and the US is expected to flourish in the coming period.

Modi welcomes reduced tariffs on Indian goods

Prime Minister Narendra Modi also welcomed the development, saying he was delighted that tariffs on “Made in India” products would now be reduced to 18 per cent. He thanked President Trump for the announcement and said the move would benefit the people of both nations.

Modi said cooperation between two large economies and the world’s largest democracies creates opportunities for mutually beneficial growth. He added that such collaboration helps unlock new possibilities for trade and development.

The prime minister also said he looked forward to working closely with the US president to take the bilateral partnership to unprecedented heights.

Trump outlines terms of the agreement

US President Donald Trump said the United States agreed to lower the reciprocal tariff on Indian goods from 25 per cent to 18 per cent following a phone conversation with Prime Minister Modi. He added that India would move forward to reduce tariffs and non-tariff barriers against the US.

Trump said New Delhi had also committed to purchasing American goods at a much higher level, including energy, technology, agricultural products, coal and other items. He mentioned that India would buy US energy worth more than USD 500 billion.

The US president said the relationship between the two countries would become even stronger going forward. He also noted that the two leaders discussed the ongoing war between Russia and Ukraine during their conversation.

Background to the trade talks

India and the US had agreed earlier to finalise the first tranche of a bilateral trade agreement, but negotiations had slowed after higher tariffs were imposed on Indian goods. The latest agreement follows several rounds of talks between the two sides.

Officials said India now faces lower tariffs compared to several competing export economies, which could provide an advantage to Indian exporters in the US market.