By Admin 
Till now, India is finally retaliating against Trump’s tax policy for the first time. It is reported that India has submitted a proposal to impose duty on American products to the World Trade Organization (WTO). It is believed that this step has been taken by the US in response to the US imposing an additional 25 per cent tariff on steel and aluminum imports in March 2024.
Which products will be given extra tariffs
The May 12 document sent to WTO clarifies that “suspension of proposed concessions or other obligations will be in the form of tariff growth on select products coming from the US.” However, it has not yet been cleared on which special products this tariff will apply.
In March, the US implemented 25 per cent tariffs on imported steel and aluminum from other countries including India. This tariff is an extension of the policy launched in Donald Trump’s first term in 2018. This step has directly affected the country like India. India is the second largest raw steel producing country in the world.
Effect on billions of products
India has said in its document that this decision of America has affected the India-made products of about $ 7.6 billion, which are exported to the US. Along with this, the Trump administration has also talked about imposing recipes up to 26 percent on Indian goods.
The ongoing trade deal conversation
Amidst this atmosphere of tariff war, India and America are also in the process of finalizing a comprehensive trade deal. According to Bloomberg report, by the end of this year, both countries can reach an agreement. India has indicated that it is ready to reduce its tariff gap with America by two-thirds.
Will this step affect the conversation?
Talking to Hindustan Times, a trade expert said that this retaliation came at a time when India and America are working on the possibilities of a comprehensive free trade agreement. In such a situation, this retaliation by India can slow down the process of negotiation.
India is also taking internal steps
India is not only imposing counter tariffs, but it is also giving protection to its domestic industry. Last month, India also imposed a temporary tariff of 12 per cent to prevent cheap steel imports coming from China. Its purpose is to balance domestic supply and protect the steel industry.
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