Union Minister of Commerce and Industry, Consumer Affairs, Food & Public Distribution and Textiles, Shri Piyush Goyal has highlighted the resolution of six outstanding World Trade Organisation (WTO) disputes between US and India through mutually agreed solutions as jointly communicated by the Prime Minister of India, Shri Narendra Modi and President of the United States of America, H.E. Mr. Joseph Biden during the official state visit of the Prime Minister to the USA. While interacting with the media today in New Delhi, the Minister lauded the visionary leadership of the leaders of both countries in taking this historic decision, which enhances the trust and partnership between the two countries. 

The six trade disputes that will be terminated are as follows. Three of them have been filed by India against the USA namely, Countervailing Measures on Certain Hot-Rolled Carbon Steel Flat Products from India (DS436); Certain Measures Relating to the Renewable Energy Sector (DS510); and Certain Measures on Steel and Aluminum Products (DS547). While the other three disputes, which have been filed by the USA against India are: Certain Measures Relating to Solar Cells and Solar Modules (DS456); Export Related Measures (DS541), and Additional Duties on Certain Products from the United States (DS585).

Shri Goyal said that India and the US have actively engaged in discussions during the last two years to terminate these six outstanding disputes at the WTO. These disputes have been filed by India and the US over a decade, representing certain key sectors of the economy such as steel, aluminium, renewable energy, solar products, and certain key export-related measures. This Mutually Agreed Solution (MAS) negotiated by both sides marks the culmination of protracted negotiations, and it is unprecedented in WTO history.

As a part of the agreement, the US has agreed to grant market access to steel and aluminium products under the exclusion process of Section 232 of the Trade Expansion Act 1962. India has agreed to remove the additional duty, i.e., retaliatory tariffs on certain products. However, the prevailing basic import duty on these products applicable to all imports will continue.

This market access will restore opportunities for Indian steel and aluminium exporters, which were restricted since 14th June 2018 because of the US 232 measure under which additional duties of 25% and 10% were levied on steel and aluminium products respectively.

As part of the market access, going forward, the US Department of Commerce will clear 70% of steel and 80% of aluminium applications for products originating in India. These applications will be made under the exclusion process of Sec. 232 by the importers on behalf of the exporters. It would provide significant impetus to raise India's Steel and Aluminium exports by about 35%.  

***

AM/VN

(Release ID: 1934876) Visitor Counter : 2726