India seeks to levy duties on US steel and aluminum

New Delhi has approached the WTO to impose retaliatory duties on Washington, in response to tariffs introduced by President Donald Trump

India has approached the World Trade Organization (WTO) with a proposal to impose retaliatory duties against the US over American tariffs on steel and aluminum. 

The move comes after the US imposed a 25% tariff on steel and aluminum imports in March, which was an extension of measures initially introduced in 2018 during Donald Trump’s first term as president. 

“India hereby notifies the Council for Trade in Goods of its proposed suspension of concessions and other obligations... This notification is made in connection with safeguard measures extended by the United States of America on imports of aluminium, steel and derivative articles, vide Presidential Proclamation... dated 10 February 2025, with the effective date of 12 March 2025,” a WTO communication said. 

India requested consultations with the US under the WTO's safeguard agreement after Trump announced the new tariffs this year. However, Washington responded by stating that the decision was made on the grounds of national security, and therefore should not be viewed as a safeguard measure. 

The WTO safeguard agreement provides an option for a country to retaliate when another member invokes safeguard measures without proper notification.

India proposes to impose retaliatory duties against the US over American tariffs on steel and aluminium in the WTO.#India #US #Tariffs pic.twitter.com/u394fSfTZh— All India Radio News (@airnewsalerts) May 13, 2025

India, the world's second-largest crude steel producer, said in the WTO document that the Trump administration’s measures will affect $7.6 billion worth of Indian products exported to the US, according to a Reuters report.

New Delhi is currently putting the finishing touches to a bilateral trade deal with Washington. US Vice President J.D. Vance announced last month that the two countries have agreed on terms for bilateral trade negotiations, calling it a roadmap to a final deal.

The timing of India's WTO action is sensitive and could cast a shadow over talks with the US on a broader free trade agreement, Ajay Srivastava, founder of the Global Trade Research Initiative think tank, was quoted by news agencies as saying.

India will inform both the Council for Trade in Goods and the Committee on Safeguards of its next steps, and has also taken up the tariff issue bilaterally with the US, reports added. The South Asian nation is also weighing the possibility of imposing a 12% duty on steel imports from China.