India Revises Retaliatory Duties Against US After WTO Steel, Aluminium Tariff Talks

India has submitted a revised proposal to the World Trade Organisation (WTO) to impose retaliatory duties on the US. The move follows the US government’s decision to double tariffs on steel and aluminium imports. Reports suggest that the revised plan was shared with WTO members at India’s request.

Tariff Hike by the US

On March 12, 2025, the US raised import duties on aluminium, steel, and related items to 25%. This was further increased to 50% on June 3 under the Trump administration. India’s response is aligned with WTO rules that allow members to suspend concessions if affected by safeguard measures.

India’s New Duty Estimate: $3.82 Billion

According to the revised proposal, India’s planned suspension of trade concessions would impact US products to the tune of $3.82 billion. In May, the figure was estimated at $1.91 billion. This matches the estimated value of Indian exports affected by the US action, worth around $7.6 billion.

India has indicated that it may impose higher tariffs on selected products originating from the US. The adjustments to tariff rates and product lists are being kept open to reflect the increased impact of the US’s latest move.

Background of the Dispute

In 2018, the US first imposed a 25% duty on certain steel products and 10% on aluminium, citing national security. India responded in 2019 by increasing duties on 28 US items, including almonds and walnuts. India also filed a complaint with the WTO that same year.

This development comes as both nations continue talks toward a Bilateral Trade Agreement (BTA). An Indian delegation is expected to visit Washington next week for further discussions.

Read More: Donald Trump Imposes 35% Tariff on Canadian Imports to US, Starting August 1!

Conclusion

India’s revised WTO proposal reflects its response to the recent increase in US import duties. The move remains part of ongoing trade engagements between the 2 countries.

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