Showcasing the evolving synergy between India and the United States, both powerhouses have jointly informed the World Trade Organization (WTO) of their decision to settle two significant trade disputes. This mutual gesture transcends routine diplomatic moves, reinforcing their commitment to global trade harmony.
The epicenter of this collaborative act lies in two specific trade issues. The first relates to the US imposing duties on selected Indian exports, notably steel and aluminum products. The second centers around India’s strategic move to impose supplementary duties on a range of American commodities as a countermeasure.
These disputes, delineated as ‘United States — Certain Measures on Steel and Aluminium Products’ (DS547) and ‘India — Additional Duties on Certain Products from the United States’ (DS585), saw their resolution heralded by a joint notification dated July 13. This signifies a reinvigorated commitment from both nations to align their economic interests in today’s intricate global trade matrix.
The World Trade Organization, shedding light on the matter, stated, “In accordance with Article 12.7 of the Dispute Settlement Understanding, the panel reports provide a brief description of the disputes and note that solutions have been reached.”
Past narratives further illuminate the consistent trajectory of India and the US toward fostering dialogue. Their diplomatic prowess previously navigated and neutralized six trade disputes, underscoring their resilient partnership.
A spotlight on this commitment was evident during the state visit of Indian Prime Minister Narendra Modi to the US this June. Amid strategic discussions, a unified objective emerged: addressing trade imbalances within the WTO’s purview.
Acting on this commitment, both nations converged on a resolution to abolish retaliatory tariffs on chosen imports. India, acting promptly, withdrew extra duties on eight pivotal US imports, such as chickpeas, lentils, and apples. These duties, implemented in 2019, were India’s response to the US’s tariff hikes on distinct Indian steel and aluminum products.
Highlighting the economic ramifications, the US retains its position as India’s top trading ally. The trading figures are compelling, with the bilateral goods trade witnessing a significant surge to $128.8 billion in 2022-23 from $119.5 billion in the prior year.
As two global juggernauts chart a course toward enhanced diplomatic collaboration, their actions resonate as a testament to the potential of diplomatic dialogue in reshaping global trade dynamics.
LATEST NEWS | India, Nepal, Bangladesh Ink Historic Tripartite Green Energy Trade Accord
