Author: Editorial Desk

Escalating tensions prompted India to consider retaliatory tariffs under World Trade Organization rules, in responding to the European Union’s extension of safeguard duties on steel imports. Situation Overview: The European Union’s decision to prolong safeguard measures on steel until 2026, first enacted in 2018, significantly impacts India, a principal steel supplier to the EU. This year, India’s steel exports to the EU surged to $6.64 billion from $6.1 billion last year. Controversy Analysis: India challenges the EU’s extended safeguard duties at the World Trade Organization, arguing these measures violate international trading standards and the WTO’s Agreement on Safeguards. India put…

A new crisis grips the global shipping industry as severe congestion at the ports of Singapore and Shanghai/Ningbo disrupts trade, compounding existing tensions from the Red Sea route suspension. Linerlytica data reveals vessel bottlenecks: Singapore port hosts 51 ships, with 40 more at anchorage; Shanghai/Ningbo sees 92 docked and 81 waiting nearby. These ports, critical for international logistics, currently manage nearly 800,000 TEUs on-site, with another 650,000 TEUs in limbo nearby. This vessel accumulation disrupts the global shipping cadence, significantly delaying goods movement. Under normal conditions, ships would dock upon arrival or endure minimal waits—now, delays stretch beyond a week,…

Shanghai: Recent signs of recovery, global trade continues to grapple with significant headwinds in 2024. Last year saw a 1.2% decline in trade, primarily due to reduced imports from major markets like Europe and North America. While the easing of inflation and anticipated interest rate cuts have provided some optimism, substantial obstacles remain. Sluggish growth in developed economies, particularly the United States, threatens to dampen global demand. Recent US data reveals a concerning picture of weakened consumption, manufacturing, and labor markets, exacerbated by the lingering effects of high interest rates. Europe’s moderate growth is hampered by its limited economic autonomy,…

Prime Ministers Narendra Modi and Rishi Sunak expressed satisfaction with the progress of the Free Trade Agreement (FTA) discussions between India and the United Kingdom during a crucial meeting on the sidelines of the 50th G7 Summit. During the meeting, both leaders reviewed the advancements within the ambit of the Roadmap 2030, designed to strengthen the Comprehensive Strategic Partnership across multiple domains such as defense, trade, technology, and cultural exchanges. Contentment was noted regarding the progression in these sectors. Additionally, Modi extended his best wishes to the UK on the eve of its forthcoming snap general elections. Post-discussion, Modi utilized…

Republic of Korea has eliminated trade restrictions on beef imports from France and Ireland. This move follows sustained advocacy by the European Commission, highlighted by direct engagement from Executive Vice-President Valdis Dombrovskis during his visit to Seoul last November. The decision by Korea, one of the largest global markets for beef imports, to welcome products from these two EU member states marks a major expansion. Dombrovskis’s discussion with Korean ministers and legislators were effective in dismantling longstanding import barriers, ushering in a new phase of economic cooperation between the EU and Korea. This enhancement not only initiates beef exports from…

South African consumers face escalating rice prices, a staple food item, exacerbated by global market changes and the country’s substantial import reliance. Thabile Nkunjana, senior economist at the South African Government’s Trade Research Unit, noted the nation imported around 1.2 million tons of rice in 2023, marking an 8.4% increase from the previous year. The spike in prices largely stems from India’s recent restrictions on rice exports, a move that disrupted the global supply chain. As the world’s largest rice exporter, India’s policies heavily influence international pricing dynamics. “When India curtailed its rice exports in the second half of 2023,…

China issued a stark warning on Wednesday concerning the European Union’s planned tariff increases on Chinese electric vehicles (EVs), suggesting such EV tariffs would detrimentally impact Europe’s economic interests and escalate protectionism. The European Commission anticipates implementing additional duties potentially reaching 25%, adding to the current 10%, according to industry insiders. Lin Jian, a spokesperson for the Chinese foreign ministry, expressed vehement opposition to these tariffs, stating they contradict the principles of a market economy and global trade norms. “This action compromises both China-EU economic and trade cooperation and the stability of the global automobile production and supply chain,” Lin…

Australian Trade Minister Don Farrell is hopeful that the enduring prohibition on Australian live lobster imports by China will be lifted soon. This optimism stems from the planned visit of Chinese Premier Li Qiang to Australia, the first visit of its kind by a Chinese premier in seven years. The lobster embargo is the final obstacle of various trade barriers set up by China in 2020, encompassing limitations on several Australian goods like beef, barley, coal, wood, and wine. These measures, costing Australian exporters around 20 billion Australian dollars yearly, were part of a broader diplomatic standstill. Tensions escalated between…

Colombia has enacted a temporary halt to coal exports to Israel, prompted by an alliance comprising Palestinian organizations, Colombian trade unionists, and indigenous groups. This decisive action, announced by Colombian President Gustavo Petro, aligns with the International Court of Justice’s directives demanding Israel cease its operations in Rafah. The suspension traces back to advocacy by the Palestinian Institute for Public Diplomacy (PIPD) and Sintracarbon, Colombia’s principal coal miners union. Their concerted efforts culminated in a June correspondence to President Petro, urging a cessation of coal exports to counter what they term ‘ongoing genocide.’ The correspondence sharply criticized the role of…

The Reserve Bank of India (RBI) has enabled banks from 22 diverse nations to establish Special Vostro Rupee Accounts (SVRA), for facilitating payments in Indian rupees on the international stage. This list encompasses countries across several continents including Bangladesh, Belarus, Botswana, Fiji, Germany, Guyana, Israel, Kazakhstan, Kenya, Malaysia, Maldives, Mauritius, Myanmar, New Zealand, Oman, Russia, Seychelles, Singapore, Sri Lanka, Tanzania, Uganda, and the United Kingdom. As of now, active Vostro accounts exist in Russia, Sri Lanka, and Mauritius, with plans underway for approximately 12 more countries to join this initiative. Indian banks are set to establish 92 SVRAs for their…