Skip to main content

India-US steel feud escalates as WTO sets up key panel

By
 India-US steel feud escalates as WTO sets up key panel
The compliance panel was set up on Friday after a meeting of the dispute settlement body, despite the US opposing the move
The ongoing trade spat between India and the US has intensified after the World Trade Organization (WTO) set up a compliance panel following India’s request on the non-implementation of the appellate body’s ruling against countervailing duties (CVD) imposed by the US on Indian hot-rolled carbon steel products.
Confirming the move, a commerce ministry official speaking under condition of anonymity said the compliance panel was set up on Friday after a meeting of the dispute settlement body, despite the US opposing the move.The case pertains to India filing a WTO complaint in 2012 against the US CVD on India’s exports of hot-rolled carbon steel flat products. The dispute settlement panel gave a mixed verdict in July, 2014 which was further challenged by both countries before an appellate panel, the highest adjudicating body at the WTO
India achieved a significant victory as the appellate body in its report in December 2014 ruled that the CVD imposed by the US is inconsistent with various provisions of the Agreement on Subsidies and Countervailing Measures (ASCM). The appellate body asked the US to amend the US Code which mandates cumulating subsidized imports and dumped imports to arrive at the injury margin. India had particularly challenged this measure as it has been affecting the CVD investigations by the US, leading to exorbitant duties against India.
However, India complained to WTO in June 2017 that even after the due period, US has not amended its domestic laws to make them compliant with the WTO rules. Both sides went through a consultation period but failed to resolve the matter. India finally requested setting up a panel to examine the US compliance in this matter which was accepted by the dispute settlement body on Friday.
India and the US have been engaged in a series of trade battles recently. The Trump administration has been accusing India of unfair trade practices and has challenged most of its export subsidies at WTO. It has also not granted India an exemption on the unilateral hike in steel and aluminium tariffs, unlike its other strategic allies. It has also announced a review of generalized system of preferences through which Indian exporters get preferential market access to the US and has kept India in its intellectual property rights priority watch list in its latest Special 301 report. The US treasury department earlier this month also added India to the currency practices watch list.

The Mint, New Delhi, 30th April 2018

Comments

Post a Comment

Popular posts from this blog

RBI deputy governor cautions fintech platform lenders on privacy concerns during loan recovery

By
  India's digital lending infrastructure has made the loan sanctioning system online. Yet, loan recovery still needs a “feet on the street” approach, Swaminathan J, deputy governor of the Reserve Bank of India, said at a media event on Tuesday, September 2, according to news agency ANI.According to the ANI report, the deputy governor flagged that fintech operators in the digital lending segment are giving out loans to customers with poor credit profiles and later using aggressive recovery tactics.“While loan sanctioning and disbursement have become increasingly digital, effective collection and recovery still require a 'feet on the street' and empathetic approach. Many fintech platforms operate on a business model that involves extending small-value loans to customers often with poor credit profiles,” Swaminathan J said.   Fintech platforms' business models The central bank deputy governor highlighted that many fintech platforms' business models involve providing sm
Post a Comment
Read more

Credit card spending growth declines on RBI gaze, stress build-up

By
  Credit card spends have further slowed down to 16.6 per cent in the current financial year (FY25), following the Reserve Bank of India’s tightening of unsecured lending norms and rising delinquencies, and increased stress in the portfolio.Typically, during the festival season (September–December), credit card spends peak as several credit card-issuing banks offer discounts and cashbacks on e-commerce and other platforms. This is a reversal of trend in the past three financial years stretching to FY21 due to RBI’s restrictions.In the previous financial year (FY24), credit card spends rose by 27.8 per cent, but were low compared to FY23 which surged by 47.5 per cent. In FY22, the spending increased 54.1 per cent, according to data compiled by Macquarie Research.ICICI Bank recorded 4.4 per cent gross credit losses in its FY24 credit card portfolio as against 3.2 per cent year-on-year. SBI Cards’ credit losses in the segment stood at 7.4 per cent in FY24 and 6.2 per cent in FY23, the rep
Post a Comment
Read more

India can't rely on wealthy to drive growth: Ex-RBI Dy Guv Viral Acharya

By
  India can’t rely on wealthy individuals to drive growth and expect the overall economy to improve, Viral Acharya, former deputy governor of the Reserve Bank of India (RBI) said on Monday.Acharya, who is the C V Starr Professor of Economics in the Department of Finance at New York University’s Stern School of Business (NYU-Stern), said after the Covid-19 pandemic, rural consumption and investments have weakened.We can’t be pumping our growth through the rich and expect that the economy as a whole will do better,” he said while speaking at an event organised by Elara Capital here.f there has to be a trickle-down, it should have actually happened by now,” Acharya said, adding that when the rich keep getting wealthier and wealthier, they have a savings problem.   “The bank account keeps getting bigger, hence they look for financial assets to invest in. India is closed, so our money can't go outside India that easily. So, it has to chase the limited financial assets in the country and
Post a Comment
Read more