India to slap tariffs on 28 US products on Sunday – statement

The US goods affected by the Indian tariffs include iron and steel products, flat-rolled stainless steel, boric acid, tube and pipe fittings, screws, bolts and rivets. The hikes also target food products such as walnuts, chickpeas, lentils, apples, pears and artemia shrimps.

The new tariffs would allow India to receive around $217 million additional revenue from US imports, a source told the Times of India earlier.

An order to raise import taxes as high as 120 percent on a number of American-made goods was issued by the Indian government in June 2018. But it was delayed by New Delhi on several occasions as its trade talks with Washington were ongoing.

The standoff between New Delhi and Washington began last March, when US President Donald Trump imposed 25 per cent import duty on steel and 10 per cent tariffs on aluminum products. Being a major exporter of those items to the American market, India was hit hard by the move, losing around $240 million.

The sides tried to find common ground for over a year, but the trade talks collapsed earlier in June after the US withdrew export incentives to Indian companies under its Generalized System of Preferences (GSP) program, affecting $5.5 billion-worth of goods.

The US and India have been major trade partners during the past decade, with turnover between them standing at over $142 billion in 2018.