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Monday
June 2018
6:02 AM IST
News Headlines
Dantewada: Goods train derailed, Naxal hands suspected        Never planned to meet Railway Minister Piyush Goyal in Delhi: Kerala CM Pinarayi Vijayan        GST rides on federalism: Narendra Modi        15 Killed, 10 Injured as Tractor-trolley Falls Into Canal in Telangana        Saudi Arabia's ban on women driving ends officially        White House spokesperson Sanders says she was kicked out of restaurant        Germany: Huge explosion rips through apartment building, leaves 25 injured        Hat-trick hero Kane helps England reach knockouts after beating Panama 6-1        Roger Federer loses No.1 spot as Borna Coric stuns him in Halle Open final        Federer beats Kudla to reach 12th Halle final        Hockey: Clinical India crush Pakistan 4-0 in CT opener        Infosys stable and on verge of something momentous: Nilekani        Boko Haram raid kills five in Nigeria: residents        Musharraf says he has not quit politics        AP will be torn apart if 'monkey gangs' come to power: CM        Congress neglected development of cities: PM        BJP will not allow Kashmir to get disintegrated from India: Shah        Wary of hacks, World Cup teams get serious on cybersecurity        You pass YoYo test, you play for India, says Shastri, Kohli endorses        Prof Debashis Chatterjee assumes charge as Director of IIM-K        
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Business News
India braces for Donald Trump's reciprocal tax, may fight it in WTO
 
India is gearing up for a tough fight following America’s repeated threat of imposing a “reciprocal tax” on countries with which it has a trade deficit. “We will oppose such a move on the basis of the principles involved,” a senior Commerce Department official told Business Standard. The issue could possibly be taken up at the World Trade Organization’s disputes settlement body as well, experts said.

On Friday, US President Donald Trump signed two proclamations that levied a 25 per cent tariff on steel and 10 per cent on aluminium imported from all countries except Canada, Mexico and Australia. While the exact details of the new order are not known, the contentious tariffs will come into effect in 15 days. While the US focused on China for the larger part of Trump’s first year in office, India has been a target in the recent past. Trump voiced his disappointment against “unfair” treatment of American exports to the country even as India enjoys free access to the US market. “We’re going to be doing a reciprocal tax programme at some point, if China is going to charge us 25 per cent or if India is going to charge us 75 per cent. If they are at 50, or they are at 75 or they are at 25, we are going to be at the same number,” Trump said on Friday.

“Reciprocal tax” is a new concept in the global trade rules. “The US President may not have a clear idea about how reciprocity works at the WTO. Each country has some flexibility to change its customs duty as long as it does not break its larger commitments under the fixed bound rates,” Abhijit Das, head of the Centre for WTO Studies, said.

Under the norms of the WTO, which oversees global trade law for its 164 member nations, the bound tariff rate is the customs duty rate committed by a country to all other members under the most favoured nation principle, which prohibits discrimination in tariffs. Pointing out that it is not known as of now whether the US move is within the bound rate, Das clarified that India has never raised its tariffs beyond the fixed bound rates, which are arrived at after lengthy trade negotiations and vary for every nation.

India’s decision to raise import duties as announced in the last Budget was within the rates, according to Das. When a country raises a tariff to a higher level, those adversely affected can seek remedy through the dispute settlement body (DSB) of the WTO.


“The US has single-handedly and consistently blocked the appointment of judges to the seven-member DSB. Currently, three members have retired and a fourth is set to retire soon,” senior trade expert and Jawaharlal Nehru University professor Biswajit Dhar said. India had repeatedly raised this issue during the last ministerial conference of the WTO at Buenos Aires in Argentina, with Commerce and Industry Minister Suresh Prabhu urging swift action to resolve the impasse. “This is part of a larger plan to destabilise the WTO structure and force India and other nations to come into a bilateral agreement with the United States,” Dhar added.


Infosys stable and on verge of something momentous: Nilekani
Prof Debashis Chatterjee assumes charge as Director of IIM-K
Air India set to have 'Maharaja' class seats on international flights
Taj group acquires Lutyen's Delhi hotel in NDMC auction
Air India set to have 'Maharaja' class seats on international flights
Google announces training programme for journalists
Sensex tanks 261 pts as US-China trade spat escalates
FCA India launches Jeep Compass variant at Rs 17.53 lakh
RBI releases June '18 issue of monthly bulletin
Walmart expects to close Flipkart deal by the end of 2018
Passenger vehicle sales rise 20% in May
Cabinet approves bailout package for sugar industry
India to enter top 10 OTT video markets in 4 years: PwC
Kochhar on annual leave, not forced one: ICICI Bank
In AirAsia Case, CBI To Probe Role Of 2 Former Ministers
London police seize bitcoin worth $667,000 from hacker
PNB fraud: ED files charge sheet against Nirav Modi, associates
Natco Pharma PAT for Q ending March 31 up by nearly 70 pc
SBI Q4 loss at Rs 7,718 crore as NPA provisions jump
PNB fraud: ED attaches Nirav Modi’s properties worth Rs 171 cr
KERALA NEWS
Kerala among 13 states on thunderstorm alert
 (New Delhi, May 7, 2018): Thunderstorms accompanied by squall, hail and heavy rains are likel  
Kerala Karshaka Jadha Opens to a Great Beginning / Video
Malappuram press club attack: RSS workers nabbed
Workers injured in mudslide at construction site
INTERNATIONAL NEWS
Saudi Arabia's ban on women driving ends officially
 (Riyadh, June 24, 2018):Saudi women are now officially allowed to get behind the wheel after
White House spokesperson Sanders says she was kicked out of restaurant
Germany: Huge explosion rips through apartment building, leaves 25 injured
Boko Haram raid kills five in Nigeria: residents
NATIONAL NEWS
Dantewada: Goods train derailed, Naxal hands suspected
 (Dantewada, June 24, 2018):Eight coaches and engine of a goods train travelling through Dante
GST rides on federalism: Narendra Modi
15 Killed, 10 Injured as Tractor-trolley Falls Into Canal in Telangana
AP will be torn apart if 'monkey gangs' come to power: CM
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