India Retaliates Against US Steel Aluminium Tariffs

India has formally notified the World Trade Organization (WTO) of its intent to impose retaliatory tariffs on 29 U.S. products, including agricultural and industrial goods, in response to the United States’ safeguard tariffs on steel and aluminium imports.

This move aims to counteract the adverse effects of U.S. measures on Indian exports, which New Delhi estimates impact $7.6 billion worth of goods, resulting in approximately $1.91 billion in duties. The U.S. initially imposed tariffs of 25% on steel and 10% on aluminium imports in March 2018, citing national security concerns under Section 232 of the Trade Expansion Act of 1962. These measures were revised in February 2025, with the updated tariffs taking effect from March 12, 2025.

India contends that these actions violate WTO rules and has sought consultations under the WTO’s Agreement on Safeguards. However, the U.S. maintains that the tariffs are essential for national security and should not be considered safeguard measures. India’s proposed retaliatory tariffs target a range of U.S. products, including apples, almonds, pears, anti-freezing preparations, boric acid, and certain iron and steel products. This strategy is designed to restore trade balance and protect India’s economic interests within the WTO framework. The escalating trade tensions come amid ongoing negotiations between India and the U.S. for a Bilateral Trade Agreement (BTA), with both nations aiming to double bilateral trade to $500 billion by 2030.

India’s move to impose retaliatory tariffs could influence the dynamics of these negotiations, potentially prompting both sides to seek a resolution that addresses the concerns of their respective industries. The situation underscores the complexities of international trade relations and the challenges countries face in balancing domestic economic interests with global trade commitments. As India moves forward with its proposed tariffs, the international community will be closely monitoring the developments and their implications for global trade dynamics.

India Retaliates Against US Steel Aluminium Tariffs