logo
Tariff Tracker, May 13: India retaliates against US metals tariffs, Trump visits the Gulf

Tariff Tracker, May 13: India retaliates against US metals tariffs, Trump visits the Gulf

Indian Express13-05-2025

India informed the World Trade Organization (WTO) on Monday (May 12) of its proposed retaliatory tariffs against the US, in response to the duties on steel and aluminium.
The US President landed in Riyadh on Tuesday morning, kicking off a three-nation tour that will also see him visiting the UAE and Qatar. The trip is expected to highlight his renewed global outreach policy, seeking exceptional investments in the US for better bilateral relations.
In a document submitted to the WTO, India identified the American metals tariffs, effective from March 12, as 'safeguard measures'. The WTO's Agreement on Safeguards (AoS) identifies safeguards as protectionism that a member country may invoke if it determines that certain product imports are significantly large and may 'cause or threaten to cause serious injury' to the corresponding domestic competitor.
The same agreement lays out terms for concessions and obligations to be complied with, as well as reasons to suspend the same. India has thus invoked its right to suspend 'concessions and other obligations' described in Article 8.2 of the AoS.
The document says that the tariffs affect $7.6 billion worth of Indian exports into the US, on which $1.91 billion would be collected as duties. Therefore, India's 'proposed suspension of concessions would result in an equivalent amount of duty collected from products originating in the United States,' according to the document. It is currently unclear what US products would be targeted.
This move is not unprecedented for India. In 2019, Bloomberg reported that India had imposed retaliatory customs duties on 28 American goods, in response to Trump's 2019 decision to end trade concessions on $5.7 billion of goods shipped by India to the US.
US Treasury figures released Monday revealed that Trump's tariffs generated an additional $15 billion in government revenue in April. Incidentally, April was also the month with the largest increases in US tariffs: the 10% duty on all American imports effective from April 5, and the escalating Chinese tariffs amounting to 145% by April 9.
The US and China announced a 90-day pause on tariffs over the weekend, effectively reducing mutual tariffs by 115% each. Further, the US President Monday announced an executive order slashing the prices of pharmaceutical drugs in what he described as the 'most-favored-nation' pricing model.
Despite this, economic growth in the US would likely be slow and prices high, according to Federal Reserve Governor Adriana Kugler. 'Trade policies are evolving and are likely to continue shifting,' she said Monday. 'Still, they appear likely to generate significant economic effects even if tariffs stay close to the currently announced levels, and the uncertainty associated with these tariffs has already generated effects on the economy through frontloading, sentiment and expectations.'
This follows the Fed's decision to maintain the status quo last week, opting not to trigger inflationary risks by slashing interest rates.
Investors will also be keenly watching the US inflation report after its release on Tuesday, with the data released by the Bureau of Labor Statistics expected to reflect the first signs of the impact of Trump's tariffs. A Bloomberg survey of economists indicated a rise of 0.3% in the Consumer Price Index (CPI) from March, after falling the previous month. However, the impact would be contained, given that most imports reached the US before the tariffs became effective.
Trump's visit to the Middle East, beginning Tuesday, is expected to unveil a series of deals in security. This marks the second foreign visit of his second term, which he will begin by attending the Saudi-US Investment Forum. Notably, the current trip does not include a scheduled visit to Israel, a long-time US ally. However, he may visit Turkey to mediate a possible ceasefire deal between Russia and Ukraine
Trump is looking to secure $1 trillion in Saudi investments, including offering the kingdom an arms package worth over $100 billion, according to a Reuters report. A landmark agreement on trade and defence, underway last year, was put on the back burner over Saudi insistence that Israel commit to granting Palestine statehood. Another key goal for the kingdom is US support for a Saudi civil nuclear programme, hinged on its ability to enrich Uranium domestically, according to CNN reporting.
CNN also reported that the US had announced a weapons sale of over $1.4 billion to the UAE days before the visit. The UAE has committed to spending $1.4 trillion in US investments over 10 years. The UAE visit will likely yield trade announcements in AI, semiconductors, manufacturing, and energy.
Of the three nations, the US maintains the most formalised security ties with Qatar, and had signed a ten-year agreement last year to extend American military presence in the country. According to CNN, the Al Udeid Air Base, located in the desert southwest of Doha, is the biggest US military installation in the Middle East and can house more than 10,000 American troops.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Campus crackdown: US education department threatens Columbia University's accreditation; cites antisemitism concerns
Campus crackdown: US education department threatens Columbia University's accreditation; cites antisemitism concerns

Time of India

time24 minutes ago

  • Time of India

Campus crackdown: US education department threatens Columbia University's accreditation; cites antisemitism concerns

Columbia University campus (File photo) The US administration led by President Donald Trump has intensified its conflict with Columbia University, stating that the institution fails to meet accreditation criteria due to inadequate protection of Jewish students. "After Hamas' October 7, 2023, terror attack on Israel, Columbia University's leadership acted with deliberate indifference towards the harassment of Jewish students on its campus," stated US Secretary of Education Linda McMahon on Wednesday. The Office for Civil Rights at the US Department of Education announced Wednesday that it had informed the Middle States Commission on Higher Education about Columbia University's alleged Title VI Civil Rights Act violation, as per an Education Department release. "The US Department of Education's Office for Civil Rights (OCR) today notified Middle States Commission on Higher Education (the Commission) that its member institution, Columbia University, is in violation of federal antidiscrimination laws and therefore fails to meet the standards for accreditation set by the Commission," stated the release. The federal body claimed that the university appears to no longer satisfy the commission's accreditation requirements. The comes as the US government escalates its scrutiny of elite academic institutions regarding allegations of widespread antisemitism and progressive prejudice. According to Columbia's website, accreditation, administered by non-profit organisations, is essential for university students to access federal funding, including grants and loans. "We look forward to the Commission keeping the Department fully informed of actions taken to ensure Columbia's compliance with accreditation standards including compliance with federal civil rights laws," McMahon added to her statement. The Middle States Commission on Higher Education acknowledged, to CNN, the receipt of Wednesday's letter. Columbia faced accusations last month of breaching federal civil rights law through "deliberate indifference" to Jewish student harassment since October 7, 2023, corresponding with Hamas's attack and Israel's subsequent military response in Gaza. A Columbia representative characterised these findings as progression in their collaborative efforts with the government to address antisemitism on campus. This forms part of the federal government's Joint Task Force to Combat Anti-Semitism initiatives, established following Trump's February executive order. Trump further addressed college accreditation through an April executive order, directing the education secretary to ensure accreditors' accountability through various measures for poor performance or Civil Rights Act violations, as detailed by a White House official to CNN. The Education Department confirmed Wednesday its responsibility to inform accreditors about member institutions' non-compliance findings, in accordance with Trump's executive order. Leading US universities, including Columbia, face substantial pressure from the administration to implement policy changes or risk losing federal support. In March, Columbia implemented comprehensive policy changes after the administration threatened to withdraw $400 million in grants and contracts over alleged insufficient action against campus antisemitism.

Zelenskyy calls for meeting with Trump, Putin & Erdogan as Istanbul ceasefire talks fail a 2nd time
Zelenskyy calls for meeting with Trump, Putin & Erdogan as Istanbul ceasefire talks fail a 2nd time

The Print

time31 minutes ago

  • The Print

Zelenskyy calls for meeting with Trump, Putin & Erdogan as Istanbul ceasefire talks fail a 2nd time

'We will be grateful if President Trump supports such an idea. I am confident President Erdogan will support. He told me during our meeting that he wanted a meeting of four leaders. President Erdogan, President Trump, me, and Putin. We are ready for such a meeting on any day,' added the Ukrainian President. In a statement on X, Zelenskyy said, 'We are ready for the leaders' meeting. Any place. Istanbul, Vatican, Switzerland. We propose a meeting starting Monday and further. A ceasefire before is important. When we meet it will become clear if there is will for deescalation. If no, the ceasefire will end on the same day.' New Delhi: Ukrainian President Volodmyr Zelenskyy Wednesday called for a meeting between him, Russian President Vladimir Putin, US President Donald Trump and Turkish President Recep Tayyip Erdogan to broker an end to the Russia-Ukraine war, as ceasefire talks in Istanbul failed for a second time. The Ukrainian president made the comments a day after interlocutors from Kyiv and Moscow met at Istanbul. At the 2 June meeting, the two sides agreed to exchange the bodies of 12,000 fallen soldiers and severely wounded prisoners of war. However, there was no agreement on a ceasefire. This was the second meeting between the two countries in Istanbul. US President Trump has been urging both sides to agree to a ceasefire, applying pressure on Kyiv in particular to ensure such an agreement is reached. The two sides met in the Turkish capital in May as well but there was no agreement on a ceasefire. Russia handed over a 'memorandum' to Kyiv during the 2 June meeting in Istanbul, outlining its demands to resolve the conflict, which includes the recognition of five Ukrainian territories it has partially occupied since the war began as a part of Russia, along with the withdrawal of Ukrainian troops from these territories. I spoke with media on the day of remembrance for Ukrainian children killed by Russia. In Istanbul, Russians gave us an ultimatum, not a 'memorandum'. Peace requires a meeting of leaders. I am ready to meet in the coming days with Putin, as well as presidents Trump and Erdogan. — Volodymyr Zelenskyy / Володимир Зеленський (@ZelenskyyUa) June 4, 2025 The other demands include the abandoning of Ukraine's aspirations of joining the North Atlantic Treaty Organisation (NATO), as well as a demobilisation of the Ukrainian armed forces. Russia called on Ukraine to retain its neutrality, and terminate some of its international agreements. The territories Russia has called to be internationally recognised as Russian territory are: Luhansk, Donetsk, Kherson, Zaporizhzhia and Crimea. The war has been ongoing for more than three years. It began in February 2022 with Russia launching a full scale military operation on Ukraine. Also Read: Ukraine's Op Spider's Web shows novel drone tactics, offers lessons for India's modern warfare Russian memorandum rejected by Ukraine Zelenskyy rejected all Russian demands Wednesday. The Ukrainian President called the memorandum shared by Russia as an 'ultimatum', while asserting that Moscow is not interested in 'deescalation' of the conflict. 'Why I call what they gave us an ultimatum? Go no further than the first point: international recognition of five Ukrainian regions as Russian and the withdrawal of Ukrainian forces from them. Absolute ultimatum. Contradicts the UN Charter, Ukraine's Constitution, and basic logic,' Zelenskyy said. The Ukrainian president added, 'On NATO. Our document that we passed to the Russians clearly states that Ukraine's membership is a matter for all NATO allies to decide. They need to have unity both to invite us and also to decide not to invite us to NATO. Such decisions are also made by consensus of all allies.' Zelenskyy referred to further demands from Russia as either 'spam' or 'useless items'. He also called for sanctions on Moscow, given there is no interest for a ceasefire emanating from the Kremlin. The Ukrainian president called for the meetings between leaders as the current level of the delegation representing Moscow 'does not decide anything', a fact shared by the delegation itself, according to Zelenskyy. The 2 June meet in Istanbul came a day after Operation Spiderweb was launched by the Ukrainian forces, which struck at multiple airbases deep inside Russia, destroying a number of Tu-95 and Tu-22 strategic bombers, as well as A-50 airborne radar and command planes. Ukraine claims it destroyed at least 41 military aircraft. Russian leaders, including former President Dmitry Medvedev, have vowed 'retribution' for the attack by Kyiv, which included the use of 117 drones, including 34 which were smuggled into Russia, in a maneuver reminiscent of the Trojan Horse, from Greek mythology. 'Had there been a ceasefire before our operation, there'd be no operation. Wanting a ceasefire doesn't mean we do nothing in the meantime,' Zelenskyy said on Operation Spiderweb. Ukraine has been clear that there will be no compromise on its territory and that it will retain the right to foreign policy choices as a sovereign country. In an exclusive interview with ThePrint earlier this year, Foreign Minister Andriy Sybiha made it clear that these are 'the red-lines' for Kyiv. (Edited by Ajeet Tiwari) Also Read: How global & Russian media reported on Ukraine's Op Spiderweb, drone strikes on Russia's key airbases

French trade minister meets Piyush Goyal, says France one of India's best economic partners
French trade minister meets Piyush Goyal, says France one of India's best economic partners

The Print

time31 minutes ago

  • The Print

French trade minister meets Piyush Goyal, says France one of India's best economic partners

'With my Indian counterpart Piyush Goyal, I reaffirmed a conviction: France is one of India's best economic partners… Reforms, stability, innovation, access to EU and India markets: there's everything to strengthen our bilateral relationship,' Saint-Martin stated in a post on X. The minister highlighted the potential to further strengthen bilateral ties through 'reforms, stability, innovation, and enhanced market access to the EU and Indian markets.' Paris : French Foreign Trade Minister Laurent Saint-Martin on Tuesday reaffirmed the 'conviction' that France is one of 'India's best economic partners' after his meeting with Union Commerce and Industry Minister Piyush Goyal in Paris. Following his meeting with Goyal, Saint-Martin also expressed optimism about the ongoing India-EU Free Trade Agreement (FTA) negotiations, anticipating a possible agreement in the coming weeks or months. 'It's important to demonstrate that we believe in free trade, not trade wars,' he stressed. 'Minister Goyal arrived with a strong business delegation – over 50 companies, which is significant. At a time when global trade is facing challenges, we believe it's crucial for India and France to strengthen their ties… The European Union and India are progressing toward a Free Trade Agreement, and as a member of the European Commission, we fully support this… I'm optimistic that we could see an agreement in the coming weeks or months… It's important to demonstrate that we believe in free trade, not trade wars,' the French Minister told reporters. He emphasised the importance of fostering deeper cross-border trade and investments between the two nations. 'At the same time, we must foster deeper bilateral relations between France and India, which means enhancing cross-investments, more cross-border trade… All the friendship that President Macron and PM Modi have will, of course, help our bilateral relations to go deeper now,' he added. Earlier on Monday, the Union Minister held a productive meeting with French Minister of Economy, Finance, and Industrial and Digital Sovereignty, Eric Lombard, focusing on deepening the India-France economic partnership with an emphasis on trade, investments, and technology cooperation. The discussions, which took place during Goyal's three-day official visit to France, also reviewed the progress of the India-EU Free Trade Agreement (FTA) negotiations, signalling a strong intent to bolster bilateral ties amidst a shared commitment to innovation and economic growth. 'Held a productive meeting with Eric Lombard, French Minister of Economy, Finance, and Industrial and Digital Sovereignty. Exchanged views on deepening our economic partnership, enhancing trade & investments with a special focus on technology and innovation across key sectors. Also discussed the progress of the India-EU FTA negotiations. Looking forward to stronger India-France economic ties,' Goyal said in a post on X. He also expressed optimism that India could finalise its Free Trade Agreement (FTA) with the European Union (EU) ahead of the year-end deadline, citing minimal divergences between the two economic blocs. Goyal also held a series of high-level meetings in Paris with top French CEOs to explore new opportunities for India's growth across key sectors such as renewable energy, automobile manufacturing, electric vehicles (EVs), and consumer products. The minister commenced his three-day official visit to Paris on Sunday as part of his ongoing visit to France and Italy from 1 to 5 June 2025. This report is auto-generated from ANI news service. ThePrint holds no responsibility for its content Also read: US, India to give preferential access to each other's businesses, says Piyush Goyal

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store