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Hans India
3 days ago
- Politics
- Hans India
In Geneva, hopes fading in final talks on plastic treaty
At the halfway point of the resumed fifth session of the Intergovernmental Negotiating Committee (INC-5.2) in Geneva to develop an international legally binding instrument on plastic pollution, including in the marine environment, delegates have sought fast-track efforts to provide a treaty truly capable of ending plastic pollution. Also, the International Indigenous Peoples' Forum on Plastics (IIPFP) has called on governments to uphold their rights in all aspects of the treaty, as affirmed by the UN Declaration on the Rights of Indigenous Peoples (UNDRIP). At the stocktaking plenary on Saturday, delegates considered an 'assembled text' and discussed the negotiation process for the remaining four days. In Geneva, negotiators from 184 nations, including a strong delegation of Pacific Small Island Developing States (PSIDS), which continue to lead calls for a high ambition treaty that addresses the full lifecycle of plastics, are trying to hammer out the first-ever legally binding treaty on plastic pollution. The urgency of the talks was necessitated by a new study published in The Lancet that calls plastics a 'grave, growing and under-recognised danger to human and planetary health'. In 2023, global plastic production reached 436 million metric tons, while trade in plastics surpassed $1.1 trillion, accounting for five per cent of global merchandise trade. However, 75 per cent of all plastic ever produced has become waste, much of which leaks into oceans and ecosystems, says the UN Trade and Development. It says this growing imbalance threatens public health, food systems, ecosystems, and long-term development, especially in small-island and coastal nations. The average Most Favoured Nation (MFN) tariffs on plastic and rubber products have decreased from 34 to 7.2 per cent over the past three decades, making fossil fuel-based plastics artificially inexpensive. In contrast, natural alternatives such as paper, bamboo, natural fibers, and seaweed face average MFN tariffs of 14.4 per cent. According to the Earth Negotiations Bulletin, during the discussion, delegations were united on one thing: the negotiations are moving too slowly. On this, they made several suggestions, with Colombia calling for full days of informal negotiations and the EU and China urging the INC Chair to engage in 'shuttle diplomacy' to move the text forward. Many others were concerned about the 'unchecked' expansion of the text, with Fiji calling for a time-bound process to streamline the text. Several delegations called for a dedicated discussion on scope. Despite Indigenous Peoples' record attendance, an analysis by the Center for International Environmental Law (CIEL) reveals the disproportionate influence of polluting industries on these negotiations. At least 234 fossil fuel and chemical industry lobbyists, a new high compared to the 221 identified by CIEL at INC-5, have registered to participate in the fifth and final scheduled session of the INC-5.2 of the plastics treaty negotiations. It says the strong presence of lobbyists at this stage of the negotiations raises concerns about corporate influence at a pivotal moment, when negotiators are expected to finalise the treaty text and lay the groundwork for its adoption. In a written statement submitted to the plenary, the Alliance of Small Island States (AOSIS), representing the interests of the 39 small island and low-lying coastal developing states, made a firm call for a treaty rooted in accountability, ambition, and action. The underway negotiations follow INC-5, which took place in November-December 2024 in Busan in Korea. That meeting was preceded by four previous sessions: INC-1, which took place in Punta del Este in November 2022, INC-2, which was held in Paris in June 2023, INC-3, which happened in Nairobi in November 2023, and INC-4, held in Ottawa in April 2024. 'Plastic pollution is already in nature, in our oceans and even in our bodies. If we continue on this trajectory, the whole world will be drowning in plastic pollution -- with massive consequences for our planetary, economic and human health,' said Inger Andersen, Executive Director of UNEP. 'But this does not have to be our future. Together, we can solve this challenge. Agreeing on a treaty text is the first step to beating plastic pollution for everyone, everywhere,' Andersen said. Since Busan, in the run-up to INC-5.2, a series of informal ministerial meetings, regional consultations, and heads of delegations meetings have taken place. 'We are here today to fulfil an international mandate. This is a unique and historic opportunity for the international community to bridge differences and find common ground. It is not just a test of our diplomacy -- it is a test of our collective responsibility to protect the environment, safeguard human health, enable sustainable economies, and stand in solidarity with those most affected by this plastic pollution crisis,' said Luis Vayas Valdivieso, Chair of the INC. As of the opening day on August 4, more than 3,700 participants had registered to participate in INC-5.2, representing 184 countries and over 619 observer organisations.
Economic Times
5 days ago
- Business
- Economic Times
Trump tariffs: 17% effective rate, $50 billion customs revenue
Despite India being labeled the "tariff king," Fitch Ratings has estimated that the US effective tariff rate for all countries currently stands at 17% after the latest reciprocal tariff announcements, The Times of India reported. Before August 27, Indian goods faced an effective US tariff rate of 20.8%, including exempted products. In 2024, the latest year with data available from the World Trade Organization (WTO), India's simple average tariff was estimated at 16.2%, with agricultural products at 36.7% and non-agricultural goods at 13%. Following the February Budget, this average is expected to have declined further. According to the WTO database cited by TOI, the average US tariff in 2024 was 3.3%, with farm goods facing a 5% levy and non-agricultural products attracting a 3.1% import duty. However, additional duties exceeding 10% for most countries are set to push the average tariff higher. India and Brazil face an additional 50% tariff, while China and South Africa are in the 30% bracket. Though the US average tariff remains low—reflecting its long-standing support for low tariffs—certain goods face steep levies. For example, peanuts in shells have a Most Favoured Nation (MFN) duty of 54.6%, which will rise to nearly 105% for India and Brazil following the reciprocal tariffs. Peanut butter attracts a 44% customs duty, while various footwear categories face tariffs of 37.5% on an MFN basis. Other products with high duties include dates, apricots, and dried onions at around 30%, women's trousers and some tracksuits at 28.2%, and boys' trousers and bovine meat in the 26-27% range. Complex tariff structures apply to items like wristwatches, involving a mix of specific and ad valorem duties. The new tariffs are widely viewed as a revenue-generating measure by former President Donald Trump, with customs revenue hitting $30 billion (around Rs 2.5 lakh crore) in July. US Commerce Secretary Howard Lutnick told TOI in a recent interview that customs revenue is on track to reach $50 billion (approximately Rs 4.4 lakh crore), nearly double India's projected customs revenue for the 2025-26 fiscal year.
Canada News.Net
5 days ago
- Business
- Canada News.Net
Textile, Sea foods and organic chemical will be severely impacted because of 50% tariff: GTRI
New Delhi [India], August 8 (ANI): The recent move by the U.S. President to raise tariffs on Indian goods to 50 per cent, on top of the existing Most Favoured Nation (MFN) import duties, is set to hit several Indian export sectors hard, according to a report by the Global Trade Research Initiative (GTRI). The report highlighted that while the impact will vary across sectors, some of India's largest export categories may see a sharp fall in shipments to the U.S. GTRI stated 'This decision makes India one of the most heavily taxed U.S. trading partners, worse off than China (30 per cent) or Vietnam (20 per cent), and on par with Brazil'. Very high impact sectors include Shrimps, Organic Chemical, Carpets, Apparel, Diamond and Gold Jewellery. The report also stated that exports in certain sectors could drop by 50-70 per cent. Shrimps, which brought in USD 2 billion from the U.S. in FY2025 and account for 9.52 per cent of U.S. shrimp imports, will now face a 50 per cent tariff along with existing antidumping and countervailing duties of about 10 per cent. Competitors like Canada and Chile enjoy much lower tariffs. Organic chemicals worth USD 2.7 billion exported from India will now face a total tariff of 54 per cent, compared to just 15 per cent for Ireland and 39 per cent for Switzerland. Carpets, where India holds the largest U.S. market share at 35.48 per cent with exports of USD 1.2 billion, will be hit by a 52.9 per cent duty, making them less competitive against Turkey and China. The apparel sector will also suffer heavily. Knitted apparel exports worth USD 2.7 billion will face a 63.9 per cent tariff, while woven apparel worth the same value will attract 60.3 per cent duty. Made-ups, including bed linen and towels, will face a 59 per cent duty on USD 3 billion worth of exports. Diamonds, gold, and jewellery, India's top export sector to the U.S. at USD 10 billion, will now be taxed at 52.1 per cent. Machinery and mechanical appliances worth USD 6.7 billion will see a 51.3 per cent duty, and furniture worth USD 1.1 billion will attract 52.3 per cent. High impacting sectors, Steel, aluminium, and copper exports worth USD 4.7 billion will face a 51.7 per cent tariff, while auto parts worth USD 2.6 billion will be taxed at 26 per cent. Some key sectors remain unaffected. as they are exempted from 50 per cent duty. Pharmaceuticals worth USD 9.8 billion, smartphones worth USD 10.6 billion, and petroleum products worth USD 4.1 billion will continue to face zero or minimal tariffs, giving them a competitive edge. The report also warned that the high tariffs could significantly hurt India's market share in the U.S. for several sectors, especially those already facing strong competition from countries with lower or no tariffs. (ANI)
Euronews
5 days ago
- Business
- Euronews
Who got the best trade deal with the US - the EU or UK?
Although the deal concluded by the EU with the US setting a 15% tariff for EU goods seems less favourable than the UK's 10% blanket tariff rate, Commission officials contend that their agreement was the better on balance. '15% is the best available treatment,' a senior EU official said this week, referring to the rate at which the EU has accepted its goods will be tariffed by the US. 'If you specifically want to compare it to the UK, the first point to take note of is that the UK 10% tariff is not an all-inclusive rate,' the official added. European Commission President Ursula von der Leyen and US President Donald Trump reached a political agreement on 27 July in Scotland to end the trade strife waging since mid-March. The deal sets US tariffs at 15% on all EU imports and entered into force on 7 August, while negotiations continue on exemptions and a range of other issues. For its part, the UK concluded an agreement with the US on 8 May, called the US-UK Economic Prosperity Deal (EPD), which sets a 10% tariff rate on imports of UK goods to the US. All-inclusive rate However, according to the EU official, the 10% tariff rate within the US-UK deal did not incorporate existing US import tariffs applied to the UK, the so-called Most Favoured Nation (MFN) rates, that the US applied to foreign counties' imports before its new tariff policy. 'Unlike other US trade partners, this [EU] 15% tariff rate includes existing Most Favoured Nation (MFN) rates, meaning no stacking above the 15% ceiling,' Commission spokesperson Olof Gill has said of the EU-US deal. If the 4.8% average US tariffs applied until then to EU imports is deducted from the current 15%, the effective tariff applied to the EU comes closer to the UK's 10%. The same senior EU official took the specific example of cheese, 'an important product for the EU, but also a very important product, for the UK.' In the EU it will face a 15% tariff, while in the UK it will be 10% plus the 14.9% tariff which applies to that product under the existing terms, which means 24.9 %. 'Of course and in all transparency some products may have a slightly better treatment for UK exporters,' the official admitted, 'but there are many products that will be in a better position in the overall situation.' If the deal of 27 July is respected by the US, the EU's 15% tariff should apply to all goods, including semiconductors, pharma and cars, Gill said on Thursday. 'That is not something that the UK, at least not in writing, has obtained today,' the EU official added. Sensitive agriculture products On cars, the UK deal establishes that UK exports to the US will face 10% tariff only to a quota of 100,000 cars a year, above that quota the US will start applying 25% tariffs. The Commission on its side said it has secured a 15% rate on cars too, subject to no quota, meaning that an unlimited number can be imported at that rate. However, as of today, the US has yet to keep its word, however, and EU cars are still subject to a 25% tariff. The Commission also prides itself on not having made the commitments the British did in sensitive agricultural sectors such as beef and ethanol. On beef, the UK deal creates a preferential duty-free quota for US beef of 13,000 tonnes per year and removed the existing 20% UK tariff. On ethanol, the UK commits to preferential duty-free quota for US ethanol of 1.4 billion litres per year. For the EU, making concessions on such sensitive products is out of the question. 'The European union will not make commitments in sensitive sectors. So for example, ethanol and beef,' the official said.
Economic Times
5 days ago
- Business
- Economic Times
Shrimp, organic chemicals, apparel, jewellery exports may dip 50-70% due to Trump tariff: GTRI
ANI India-US trade (Image for representation) The imposition of a 50 per cent US tariff on Indian goods will impact exports of nine product categories, including shrimp, organic chemicals, apparel, and jewellery by 50-70 per cent, think tank GTRI said on Thursday. US President Donald Trump on Wednesday slapped an additional 25 per cent tariff, raising the total duties to 50 per cent on goods coming from India, as a penalty for New Delhi's continued purchase of Russian oil. The 50 per cent duty will come into effect from August 27. This is on top of the usual US import duties, called Most Favoured Nation (MFN) decision makes India one of the most heavily taxed US trading partners, worse off than China (30 per cent) or Vietnam (20 per cent), and on par with in its analysis, has categorised India's export segments in three categories- very high impact sectors (exports may be down by 50-70 per cent), high-impact sectors (exports may be down by 30-50 per cent), and low or no impact areas. In the first category, there are nine product categories - shrimp, organic chemicals, carpets, knitted and woven apparel, made-ups, diamonds, gold and jewellery, machinery and mechanical appliances, and furniture and high-impact segment goods are steel, aluminium, copper, and auto last category items are pharmaceuticals, smartphones, and petroleum products, the Global Trade Research Initiative (GTRI) exported USD 2 billion worth of shrimps to the US in FY2025, accounting for 9.52 per cent of total US shrimp now face a 50 per cent tariff, an antidumping duty and a countervailing duty of about 10 per cent."India faces stiff competition from Canada (16.16 per cent share, zero tariff under USMCA) and Chile (15.02 per cent share, 10 per cent tariff). With such high duties, Indian shrimps risk losing significant ground to lower-taxed competitors like Chile," GTRI founder Ajay Srivastava said. India exported USD 2.7 billion of organic chemicals to the US, holding a 5.11 per cent market share, and now faces a 54 per cent total tariff (4 per cent MFN + 50 per cent Trump tariff). In contrast, Ireland (36.11 per cent share) pays just 15 per cent, and Switzerland (6.46 per cent ) pays 39 per cent."Indian chemical exporters will struggle to stay competitive against these low-tariff suppliers," he said, adding that India is the largest exporter of carpets to the US, with a 35.48 per cent market share and USD 1.2 billion in export also said that with USD 10 billion in exports and a 13.63 per cent market share, this is India's top sector to the US, now facing 52.1 per cent duty (2.1 per cent MFN + 50 per cent).Switzerland (17.02 per cent) and Canada (10.44 per cent) pay lower duties -- 39 per cent and 35 per cent, the country exported USD 6.7 billion in machinery, with a 6.79 per cent share of US imports."Now facing a 51.3 per cent duty (1.3 per cent MFN + 50 per cent), India trails behind Mexico (19.92 per cent, zero tariffs), China (16.03 per cent, 30 per cent duty), and Taiwan (10 per cent, 15 per cent levy)," Srivastava said. "Top Indian firms include GE India, Bharat Forge, and JCB India. Tariffs could derail India's climb in advanced manufacturing exports," he noted.
