ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • Survey
  • videos
  • photos
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • RBI extends implementation of card tokenisation norms by 3 months; deadline extended till 30 September
  • EXCLUSIVE: 'Noida International Airport at Jewar to be jewel in crown of Indian aviation sector' - Know what all is coming up at
  • D-Street Corner: Market gains 2.7% in highly volatile week, investors richer by 5.5 lakh cr; what should investors do on Monday?
  • Sebi allows UPI payment option to invest in public issues of REITs, InvITs with effect from 1 August
  • Netflix lays off 450 employees in two months—Here's what's bothering OTT giant
Read in App
Business News » World News

U.S. lawmakers urge Trump administration to not end India's trade privileges

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App

Twenty-four U.S. members of Congress sent a letter on Friday to U.S. Trade Representative Robert Lighthizer, urging him not to end a vital trade concession for India, a day before the Trump administration is likely to announce a decision on it.

Ending the Generalized System of Preferences (GSP), which allows preferential duty-free imports of up to $5.6 billion from the South Asian nation, would impose "hundreds of millions of dollars annually in new taxes" on American companies, the lawmakers said in a bipartisan letter led by Democratic Representative Jim Himes from Connecticut.

"In the past, even temporary lapses in such benefits have caused companies to lay off workers, cut salaries and benefits, and delay or cancel job-creating investments in the United States," the letter says. They urged the administration to continue negotiating a deal with India that would protect American jobs.

A decision to scrap the trade privilege comes as President Donald Trump has vowed to cut the U.S. trade deficit and repeatedly called out India for high tariffs.

India is the world`s largest beneficiary of GSP, which dates from the 1970s, and ending its participation would not only be the strongest punitive action against the country since Trump took office, but would also open a new front in the global trade war.

The elimination of GSP is likely to bring retaliatory tariffs from New Delhi, according to a senior source with direct knowledge of the matter. Last June, India said it would step up import duties varying from 20 percent to 120 percent on a slew of U.S. farm, steel and iron products, angered by Washington`s refusal to exempt it from new steel and aluminium tariffs.

But it has since repeatedly delayed adopting the higher duties - a move that could be implemented if GSP is withdrawn, the source added.

India is hoping the decision to end the trade privilege is delayed and the Trump administration is open to further negotiations, the source said. In April, Republican Senator John Cornyn and Democratic Senator Mark Warner, co-chairs of the Senate India caucus, urged Lighthizer to delay adopting the plan.

India sent a trade package listing the concessions it was willing to make to the USTR in late February but hasn`t heard from them, the source said.

"They are usually very responsive so it is highly unusual for them to not respond to the trade package that was sent," the source said.

The decision to drop GSP is also ill-timed as it comes in the middle of elections in India, hampering the country`s ability to negotiate further, the source added.

Despite close political ties between the two countries, trade between India and the United States, which stood at $126 billion in 2017, is widely seen to be performing at nearly a quarter of its potential.

Trade relations suffered in the past few months after India adopted new rules on e-commerce, reining in how U.S. companies such as Amazon.com Inc and Walmart Inc can do business in the country.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Economy
Updated: Sat, May 04, 2019
12:44 am
Reuters
RELATED NEWS
India suffering from low labor participation rate, rupee depreciating in the world, says RBI Deputy Governor Michael Patra India suffering from low labor participation rate, rupee depreciating in the world, says RBI Deputy Governor Michael Patra
Investment through participatory notes declines to Rs 86,706-cr in May Investment through participatory notes declines to Rs 86,706-cr in May
India’s sports sector to be next hot investment destination - US$100bn industry by 2027 | Details of report India’s sports sector to be next hot investment destination - US$100bn industry by 2027 | Details of report
PM Narendra Modi to inaugurate Vanijya Bhawan and launch NIRYAT portal - Date, time and other details PM Narendra Modi to inaugurate Vanijya Bhawan and launch NIRYAT portal - Date, time and other details
Bank privatisation may gather pace as government plans to pass Banking Law Amendment Bill in upcoming Monsoon Session: Sources Bank privatisation may gather pace as government plans to pass Banking Law Amendment Bill in upcoming Monsoon Session: Sources

LATEST NEWS

D-Street Corner: Market gains 2.7% in highly volatile week, investors richer by 5.5 lakh crore; what should investors do on Monday?

RBI extends implementation of card tokenisation norms by 3 months; deadline extended till 30 September

RBI exploring options to ensure customer safety dealing with PPIs issued by non-bank entities

Auto major Ford extends production at Tamil Nadu plant till July-end

This Mukul Agrawal textile stock may grow over 52% on strong export outlook and government initiatives

How has technology changed the face of investing and what lies ahead? Analyst decodes

iOS users can now securely save their passwords in Chrome

Fintech's halt PPI loan, buy now pay later services as RBI restrictions posing challenges

Sebi allows UPI payment option to invest in public issues of REITs, InvITs with effect from 1 August

Money Guru: How to plan investment in an uncertain market? When is the right time to make a new investment?

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV