Joint monitoring system to track aluminium and steel exports from India to the US is in its final stages

On August 24, 2023, a senior official from the concerned department stated that establishing a collaborative monitoring system to oversee aluminium and steel exports from India to the US is nearing completion. This system must be in place before shipments of these metals from India can be introduced into the US market without incurring additional tariffs.

The official added that establishing a collaborative monitoring mechanism is in its concluding phases. This framework will facilitate the oversight of exports for these goods and promptly resolve any disputes.

In 2018, the administration of former President Donald Trump introduced extra tariffs on imports of these two metals using a national security statute. These tariffs amounted to 10% for aluminium and 25% for steel, and they were applied but not exclusively for India. The reciprocal trade duties resulted in both parties bringing grievances before the World Trade Organisation (WTO). When the Indian Prime Minister Narendra Modi visited the US in June 2023, both nations opted to conclude the disagreements alongside four others.

Following the resolution of the dispute, exports of aluminium and steel products from India to the US will now be granted an exemption from the imposition of additional duties. Approximately 80 per cent of aluminium and 70 per cent of steel exports will enjoy relief from these tariffs.