Trade Tensions Escalate: US Rejects India's Tariff Claims at WTO

In a significant development in international trade, the United States has dismissed India's claim at the World Trade Organization (WTO) that the US tariffs on automobiles and auto parts are safeguard measures. The US insists these are imposed on the grounds of national security.

This move could heighten tensions, with India reserving the option to implement retaliatory tariffs against these US-imposed duties. India argues the levies are harming its domestic industry, branding them as safeguard measures.

Despite the ongoing contention, ongoing negotiations for a bilateral trade pact between the two nations continue. The Indian delegation is currently in Washington for the fifth round of discussions.

(With inputs from agencies.)