WTO upholds Japan's complaint over India's safeguard on steel imports

Posted by On 4:38 PM

WTO upholds Japan's complaint over India's safeguard on steel imports

Skip to content

Your browser does not support JavaScript, or it is disabled.Please check the site policy for more information.

The Asahi Shimbun | Asia & Japan Watch

Language >

Business

>

article

WTO upholds Japan's complaint over India's safeguard on steel imports

REUTERS

November 7, 2018 at 07:30 JST

  • Share 0
  • list
  • Print

TOKYO/GENEVA-- A World Trade Organization (WTO) dispute panel largely upheld Japan's complaint against a safeguard duty imposed by India on steel imports for two-and-a-half years, a ruling published on Tuesday showed.

The ruling, which can be appealed by either side, said India had broken the WTO rules and urged India to take corrective action, even though the disputed duties ended in March this year. The corrective action is for potential duties retroactively to be put on imported steel.

Japan went to the WTO in 2016 to complain about the safeguard - an emergency tariff that WTO members can use to shield their industries against the threat of a sudden and damaging surge in imports. India set the duty at 20 percent in the first year, tapering to 10 percent in the final six months.

"The panel's ruling underlines that safeguard duties should not be easily imposed unless they are consistent with the WTO rules," Keiji Hattori, director at trade policy bureau at Japan's Ministry of Economy, Trade and Industry said.

"This case will be a precedent for other similar cases," he said.

A spokeswoman for India’s steel ministry was not immediately reachable for comment.

Use of safeguards are subject to strict criteria, and the panel said India's reasons did not reach the required standard, or show a rise in steel imports based on objective data.

However, India appeared to have opened itself up to a WTO challenge, since it could have simply raised its regular tariff on the iron and steel products and stayed within the rules.

The annual value of Japan's export of hot-rolled coils, used in automobiles, construction and industrial machinery, to India came to 56.84 billion yen ($502 million) in 2014. But the figure plunged after India imposed the duties on some hot-rolled flat steel products in September 2015.

The WTO panel's ruling should be adopted within 60 days, unless either of the parties appeals.

Japan, the world's second-biggest steel producer, usually tries to deal with trade disputes through bilateral talks, but with global trade friction increasing, Japan's defence of an industry that sells nearly half of its products overseas has become more vigorous.

  • Share 0
  • list
  • Print
Related News

What's New

How the catch of the day lands on Tokyo dinner plates in hours

North Indian city breaks Guinness record with Diwali lamps

With poo on a pedestal, Bill Gates talks toilet technology

SDGs

Recommended

  • Photo

    The Paradise Papers

    Featured here are videos, photos and graphics on how journalists dug into the more than 13 million documents leaked from Bermuda and elsewhere to uncover shady transactions through tax havens.

  • Photo

    Chasing Haruki Murakami

    Here are news reports and feature stories that keep you up to date on author Haruki Murakami.

  • Photo

    360-DEGREE LIVES

    The page features videos of variety of animals. You can view the videos as interactive images that allows you to pan and zoom in to them.

Videos

Learning English

In-house News and Messages

Link

BACK TO TOP

Copyright © The Asahi Shimbun Company. All rights reserved. No reproduction or republication without written permission.

Source: Google News Japan | Netizen 24 Japan

Next
« Prev Post
Previous
Next Post »