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The office of the United States Trade Representative (USTR) has announced that there will be not be a trade action against India but US will continue to raise market access concerns with India.
The USTR statement came after India had decided to impose retaliatory action against the U.S.’s tariffs on steel and aluminium by imposing tariffs on 29 goods from June 16,2019.
Further,USTR has also said that 301 probe was likely to be launched against India within the next six months unless substantive progress was made on trade issues.
A 301 probe can be wide in scope and can result in the U.S. imposing tariffs or taking other trade action against its trading partners if the parties do not come to a settlement.
In August 2017,the USTR had initiated an investigation against China under Section 301 of the U.S.’s Trade Act of 1974.In April 2018,the USTR had proposed tariff action against China based on investigation.
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