US fixes June 5 GSP deadline for India, New Delhi calls it ‘unfortunate’  

Donald Trump.

New Delhi: The USA President Donald Trump said, on Friday, that America would end its preferential trade treatment for India on June 5.

This announcement of the deadline comes following Trump’s March decision to remove India from the “Generalized System of Preferences” programme.

This decision of ending preferential treatment to India came when the USA is already engaged in a trade war with China – the world’s second-largest economy.

Trump while responding on this issue said, “I have determined that India has not assured the United States that India will provide equitable and reasonable access to its markets.”

It is to be noted that India is the biggest beneficiary of the GSP, which allows preferential duty-free imports in the US of up to $5.6 billion from the country.

In retaliatory action, Indian officials have asserted that India will impose higher import duties on more than 20 US goods if Trump drops India from the programme.

While responding on this matter Indian ministry of commerce, on Saturday, said India had offered several resolutions, which, however, “didn’t find any acceptance by the US”.

Issuing an statement, the ministry of commerce said, “India, as part of our bilateral trade relations, had offered resolution on significant US requests to find a mutually acceptable way forward. Unfortunate that this didn’t find acceptance by the US.”

Indian officials also expressed hope that the issue was a “part of a regular process” which “gets resolved mutually from time to time”.

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