India has recently turned to the World Trade Organization, requesting consultations with the United States over tariffs imposed on aluminium and steel imports by the Trump administration in 2025.
As a valuable trade partner of the United States, exporting between 100,000-200,000 tonnes of aluminium and aluminium products in a year had earlier also sought consultations with the US to discuss tariffs, back in 2018 when the US government first imposed 25 per cent tariff on steel and 10 per cent on aluminium, justifying the move as necessary for protecting its domestic industry under national security grounds.
Seven years later, in February 2025, the US reaffirmed the flat 25 per cent tariffs on India's both aluminium and steel exports for an indefinite timeline. In response, India once again approached the World Trade Organization, asserting that "Notwithstanding the United States' characterisation of these measures as security measures, they are in essence safeguard measures,"
World Trade Organization is the only global international organisation that deals with trade rules between nations.
India asserted that the United States failed to notify the WTO Committee, as required under the provision of the Agreement on Safeguards (AoS), about its decision to implement safeguard measures. Hence, India, as an affected trade partner, has requested consultations with the US under Article 12.3 of the AoS, hoping for a prompt reply from America, including a proposed date and time to hold the consultations.
India's appeal to the WTO came shortly after Commerce and Industry Minister Piyush Goyal urged exporters not to panic, assuring them that discussions are underway to reach a balanced trade agreement with the United States. His remarks followed reports indicating that, despite a temporary 90-day pause, the baseline 10 per cent tariff on aluminium imports remains in effect. Goyal also highlighted that both nations are actively negotiating a bilateral trade agreement (BTA), aiming to more than double their current trade volume from approximately USD 191 billion to USD 500 billion.
India's aluminium exports to the US alone valued at USD 293 million in 2024. In the earlier year, it stood higher at USD 379.4 million, albeit less than 2022's peak of USD 723.7 million.
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