India Addresses US Concerns On IT Hardware Imports At WTO

On Tuesday, India informed the World Trade Organization (WTO) that it does not intend to extend the application of the import management system to IT hardware products, including personal computers and laptops, beyond the items already specified.

Addressing queries raised by the United States, New Delhi explained that before issuing the notification on August 3, consultations with the industry were conducted. A transition period of three months until October 31, 2023, was provided, during which additional feedback from trade and industry was actively sought, as per a report by the Economic Times.

The significance of India's statement lies in the industry's previous complaint about the abrupt nature of the measure. Concerns on this matter were raised by the United States, China, South Korea, and Taiwan at the WTO.

The measure was stated by the United States to be a factor leading its companies to reconsider business engagements in India, with potential repercussions on its export activities.

India informed the WTO that on October 19, an additional notification was released, introducing a new authorization system for the import of laptops, tablets, and personal computers. The objective is to oversee the shipments of such hardware.

The newly implemented import management system became effective starting November 1. In response to inquiries about the duration of the monitoring phase and the possibility of delaying its complete implementation, India clarified that there is currently no such proposal, as per the report.

India informed the WTO that the current system was established to effectively manage and monitor the import of designated IT hardware products, aiming to strengthen the supply chain and address national security concerns.