Why India is not retaliating against the US
NEW DELHI: The US decision to end the Generalised System of Preferences (GSP) for India from June 5, has surprisingly, come in for a mild criticism from the Indian government which described the US President Donald Trump’s decision as “unfortunate.” So why is New Delhi playing it so cool at the withdrawal of GSP?
Expiry date: The GSP was due to expire next year, in December 2020 — having been in force since 1975. All that Trump's decision does is to end it a year and a half before its deadline.
Peanuts on offer: The bilateral trade between the world's oldest and largest democracies was $65.1 billion in FY 19 (April-December) and despite it being heavily tilted in India's favour — exports to US accounted for $38.8 billion while imports from US were $26.3 billion — the benefits from the GSP status due to savings on import tariffs amounted to just $190 million as only $6 billion worth of Indian exports are duty free.
Why India isn't ruffled? For one, India has the option of taking the US’ GSP withdrawal to the WTO — it already has a precedent when it won against the EU's withdrawal of GSP in 2002 for being discriminatory against developing countries. Secondly, the US has in the recent past reinstated GSP after withdrawing it — as it did in Argentina's case last year after certain criteria were met.
Mutual need: The US is India's second largest trading partner, after China — which also explains why New Delhi has postponed retaliatory tariffs on $200 million worth of American goods eight times since last year, in response to US tariffs on Indian steel and aluminum. On the other hand, several US companies like Amazon, Walmart, Google and Facebook have invested billions of dollars to expand operations in India — and any major economic retaliation could put these in jeopardy.
译文来源：三泰虎 http://www.santaihu.com/47779.html 译者：Jessica.Wu
Ashok Kamath • Udupi • 20 hours ago
Ignoring USA actions is right step by Indian Government...USA can not be no.1 super power without India...
Ru Acharya• 269 • Ashok Kamath • 13 hours ago
That is not quite true. India needs US a lot more than the US needs India. I am sure in due time India will reach its potential. For now though, India is too small economically...
Rajju• 7592 • Ru Acharya • 12 hours ago
It''s not about who needs whom but to be stronger on your own rather than to be dependent on someone by taking unnecessary favors
F • Australia • 18 hours ago
Well, India may be bit poor country for the time being, but, it is not "under-developed" country by any means. I do not think that India will suffer in any way ? The worry is trade deficit of $63 billions and increasing, because of, Indian massive demand of Chinese low tech, cheap goods.
HSF • 12 hours ago
Well, India is indeed a poor country. millions of people live in below poverty and the lowest sanitation and poor hygiene.
meredilkisuno• HSF • mumbai • 10 hours ago
Poverty is because of few most corrupt have been in power for too long ,hopefully new generation will end it
p • 19 hours ago
USA is true friend of India from the day Dr. Manmohan Singh laid best friendship with USA. Narendra Modi has done better than earlier. USA just want India to be away from Russia. That''s it. However, India''s scoring would be high and better with days to come. Only windfall profits. No loss I foresee.
Abvp • Philadelphia • 16 hours ago
US has no friend to any country, especially under Trump.
Vladimir • NYC • 20 hours ago
Beggars dont retaliate
Blacky Paki• 3844 • azbz969 • 13 hours ago
The truth is that u are a Pakistani BEGGAR
Ashis • 14 hours ago
India has developed into a more matured nation now. Country moving in the rightest direction under Modi-Shah. Coming 5 years will prove to be the golden period in Indian history.
Boopathi• Ashis Biswal • Bangalore • 2 hours ago
Let us watch
John Doe• 1326 • John • 15 hours ago
if there is no America all the IT employees will be on roads. even a single product doesn't own by great indian it companies.
King Pathak• John Doe • 14 hours ago
if there is no Indian IT talent all american will be under pacific ocean.
Manoj• 1605 • John Doe • 15 hours ago
Indian IT companies are mainly into service sector dear...tell me why major US techno companies are after Indian talent?.from Indian premier institute like IIT, IIS...so don't just see only one side of the coin ok.
Hindustan Hindu Rashtra • 15 hours ago
Super Power Hindustan dont need discounts.
Hindustan Hindu Rashtra youtub • 11 hours ago
Hahah.....define superpower Mr. Moron.
Anand Deshpande • Singapore • 15 hours ago
Trump to US is like Modi to India. Nation First
Kosmic Power• 8025 • Kosmic Power • 14 hours ago
India doesn''t need the US, the US needs India more. The status doesn''t change anything much as India is a growing economy. China is the largest only export economy and is having issues and problems now, Europe is nothing, Arabs, Muslims or Middle East are nothing, except for oil. For India most trade will be with Russia, Japan and the US. Eventually, the Chinese cheap and inferior products will not be needed.
Ravie • Chandigarh • 13 hours ago
rather than dependent on these tariff relief, we should strengthen our manufacturing by cost optimisation and improvement in efficiency.
Truth Always • 15 hours ago
what can India do and how can they react..? Trump is real Papa and has guts. On the other hand Modi cannot influence him or American lobby.
juntao67• reality checker • Location • 14 hours ago
whether you laugh or cry, who cares.
Mudi • Gujriot • 14 hours ago
What a bunch of lame reasons. There is only reason why India can't retaliate and it's not written here because it's humiliating, it's because we are not powerful enough to dictate terms to USA whereas they can dictate terms to us. Same reason we won't buy Iranian oil.
Upnorth• 3653 • Mudi Ji • USA • 12 hours ago
Not really. India has a trade surplus with the US and the going is too good. To pick a fight on $190 million impact is to wake a sleeping giant and make India the target for higher reciprocal tariffs. I hope you know average US tariffs is less than 5% and average Indian tariffs is 25%. So you want to pick a fight? What will be the outcome?
Rafael Federer • 13 hours ago
Can India retaliate, does it have the potential? NO, a definite NO, because India is not China. No point in trying to mimic China when we are far far behind China interms of development of money.
Dreet • 15 hours ago
Make in India was nothing but a damp squib.Admit it.
Bllog Suri • NA • 15 hours ago
Has modi ever stood upto usa for anything. He feels proud and top of the world to get to visit the white house
Truth• 3462 • Truth • 15 hours ago
Trump is getting jealous of New India! Neverthless India will shine bright.
Batman• 629 • Truth • 11 hours ago
LoL.....$20 trillion is jealous of $2 trillion......Hahah
Isaacbenjaminraj • Location • 15 hours ago
Modi govt foreign policy failure ....shame
hum hindustani • 13 hours ago
A blessing in disguise ... being self reliant builds a journey of a thousand miles ... now Indian business men who looked at the USA for easy business will expand globally ...