India, others to face 10% US tariffs temporarily

News reports quoting White House officials said countries that have struck trade deals with the U.S. including UK, India, Japan and European Union where the administration used the International Economic Emergency Powers Act (IEEPA) authority, will now face 10 per cent tariffs.

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This lowers tariff rate for many countries, the report said.

With IEEPA no longer applicable, those countries will now be tariffed at the global 10 per cebt tariff using the Section 122 legal authority. This is, however, only temporary as the Administration will be pursuing other legal authorities to implement more appropriate or pre-negotiated tariff rates, the reports added.

On Friday, the Supreme Court struck down the global tariffs imposed by the Trump administration.

Post the verdict, Trump imposed a temporary 10 per cent surcharge on articles imported into the United States for 150 days, effective 24 February

Prior to the verdict, India had agreed to the framework for interim trade arrangement with the US, whereby US will lower the reciprocal tariff on India to 18 per cent from 25 per cent.

 

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