Well-known Chinese news site Sina recently reported that, according to the Indian newspaper, the Deccan Herald, India is very upset about the U.S. cancellation of India’s GSP (Generalized System of Preferences) status. In response, India is prepared to “join China and Russia” to condemn the U.S. trade protectionist stance. The U.S. withdrawal of India’s GSP benefits was to take effect on June 5. This could impact over 2,900 Indian products that are exported to the U.S. The estimated trade volume on these products is around US$5.6 billion. According to Indian Business Today, the Indian government is going through internal processes in an official response, and the decision is expected by the end of June. India’s potential “revenge tariff” could start as early as June 16. However, that date can be delayed. India is planning to sign a joint announcement together with China and Russia during the Shanghai Cooperation Organization (SCO) Summit, which is to be held in mid-June. Experts expressed their belief that India may not go too far against the U.S. since there are upcoming scheduled talks with the United States.
Source: Sina, June 6, 2019