New Delhi

In a major development indicating the spirit of give-and-take related to India-US ties, Washington and New Delhi notified the World Trade Organisation that they have mutually decided to close two major trade disputes.

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The first case is related to Washington's imposition of duties on Indian steel and aluminium products. The second case is related to India's additional duties on some American goods.

The disputes have been addressed under the cases titled "United States — Certain Measures on Steel and Aluminium Products" (DS547) and "India — Additional Duties on Certain Products from the United States" (DS585).

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The development emerges from a joint notification made on July 13 by India and the United States. This signals their mutual accord in resolving the issues that have been described as contentious in the past.

"In accordance with Article 12.7 of the Dispute Settlement Understanding, the panel reports provide a brief description of the disputes and note that solutions have been reached," World Trade Organisation said in a statement.

Earlier, the two countries had agreed to terminate six trade disputes. 

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Recently, when India's Prime Minister Narendra Modi went on a state visit to the United States in June, the two countries had agreed to resolve contentious trade disputes within World Trade Organisation's framework.

Furthermore, the two countries decided on establishing a quid pro quo (mutual understanding) to discard retaliatory tariffs on certain imports from the United States.

India had imposed additional customs duties on 28 US products in 2019, including chickpeas, lentils and apples while retaliating to the US increasing duties on certain steel and aluminium products.

Following the resolution, India has removed additional duties on eight US products, government sources cited by PTI said.

The US is the largest trading partner of India. In 2022-23, the bilateral goods trade increased to $128.8 billion as against $119.5 billion in 2021-22.

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