India launched a counterattack against the abolition of GSP trade treatment in India by the United States. India has decided to impose retaliatory tariffs on 29 American goods, including almonds, walnuts and beans, starting June 16, the Times of India reported. This will generate about $217 million in additional revenue for India.
On May 31, Trump announced that the United States Government would officially cancel the GSP treatment given to India on June 5, arguing that India had failed to ensure fair and reasonable market access to the United States. In response, India said on June 3 that it would focus on national interests and find a solution to the problem, but would not compromise completely.
GSP is an international trade system in which developed countries unilaterally grant preferential tariff treatment to manufactured and semi-manufactured goods imported from developing countries. It is a more preferential treatment based on tax rate for further tax reduction or total tax exemption.
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