Trade Update – July 22, 2024

• Benin and Sierra Leone formally accepted the Fisheries Subsidies Agreement, bringing tally of formal acceptances to 80.
• China’s industrial support programmes lack transparency, says WTO.
• China asks WTO to set up panel for US electric vehicle subsidies dispute.
• Iraq returns to WTO accession talks after 16 years.
• Madagascar notified the WTO’s Committee on Safeguards that it has initiated a safeguard investigation on certain types of edible vegetable oils.
• Ninth Trade Policy Review of China took place on July 17 and 19, 2024.
• India flags high trade deficit in policy review meet of China at the WTO.
• WTO Director General Ngozi Okonjo-Iweala urges WTO members to engage in genuine negotiation in order to reach agreements on several key issues at the General Council meeting scheduled for July 22 and 23, 2024.
• India and Peru to meet in September for FTA negotiations and aim to ink the deal by early 2025.
• The Indian Ministry of Commerce is planning to establish a centre for FTA negotiations and business deals.
• UK’s new foreign secretary David Lammy to be on his maiden India visit next week; India-UK FTA talks on the agenda.
• New Zealand hopeful of inking FTA deal with India within three years.
• India and European Union to hold the next round of FTA talks in September.
• Ahead of India-EU 9^th round of FTA talks, EU envoy says political drive needed.
• Indian Commerce Minister, Piyush Goyal discussed FTAs with EU and UK ministers at G7 meet.
• Indian Cabinet to soon grant approval for joining the US-led Indo-Pacific Economic Framework for Prosperity pact.

Europe

• India can be Europe’s supplier amidst rising concerns about China, says Nik Gugger, President of Swiss-India Parliamentary Group.
• European trade bloc is divided over the provisional anti-dumping duty levied on Chinese Electric Vehicles. 
• The China Chamber of Commerce for Import and Export of Machinery and Electronic Products view that EU’s provisional tariffs on Chinese electric vehicles breach both EU and WTO rules​.
• Italy and Spain backed EU tariffs for Chinese Electric Vehicles.
• European Union and Serbia sign a Memorandum of Understanding launching a strategic partnership on sustainable raw materials, battery value chains and electric vehicles.
• European Court of Auditors claim European Commission’s targets to deploy ‘green’ hydrogen to meet emissions targets are unrealistic, but the Commission has remained bullish.
• 12 EU countries are set to miss their national greenhouse gas targets under the Effort Sharing Regulation (ESR).
• Indonesia protests EU’s Deforestation Regulation, wins support from US.

UK

• My government will seek to reset relations with Europe and work to improve the UK’s trade and investment relationship with the EU, says King Charles to the House of Lords.
• UK government and defence industry are stepping up support for Ukraine.
• UK interest rates will stay high unless service sector inflation falls, says International Monetary Fund (IMF).
• New UK trade minister hopeful that some EU barriers can be removed.

USA

• Former US President Donald Trump’s economic plans include proposed tariffs, tax cuts and no taxes on tips.
• Former US President Donald Trump considers tariffs for Europe on re-election.
• US solar panel makers seek tougher ‘Made in USA’ rules.
• US Department of Energy has announced USD 10 million funding to support the nation’s critical mineral supply chains.
• G7 trade ministers pledge stronger measures against market-distorting practices, highlighting China’s influence.

India

• Indian steel companies are discussing trade measures with the Indian government to curb imports.
• India eyes USD 100 billion trade milestone with Russia by 2030.
• India’s digital public infrastructure is charting the journey towards becoming USD 1 trillion digital economy by 2027-28.
• China+1 policy encouraging manufacturers to look at India, says Commerce Minister Piyush Goyal.
• Government of India to launch a portal for registering and resolving non-trade barriers faced by exporters soon.
• India plans to ease rice export curbs as stocks surge to record.
• Kerala seeks Centre’s diplomatic intervention to lift US ban on shrimp exports.
• Indian delegation visited Doha for India-Qatar Joint Working Group Meeting.
• India has flagged concerns with Russia over non-tariff barriers, says Commerce Secretary Sunil Barthwal.
• Regulatory framework to push exports via e-commerce likely to be released by September, says Commerce Secretary Sunil Barthwal.
• Malaysia urges India to reconsider export curbs on essential commodities.
• Taiwan firms shift supply chains to India from China, says Taiwan Electrical and Electronic Manufacturers’ Association.
• Indian customs authorities have released additional instructions for availing exemptions under FTAs.

• The Directorate General of Foreign Trade has released a public notice on July 16, 2024 notifying an amendment in Para 4.49 (b) of the Handbook of Procedures, 2023.
• The Ministry of Finance has imposed a definitive countervailing duty of on imports of new/unused pneumatic radial tyres with or without tubes and/or rubber flaps, having a nominal rim diameter code above 16″, used in buses and lorries/trucks, originating from China PR, effective from July 19, 2024, for five years.
• The Ministry of Finance has amended the Customs notification No. 24/2023 to include Special Economic Zones (SEZ) alongside Export Oriented Units (EOU) in the customs regulations, specifying that shipping bills or bills of export for goods manufactured or exported by SEZ units must be presented on or after July 1, 2024.
• The Bureau of Indian Standards notified amendments to Indian Standard IS 10810 (Part 60) – 1988, effective from July 8, 2024, until October 7, 2024.
• The Bureau of Indian Standards notified new Indian standards for Flashlights (IS 2083:2024), Safety of Transformers, Reactors, Power Supply Units, and Combinations Thereof (IS/IEC 61558-1:2017), and Grading Capacitors for High-Voltage Alternating Current Circuit-Breakers (IS/IEC 62146-1:2013), with corresponding withdrawals of older standards effective from July 8, 2024, until October 8, 2024.
• The Bureau of Indian Standards notified new standards for refractory materials, natural building stones, cast irons, industrial furnaces, and governance maturity models, effective from July 4, 2024, with certain old standards to be withdrawn by August 4, 2024.
• The Bureau of Indian Standards notified new standards for various products, including electromagnetic compatibility, adhesive tapes, insulators, plastic films, medical electrical equipment, arc welding equipment, medical gas pipeline systems, fixed capacitors, and vulcanized fiber for electrical purposes, effective from July 2, 2024, with older standards to be withdrawn by October 2, 2024.
• The Bureau of Indian Standards has established new revisions for neurosurgical retractors, brain spatulas, dissecting forceps, teat dilators, and cardiovascular implants, with older versions to be withdrawn by October 2024.
• The Bureau of Indian Standards has established new revisions for standards related to natural rubber latex, geometrical product specifications, data quality, rubber latex viscosity, systems and software engineering, rubber vulcanization, technical product documentation, identification cards, dentistry digitizing devices, data interchange, and service management, with older versions to be withdrawn by August 2024.
• The Department of Promotion of Industry and Internal Trade has issued a revised Public Procurement (Preference to Make in India) Order on July 19, 2024.
• The Department for Promotion of Industry and Internal Trade has introduced the Bolts, Nuts, and Fasteners (Quality Control) Order, 2024 on July 12, 2024, mandating the compulsory use of the Standard Mark as per Indian standards from the date of publication.
• The Ministry of Environment, Forest and Climate Change has released a draft notification to amend the Environment (Protection) Rules, 1986, to appoint adjudicating officers, establish the Environment Protection Fund, and define procedures for addressing non-compliance and imposing penalties, effective from the date of publication in the Official Gazette.

• US gave Centrus Energy Corp a waiver for the next two years to a ban on US imports of enriched uranium from Russia.
• US is considering sanctioning important Israeli ministers over settler violence in Palestine.
• US Democrats want Houthis back on foreign terror list.
• US Treasury has sanctioned Yuliya Vladimirovna Pankratova and Denis Olegovich Degtyarenko, primary members of the Cyber Army of Russia Reborn.
• US’ reported plan to tighten export controls on chips targeting China to disrupt global supply chain, says Chinese Ministry of Commerce.
• US is weighing tougher trade rules to block chipmaking exports to China.
• US Department of Commerce to issue proposed rules on connected vehicles next month, targeting key software components made in China.
• United Kingdom added 11 new specifications under the Russia sanctions regime.
• Russia says interruptions in Russian oil transit via Ukraine is a crisis for buyers.
• Russia hiked import tariffs for consumer goods from ‘unfriendly countries.’
• India and Russia eye partnership on Sukhoi fighter jets; may export Su-30 flankers to allies.
• Ukraine’s sanctions on Russia’s Lukoil may result in fuel crisis in Hungary.
• Illicit chip flows to Russia seen slowing, but China, Hong Kong remain transshipment hubs.
• China’s Communist Party charts technology and security-focused development for reviving the economy.
• Exports stalled at South Asia’s biggest land port Petrapole amid unrest in Bangladesh.
• Fears rise of China supplying Pakistan dreaded chemicals for use against Baloch rebels.
• China contributes over 40% of US chip equipment makers’ revenue despite export controls.
• Switzerland opens 56 proceedings over violations of sanctions against Russia.
• US Department of Commerce published an interim final rule (IFR) amending the Export Administration Regulations (EAR) which clarifies the applicability of export controls to specific software and technology for standards related activity to promote transparency and effectiveness.