India seeks WTO consultations with US over 50% duty imposed on certain copper products

New Delhi: India on Tuesday sought consultations with the US under the World Trade Organisation’s (WTO) safeguard agreement over 50 per cent tariffs imposed on certain copper products by America.

This move comes after India reserved the right to impose retaliatory duties on select US products in response to American tariffs on steel and aluminium; and auto components.

On July 30 this year, the US adopted a measure in the form of 50 per cent tariff on all imports of certain copper products. The measure applies from August 1 this year and for an unlimited duration.

“India considers that the measure, although claimed to be taken for security interests, are, in essence, a safeguard measure,” a WTO communication said. The communication is being circulated at the request of the delegation of India.

It said that the US failed to notify the WTO Committee on Safeguards on taking a decision to apply the safeguard measure.

“Accordingly, as an affected member with significant export interest to the United States in the products concerned, India requests consultations with the United States,” it said.

“India looks forward to receiving a prompt reply to this request from the US and to setting a mutually convenient date and venue for the...consultations,” the WTO added.

India exported copper products, including plates, tubes, and other semi-finished forms, worth $360 million to the US in FY25. India is a net importer of copper, with imports totalling $14.45 billion in 2024-25, far outweighing its exports.

Its main suppliers include Chile, Indonesia, and Australia.

Notably, India also imported $288 million of copper scrap from the US, which may now become less viable due to disrupted bilateral copper flows.

Think tank GTRI in July had stated that the contrast between the two countries is striking.

While the US has resorted to protectionist tariffs (50 per cent), India charges 2.5 per cent import tariff on copper ore and concentrates, 5 per cent on refined copper and copper alloys, and 10 per cent on certain copper articles, it had said.

The USA’s decision is aimed at reducing dependence on foreign copper, which Washington claims poses a risk to critical domestic sectors such as defence, clean energy, and infrastructure.

Copper is a foundational raw material for electric vehicles (EVs), power grids, semiconductors, and defence electronics.

Earlier on the issue of tariffs on steel and aluminium and auto components, the US has rejected India’s claim that these duties are safeguard measures under the WTO rules.

After that, India has notified the Geneva-based multi-lateral 166-member trade body that it is reserving rights to impose retaliatory duties against these tariffs.