Will study retaliatory tariffs proposed by US Trade Representative

The government will examine the United States’ proposed retaliatory tariffs on up to 25% on around 40 Indian products in response to India’s equalisation levy on non-resident ecommerce operators and take measures in line with public and commercial interests, officials have said.
The United States Trade Representative (USTR) has proposed to impose retaliatory tariffs on Indian shrimps, basmati rice, gold and silver items, bamboo products, wood furniture, cigarette paper, cultured pearls, precious or semi-precious stones, and token-operated games for arcade among others in response to the 2% equalisation levy, or the socalled Google tax, that came into effect on April 1, 2020.The USTR has identified 119 companies that are likely to be liable under India’s digital service tax (DST) on revenues earned from transactions with Indian consumers, out of which 86, or 72%, are American companies.