WTO Backs Japan over India’s Safeguard Steel Tariffs

November 7, 2018

Tokyo--The World Trade Organization has upheld Japan's complaint over India's safeguard tariffs imposed on imports of Japanese steel products, the Japanese government said Wednesday.

The WTO's dispute settlement panel released a report that largely supported Japan's claim that the tariffs are inconsistent with WTO rules and asked India to comply with the rules.

India's safeguard measure was in place between September 2015 and March this year, imposing additional tariffs of up to 20 pct on imports of Japanese hot-rolled coils used in automobiles.

Japan filed its complaint against the Indian measure with the WTO in December 2016.

The panel said that a surge in India's imports of steel products was not caused by Japanese products and that the safeguard measure was not based on objective data.

India has 60 days to challenge the panel's decision.

As the Indian measure was already terminated, Japanese companies would have almost no benefits even Japan wins the case.

Still, Japan can expect deterrent effects against future safeguard measures against its products, sources familiar with the situation said. Jiji Press