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India unlikely to get U.S. exemption on steel, aluminium tariffs-sources

09 Jun 2023


A worker observes an electric furnace inside a steel factory on the outskirts of Jammu February 12, 2018. Picture taken February 12, 2018. REUTERS/Mukesh Gupta

NEW DELHI/WASHINGTON, June 8 (Reuters) - India has asked the United States for an exemption from U.S. steel and aluminium tariffs, in exchange for removing some tariffs on U.S. agricultural goods but Washington is not seriously considering the offer, sources familiar with the discussions said.

Negotiators in New Delhi and Washington have been in talks, hoping to reach an agreement during Indian Prime Minister Narendra Modi's visit to the United States later this month, with Indian officials offering to withdraw retaliatory tariffs on some agricultural goods such as almonds and walnuts, two Indian sources said.

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"India has raised the issue but they've been turned down fairly quickly by the U.S. team, so it isn't in serious consideration right now," a U.S. source familiar with the talks told Reuters.

"U.S. officials have been very clear with India in meetings that they are not considering an exemption for India on Section 232 tariffs," the source added, declining to be identified.

An Indian government source said U.S. negotiators were not "flexible", even though there were expectations of reaching some form of an agreement during Modi's visit.