Occurrences
Divisions
Programs
Occurrences
Divisions
Programs
US tech firms such as Apple, Dell, and HP were worried about India's restrictions on imported laptops and tablets, prompting Washington to advocate on their behalf to the Indian Government.
These import restrictions obligated international companies to obtain licenses for the shipment of laptops, tablets, and a few other electronics.
The restrictions and introduction of a licensing system on laptop and tablet imports by India in August 2023 had raised concerns in the United States. The expected consequences of this action led Washington to conduct comprehensive covert lobbying.
Emails from the US government related to these discussions, obtained by Reuters through a US public records request, revealed the tactics the US used to convince Prime Minister Narendra Modi's administration to change their policy.
Restrictions on laptop, tablet importation
In August of the previous year, the Directorate General of Foreign Trade (DGFT) put restrictions on the import of laptops, tablets, all-in-one PCs, extremely compact computers, and servers.
This implied that international corporations such as Apple, Dell, and HP were obliged by law to obtain permits for all such electronic shipments. This action, intended to tackle possible security risks and protect confidential information, incited worries of a decline in sales for manufacturers stationed overseas.
By the end of September, New Delhi had abandoned the policy. The authorities announced they would oversee the imports and make a decision after a year.
According to documents and emails viewed by Reuters, it appears that this was the outcome of intense lobbying from the US.
What prompted the lobbying in the US?
The advocacy effort appears to be due to trade worries that US tech firms were experiencing.
Timothy Wiley, a State Department official, expressed in an email to his peers at the United States Trade Representative (USTR) that American companies perceived the initiative as extremely defensive and not in line with India's advancements in enhancing the investment climate.
US tech firm representatives operating in India shared that they have been urging their main offices to boost their production in India. However, they were surprisingly caught off guard by this unforeseen move.
The paperwork and communications indicated that American authorities were caught off guard and frustrated by the sudden restrictions, implemented without any prior discussion or warning. They described it as extremely troublesome for trade relations between the US and India, as well as for the $500 million worth of yearly exports from the US.
Addressing the 'issues' with India
On August 26, shortly following the introduction of the restrictions, Katherine Tai, the US Trade Representative, hurriedly traveled to New Delhi. She wanted to confer with the Commerce Minister, Piyush Goyal, immediately after the policy was declared. The USTR expressed worries about the policy in a public announcement at that time.
In private, she was straightforward. Tai informed Goyal that the US was hoping India would "revoke the mandate", as per a USTR overview document. An additional key point in her overview indicated that India's unforeseen declaration "will cause companies in the US and other nations to reconsider their business dealings in India". The Position of India.
The Ministry of Commerce informed Reuters that Tai did express some worries in her meeting with Goyal in August. The Ministry noted that they had communicated India's security issues during that period. Yet, they didn't provide any explanation about the reversal of the decision or about the American emails.
Three anonymous Indian authorities asserted that the decision to lift restrictions was not influenced by US pressure, but rather because the local production of laptops and tablets was currently not substantial. They insisted that New Delhi did not alter its policy due to external pressure, despite ongoing concerns from the US.
Brendan Lynch, the current Deputy US Trade Representative for South and Central Asia, stated that the USTR continues to carefully monitor India's examination of imported gadgets to ensure it doesn't adversely affect the trade bond.
Search for us on YouTube
Highlighted Programs
Associated Reports
Supreme Court halts Government's announcement on creating a Fact Check Unit to detect false news
Biden steps in: US helicopters to rescue stranded Americans in turmoil-ridden Haiti
Bengaluru's Water Shortage: Campaign to fit tap aerators starts; Consequences of not meeting the March 31 deadline
For the second time in a week: ECI repositions non-cadre District Magistrates and Superintendents of Police from 4 specific states in anticipation of the Lower House elections in 2024
Supreme Court halts Government's announcement on creating a Fact Check Unit to detect false news
Biden steps in: US helicopters to rescue stranded Americans in turmoil-ridden Haiti
Bengaluru's Water Shortage: Campaign to fit tap aerators starts; Consequences of not meeting the March 31 deadline
For the second time in a week: ECI repositions non-cadre District Magistrates and Superintendents of Police from 4 specific states in anticipation of the Lower House elections in 2024
Available on YouTube
Firstpost holds all rights and is protected by copyright as of 2024
+ There are no comments
Add yours