India Seeks WTO Consultations With US Over 4-Year Safeguard Tariffs On Quartz Surface Imports

New Delhi, Aug 18 (KNN) India has sought consultations at the World Trade Organisation (WTO) with the United States over Washington’s new safeguard measure on imports of quartz surface products, which could affect Indian exporters that have a significant presence in the US market.

The US imposed a four-year tariff-rate quota (TRQ) on quartz surface products from August 15 after the US International Trade Commission (USITC) concluded that rising imports were causing serious injury to the domestic industry. The measure covers quartz slabs and other fabricated quartz surface products.

Tariffs Under Safeguard Measure

Under the USITC recommendations, imports within the quota will attract a 25 per cent tariff in the first year, while shipments above the quota will face a 40 per cent duty. Both rates will decline by one percentage point annually, reaching 22 per cent and 37 per cent, respectively, in the fourth year.

India, Vietnam, Spain and Thailand were identified by the US as major exporting countries during the investigation period.

India said it has a substantial interest in the matter and requested consultations with the US under Article 12.3 of the WTO Agreement on Safeguards. It also proposed that the discussions be held virtually, the businessline reported.

Potential Impact on Indian Exporters

The safeguard is significant for India as the US is a major market for its quartz surface products. The Federation of Quartz Surface Manufacturers of India (FQSMI) has estimated that around 95 per cent of India's quartz surface production is exported to the US, with exports valued at about USD 700 million in 2024-25.

The products covered by the US measure include slabs and other surfaces made mainly from silica-based materials, such as quartz, quartz powder, cristobalite and glass powder, combined with resin binders.

Next Steps

The US is required to respond to India's consultation request within 10 days and begin consultations within 30 days, unless both sides agree otherwise. The consultations are confidential and are aimed at reaching a mutually satisfactory solution.

If the consultations do not resolve the matter within 60 days of India's request, India can seek the establishment of a panel before the WTO's Dispute Settlement Body to pursue the dispute through the organisation's legal process.

(KNN Bureau)