United States President Donald Trump on Tuesday said that India and China were no longer “developing nations” and cannot continue taking advantage of the tag from the World Trade Organization, PTI reported. The developing nation tag allows countries some exemptions and rights in global trade under the WTO’s rules.
“They [India and China] were taking advantage of us for years and years,” Trump said at a gathering in Pennsylvania. “We’re not letting that happen anymore...Everybody is growing but us.”
Trump expressed hope that the WTO would treat the United States fairly.
Last month, Trump had said that India’s tariffs on US products were no longer acceptable. He had also asked the World Trade Organization to define how it give countries the developing status. At present, the WTO has no definition for “developed” and “developing” countries, and allows nations to call themselves “developing” unless some other country objects to it.
Trade relations and tariffs have been sore points between India and the United States in recent times. On June 10, Trump had said India’s tariff on American motorcycles was too high and not acceptable. His comments came even after India halved the tariff from 100% to 50%. Trump later claimed the United States is a bank that everyone wants to rob.
The US and China are also already engaged in a tariff war for over a year. Trump has pledged to impose 10% tariffs on $300 billion of Chinese imports from September 1 in the latest in a series of such actions. In response, China claimed that Washington was “deliberately destroying international order”.