U.S. places India in priority watchlist on IPR along with China, Russia

The United States has placed India, along with five other countries, on priority watchlist on intellectual property rights (IPR). According to the United States Trade Representative's Special 301 Report on Intellectual Property Protection and Enforcement, China and Russia are also part of the priority watchlist. 

"The six countries placed on this year’s Priority Watch List are Chile, China, India, Indonesia, Russia, and Venezuela. USTR will seek to engage intensively with these countries, as appropriate, during the coming year," the USTR said in a release. 

“Using all the enforcement tools we have to address unfair trade practices is a top priority,” said Ambassador Jamieson Greer.

“We have rigorously reviewed our trading partners' IP practices and expect to take action where needed to protect American innovators and creators globally."

“American innovators, creators, and brand owners rely on robust IP protection and enforcement,” said Ambassador Rick Switzer.

“USTR will continue to press our trading partners to resolve trade barriers with respect to IP in their markets through our negotiations for Agreements on Reciprocal Trade and other engagements.”

In this year’s Special 301 Report, USTR identifies Vietnam as a Priority Foreign Country, the release added. 

"Other changes in placement for this year’s Special 301 Report include moving Argentina and Mexico from the Priority Watch List to the Watch List due to important improvements on IP policy, adding the European Union to the Watch List, and removing Bulgaria from the Watch List," it said. 

When was section 301 (b) probe launched?

It may be noted that the USTR initiated investigations under the section 301 (b) of the Trade Act of 1974 on March 11. The investigations were launched in the wake of the US Supreme Court ruled on February 20 that the unilateral imposition of tariffs on multiple nations without Congressional ratification violated federal law.

“There are powerful alternatives (to the ruling) that have been approved by this decision …for those that thought they had us,” Trump said after the ruling. 

Quoting from a dissent note from one of the Judges, Trump said, “the decision might not constrain a President’s ability to order tariffs going forward….that's because numerous other statutes authorize the president to impose tariffs and might justify most, if not all. Those statutes include the Trade Expansion Act, 1962, section 232, the trade act (1974) and the Tariff Act of 1930.”

Within a month the USTR launched the investigations. “Today, the USTR announced the initiation of investigations regarding the acts, policies, and practices of various economies under Section 301(b) of the Trade Act of 1974 relating to structural excess capacity and production in manufacturing sectors. The investigations will determine whether those acts, policies, and practices are unreasonable or discriminatory and burden or restrict U.S. commerce,” the USTR said in a release on March 11.  

Recently, USTR also raised concerns on India's shrimp exports. 

USTR has said India’s shrimp production is backed by government subsidies. The move comes amid ongoing trade negotiations between both sides in Washington.

“Indian shrimp producers are backed by government subsidies for fuel, equipment, infrastructure development, and export promotion, which along with weak environmental and labor practices in India’s shrimp aquaculture, create an uneven playing field for U.S. shrimpers,” the USTR said in a tweet on April 22.