No plan to expand laptop, personal computer import curbs: India tells WTO

India said that industry experts were consulted prior to the notification issued on August 3, and a transition period of three months was provided till October 31

India on Tuesday informed the World Trade Organisation (WTO) that it does not plan to expand the use of import management systems for computers, laptops and other IT hardware products beyond the listed products.

India said that the reason behind this decision is to "protect public morals, quota administration, regulate imports of arms, ammunition or fissionable materials and safeguard national security".

New Delhi said that industry experts were consulted prior to the notification issued on August 3, and a transition period of three months was provided till October 31, wherein further comments were sought from trade and industry.

India announced its decision to the WTO after the US, China, South Korea, and Taiwan raised concerns on the issue at the WTO. Taiwan asked about the purpose of this policy, while Beijing asked India to clarify its changing measures and the purpose of this policy. South Korea termed the measure as inconsistent with the WTO rules and said that it could create unnecessary trade barriers. The US said that the measure forces its firms to think twice about doing business in India, and it would also impact its exports. It also said that the decision is creating uncertainty for exporters and downstream users.

India also informed the WTO that an additional notification was issued on October 19, when a new system of authorisation for imports of laptops, tablets and personal computers, aiming to monitor shipments of such hardware, was launched.

The new import management system came into force on November 1. On being asked about the time frame of the monitoring phase and if India will delay its full implementation by then, India said there is no such proposal as of date. "The present system has been put in place to manage and monitor import of specified IT hardware goods to ensure supply chain resilience and address national security concerns," India told the WTO.

In October, India launched a new system of authorisation for import of laptops, tablets, computers and other hardware to monitor their shipments, which came into force from November 1.