Laptop, Tablet Import Curb: Apple, Google, Other Tech Giants Urge US To Push India To Reconsider Restriction

Technology and manufacturing giants Apple, Google, Dell, HP, Lenovo and others have reportedly called on the US government to ‘use every available forum’ to push India to reconsider its implementation of import restriction policy on IT hardware. 

According to a report by The Economic Times, the tech giants also want the Indian government to launch a formal stakeholder consultation to solicit recommendations from the industry.

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The Directorate General of Foreign Trade (DGFT) has placed laptops, tablets, all-in-one-personal computers, small form factor computers and servers  under the import category, which requires companies to seek an additional license to bring the above electronic devices to the country.

According to the ET report, eight US-based trade bodies, including Consumer Technology Association, Information Technology Industry Council, Semiconductor Industry Association and United States Council for International Business, asked the US Trade Representative and the US Secretary of Commerce to “use every available forum of engagement with the government of India to ensure that its measures in the ICT sector are consistent with India’s international trade obligations and commitments”, in a letter.

The trade bodies, in the letter, further raised concerns about India’s reliability as a trade and supply chain partner if the country imposes restrictions on imports. It further said that, “ undermined the shared objective of deepening the bilateral economic relationship between the two countries.”

On August 3, the DGFT announced a ban on imports of certain IT hardware products, citing safety concerns, and would therefore require a license, effective immediately. However, after strong pushback from the industry, the government extended the timeline to November 1, 2023.

Several IT companies operating in India sought extension in the deadline for 9-12 months on import license, adding that they need reasonable time to set up manufacturing and clarity around the process for licensing.

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“This policy (of import restrictions) — announced with no prior notice or public consultation — could significantly disrupt trade, hamper efforts to more closely integrate India into global supply chains, and harm businesses and consumers in both countries,” the trade associations said in their letter.

It further added, “World Trade Organization (WTO) rules rightfully discipline such actions, and it is critically important that the United States uphold these standards to discourage the further expansion of trade-restrictive measures in India and beyond.”