Article
Navigating the US Tariffs through the first sale principle
By Gopakrushna Das and Arpit Mehra
The article in this issue of International Trade Amicus examines the legal foundation of the USA’s first sale principle, its practical application, and its potential role as a compliance-based tool for managing tariff exposure in a changing trade policy environment. Discussing the legal framework of customs valuation, the article explores the first sale principal and its application in related party transactions. The authors note that before applying the First Sale Principle, importers should conduct a thorough mapping of the supply chain to identify all sales occurring before importation. According to them, while the First Sale Principle is not without complexity, it continues to serve as a lawful and effective valuation tool for U.S. importers operating in a tariff-intensive environment.
Trade Remedy News
- Chromium Trioxide from India – USA initiates anti-dumping and countervailing duty investigations
- Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel from India – USA issues preliminary results of administrative review of ADD
- Commodity Matchbooks from India – USA initiates ADD and CVD five-year reviews
- Fluoroelstomer from China PR – India’s DGTR recommends continuation of anti-dumping duty after sunset review
- Glycine from India – USA issues preliminary affirmative results of CVD administrative review
- Halo-Isobutene-Isoprene Rubber from China PR, Singapore and USA – India initiates anti-dumping investigation
- Hot-Rolled Carbon Steel Flat Products from India – USA continues anti-dumping duty and countervailing duty after expiry review
- Optical Fibre Cables from India – European Union amends it earlier Regulations imposing CVD and ADD
- Polyethylene Terephthalate (PET) from India – United Kingdom maintains countervailing measure for a further period of five years
- Prestressed Concrete Steel Wire Strand from India – USA initiates five-year expiry review of ADD and CVD
WTO News
- US-EU ripe olives dispute – Arbitration decision circulated
- Colombian duties on frozen fries from EU – Compliance ruling issued
- China disputes Indian measures on batteries, auto parts and e-vehicles
- EU’s duties on Indonesian steel products violate SCM Agreement
- World trade – Growth forecast lowered for 2026 for both merchandise and services exports
India Customs and Trade Policy Update
- Renewable Energy Equipment Import Monitoring System introduced
- India-European Free Trade Association (EFTA) Trade and Economic Partnership Agreement (TEPA) – Certificate of Origin can be obtained on self-declaration
- Gold imports under India-UAE CEPA – Tariff Rate Quota allocation procedure revised
- Yellow Peas imports to attract 30% customs duty
- Wheat seed export to Indonesia – 100MT allowed as one-time exemption
- Areca nuts and roasted areca nuts – Imports with CIF value less than INR 351/kg prohibited
- De-oiled rice bran – Export prohibition removed
- Meat or edible offal of bovine animals – Export Policy revised
- Sulphadiazine API having a CIF value of less than INR 1,774/kg – Import ‘Restricted’ till 30 September 2026
- Synthetic Knitted Fabric – No Minimum Import Price restriction for fabrics under HS Code 6005 36 00 falling between 28 to 48 GSM
- Silver jewellery import prohibition is not applicable on imports by SEZ, EOUs and under Advance Authorisation/DFIA
- Rice exports to specified European countries – Exemption from Certificate of Inspection by EIC/EIA till 2 April 2026
- Bhutan – Export prohibitions for specified agricultural commodities not applicable for exports to Bhutan
India FTA Update
- Brazil and India initiate talks to expand Mercosur trade pact
- India, Canada discuss ways to strengthen economic ties – FTA talks may resume only after EU and US deals
- India-EU FTA talks productive, have narrowed gaps: Commerce Minister
- India and Qatar gear up for free trade agreement negotiations
- India, Russia in talks to resolve non-tariff issues affecting trade amid push for FTA
- India-UK sign Terms of Reference to reposition the Joint Economic and Trade Committee
- India calls for early review of India-Asean FTA to unlock trade potential
- India, US hopeful of concluding first tranche of Trade Agreement by fall deadline