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News & Insights

Leading Industry Associations Express Concern with India’s ICT Import License Requirement

August 16, 2023


WASHINGTON DC – The National Foreign Trade Council (NFTC) and partner trade associations today sent a letter to Secretary of Commerce Gina Raimondo and United States Trade Representative (USTR) Katherine Tai urging the U.S. government to oppose a new import licensing requirement for computers and other information and communication technology (ICT) products beginning November 1, 2023, which could significantly disrupt access to India’s important ICT market.

“Import licenses harm consumers, corporations, and entire economies when they are used as a protectionist tool,” said John Pickel, NFTC’s Senior Director for International Supply Chain Policy. “This regime represents a violation of India’s international commitments, harms U.S. companies, and is a setback for U.S. investment in manufacturing that creates jobs in India.”

The letter reads, in part: “This policy – 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 letter goes on to cite several specific concerns with the import licensing requirement, including that, among others, it:

  1. Calls into question the reliability of India as a trade partner by violating WTO commitments;
  2. Degrades the resiliency of supply chains and harms manufacturing in India — including investments by U.S. companies; and
  3. Risks creating scarcity and price increases for Indian citizens, businesses, and students and imposes a considerable risk to U.S companies’ significant investment in India.

The letter was also signed by the Consumer Technology Association, the Information Technology Industry Council, the National Association of Manufacturers, the Retail Industry Leaders Association, the Semiconductor Industry Association, the Technology Trade Regulation Alliance and the United States Council for International Business.

The full letter is available here.

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

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