The World Trade Organisation will set up a panel to examine America’s allegations against certain alleged export subsidy measures in India.
The US has dragged India to the WTO's dispute settlement mechanism over export subsidies, saying that these incentives were harming American companies.

WTO members, including India, are required to provide subsidies consistent with WTO provisions, including refraining from providing subsidies contingent upon export performance.

The US has alleged that India appears to be providing such subsidies through various export promotion programs, special economic zones and duty-free imports for exporters.

The US alleges that India continues to grant these export-contingent subsidies and even expanded the scope and scale of the subsidies. India says the schemes identified by the US do not violate India's WTO obligations and are in conformity with all elements of the agreement.

India’s exports to the US stood at 42.21 billion dollars in 2016-17, while imports aggregated at 22.30 billion dollars during the same fiscal.

The programs targeted by the US include popular incentive schemes such as the Merchandise Exports from India Scheme, Export-Oriented Units Scheme and sector-specific schemes, including Electronics Hardware Technology Parks Scheme, Special Economic Zones, Export Promotion Capital Goods Scheme and Duty-Free Imports for Exporters Program.