In 2019, U.S President Donald Trump suspended India’s special trade designation after Modi placed price caps on medical devices, such as cardiac stents and knee implants and introduced new data localization requirements and e-commerce restrictions.

An official document from the Congressional Research Service confirms that in 2019 India was terminated from the Generalized System of Preferences.

An official document from the Congressional Research Service confirms that in 2019 India was terminated from the Generalized System of Preferences.President Donald Trump on 4 March 2019 officially notified Congress about his intent to terminate the designation of India as beneficiary developing countries under the Generalized System of Preferences (GSP) program. The President’s decision on India arose from a review of the country’s market access practices.

According to the 2019 National Trade Estimate Report, under foreign trade barriers of India’s Department of Pharmaceuticals and National Pharmaceutical Pricing Authority (NPPA), an order was to cap prices on coronary stents such as cardiac stents and knee implants under medical device price control. The U.S. companies have raised significant concerns with these actions of India on price caps. The report also added the data localization requirements and barriers for electronic commerce. (Ref Page no:- 244)