The United States may end preferential trade status with India.
President Donald Trump said India had failed to assure the US it would provide reasonable access to its markets.
The US will also end Turkey's preferential trade status, saying it no longer qualifies.
Preferential trade treatment for India currently allows $5.6bn (£4.3bn) worth of exports to enter the United States duty free.
India said the move would have "minimal economic impact".
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