The United States has raised significant concerns regarding India's customs duties on intellectual property (IP)-intensive products, including information and communications technology (ICT) items, solar equipment, medical pharmaceuticals, and capital goods. In its Annual Special 301 Report, the US Trade Representative (USTR) criticized India's Working Paper on Generative AI and Copyright, which proposes mandatory blanket licenses for AI developers. This has alarmed stakeholders, including copyright holders and tech developers, due to potential statutory licensing implications. The USTR reiterated India's placement on the 'Priority Watch List' alongside countries like China and Russia, citing inadequate IP rights protection. The report also emphasized concerns about trade secret legislation and the requirement for companies to disclose source code during certification processes. Despite India’s efforts to improve IP protection, particularly through the Patents (Amendment) Rules, 2024, challenges remain, especially regarding the patentability of incremental innovations in the pharmaceutical sector. The US continues to engage with India on these issues through trade agreements and working groups.