"We recommend that India bring such measures into conformity with its obligations," the WTO panel's report said.
In 2019, the EU challenged India's introduction of import duties of between 7.5 per cent and 20 per cent for a wide range of IT products, such as mobile phones and components, as well as integrated circuits. Japan and Taiwan filed similar complaints that same year.
The EU is India's third largest trading partner, accounting for 10.8 per cent of total Indian trade in 2021, according to the European Commission.
India can appeal the WTO panel's decision. Its diplomatic mission in Geneva did not immediately respond to a request for comment.