FIEO Raises Concerns Over U.S. Tariff Hikes on Indian Steel and Aluminium Exports

The Federation of Indian Export Organisations (FIEO) has expressed alarm over U.S. President Donald Trump's decision to double tariffs on steel and aluminium imports to 50%, effective June 4. FIEO President S.C. Ralhan stated that this sharp increase threatens India’s steel and aluminium exports, particularly affecting value-added products like stainless steel pipes, structural components, and auto parts. The U.S. is a key market for Indian steel manufacturers, who have gained market share through high-quality production and competitive pricing.

“Such a steep duty is a heavy burden for exporters and importers to absorb,” Ralhan said, worried about the ripple effects on global trade. He’s calling for quick diplomatic talks to protect Indian businesses and urging exporters to tap into new markets and focus on high-end products to cushion the impact.

• FIEO warns that the U.S. doubling tariffs to 50% on steel and aluminium threatens India’s key export markets and value-added products
• The tariff hike risks disrupting Indian steel exports to the U.S., a crucial buyer, prompting calls for urgent diplomatic talks
• While some companies like Hindalco may benefit, higher U.S. tariffs could hurt overall profits and global trade relations

The tariff news, shared during a rally at U.S. Steel’s Mon Valley Works, is meant to boost American manufacturing but has stirred up trouble worldwide. Canada’s Chamber of Commerce slammed it as bad for North American economies, and the EU’s not happy either, hinting at possible counteractions. Experts say Indian exporters, especially in finished steel and auto parts, could face rough times since the U.S. is such a key buyer.

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Some companies, like Hindalco, might dodge the worst of it and could even see gains from higher U.S. aluminium prices. But pricier Canadian imports could still pinch profits. FIEO is pushing for India to sit down with the U.S. to sort this out and keep Indian exports strong.