steel and aluminium tariffs

India-New Zealand FTA: It aims to double bilateral trade, provide Indian exporters duty-free access to the New Zealand market, and attract investments worth $20 billion over the next 15 years.

India and New Zealand have signed a 'once-in-a-generation' trade pact, granting Indian exporters duty-free access to New Zealand. The agreement aims to double bilateral trade to $5 billion in five years and includes a $20 billion investment commitment from New Zealand. Both nations are optimistic about the pact's potential to boost economic growth and cooperation across various sectors.

US President Trump has imposed steep 100% tariffs on imported patented medicines and new duties on steel, aluminium, and copper. This aims to compel companies to manufacture within the US, with exemptions for some nations. The move seeks to bolster domestic production and national security, building on previous trade actions.

The US has imposed up to 100% tariffs on patented drugs and certain metals, aiming to boost domestic manufacturing. While India's generic drug exports are largely exempt, firms producing branded medicines or inputs for patented drugs may face pressure. Developed nations are expected to bear the brunt of these new measures.

Industry has urged the government to address supply chain disruptions impacting sectors from pharmaceuticals to plastics. Suggestions include loan relief for small businesses, a "green corridor" for goods, and restricting certain input uses. Rising freight rates and a potential container crunch are also major concerns.

The economies included in the investigation are China, the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, South Korea, Vietnam, Taiwan, Bangladesh, Mexico, Japan and India.

Within this landscape, Tata Steel’s Indian operations do not export to the US, though its UK unit does. In contrast, JSW Steel, with facilities in Ohio and Texas, produces steel locally, shielding it from import tariffs. Hindalco exports negligible aluminium and no copper from India to the US due to strong domestic demand.

India's engineering exports face significant headwinds as the US prepares to impose a 50% tariff on steel and aluminium imports, effective June 4, 2025. This move, doubling existing duties, threatens approximately $5 billion in annual exports, prompting concerns from the EEPC and AAI.

India anticipates a limited effect from President Trump's proposed steel and aluminium tariff increase due to relatively low export volumes to the US. While the steel minister downplayed concerns, Fitch Ratings suggests potential challenges for Indian steel producers if other nations redirect exports to India.

Trump's 25% tariff on steel and aluminum imports, effective Wednesday, aims to boost US factory jobs despite market concerns. Exemptions are removed, and aluminum tariffs increased to 10%. These measures may challenge Indian steel manufacturers and prompt international trade disputes, while US domestic steel producers may benefit from higher prices and market access.

China on Friday urged US President Donald Trump to revoke his decision to impose steep trade tariffs on foreign steel and aluminium, saying it "firmly opposed" the move which will seriously undermine international trade order.

Trump doubling tariffs on steel & aluminium imports to 50% and EU readying to charge a green tax mean big threats to New Delhi's trade interests

President Trump's impending tariff hike on steel and aluminium imports, effective June 4, is projected to significantly impact Indian metal exports, potentially costing $4.56 billion. The increased duties are expected to diminish the competitiveness of Indian manufacturers in the US market. India has notified the WTO and is considering further actions in response to the tariff increase.

GTRI advises India to address Trump's new steel and aluminium tariffs within the ongoing FTA talks with the US. This approach aims to persuade the US to reduce or eliminate these tariffs, leveraging the FTA negotiations for market access benefits.

US president Trump has signed an order doubling tariffs on imported steel and aluminum to 50%, citing national security concerns and aiming to protect domestic industries from foreign dumping. While tariffs on UK imports remain at 25%, the hike targets other partners, prompting warnings of retaliation from the European Union and Mexico seeking an exemption, adding pressure to ongoing trade talks.

India has proposed retaliatory tariffs against the United States under WTO regulations, responding to American duties on steel and aluminium imposed as safeguard measures. This action, impacting US imports worth $7.6 billion, comes amidst ongoing trade deal talks between the two nations.