India sees minor impact from US tariff hike – minister

India’s federal steel minister stated on Monday that the country expects only a minor impact from US President Donald Trump’s decision to raise tariffs on steel and aluminium products, as India exports relatively low quantities to the United States.

Last week, Trump announced his plans to raise tariffs on imported steel and aluminium from 25 to 50 per cent, causing a drop in the stock prices of steelmakers in South Korea and Vietnam, both significant Asian exporters to the US.

Approximately 25 per cent of the steel used in the US is imported, with the majority coming from Mexico, Canada, Japan, South Korea, and Germany. .

“Minor impact will be there… We are not exporting (to the US) in a big way,” steel minister HD Kumaraswamy told reporters at a press briefing in New Delhi.

Fitch warned in March that Indian steelmakers and prices may suffer if countries with more US exposure start sending their shipments to India to find more favourable markets for steel.

Attribution: Reuters
Subediting: M. S. Salama