US Tariff Pause: A Brief Respite for India's Aluminium Sector?

With the US announcing a 90-day halt on reciprocal tariffs for most nations, including India, the aluminium industry is on high alert. Analysts suggest that while India's steel exports to the US are minimal, the sector must remain vigilant against potential dumping from China and the Middle East.

Global Market Reactions and Domestic Concerns

Amidst global market uncertainties, the US has temporarily eased tariffs but increased rates on Chinese imports to 125%. The aluminium industry, already burdened by a 25% levy since March, watches closely as the 10% tariff effective April 5 remains unchanged.

Industry Perspectives and Export Figures

B K Bhatia of FIMI notes that the tariff pause offers no relief to the aluminium sector, with exports to the US accounting for 7.4% of India's total. Aluminium leads these exports, followed by copper and baryte, highlighting the sector's significance in India's trade dynamics.