US tariffs may hit Indian steel, aluminium exports: Govt
New Delhi: India's exports of steel and aluminium products may become costlier and uncompetitive in the American market due to the US decision to impose duties on such goods, the government has said.
The US has imposed duty of 25 per cent and 10 per cent on certain steel and aluminium imports. The decision was effective from March 23.
India has already requested the US for exemption to its steel exports, Minister of State for Commerce and Industry C R Chaudhary said in a written reply in the Rajya Sabha on Wednesday.
"Though it would be difficult to estimate what would be the quantum of impact on Indian steel and aluminium exports, the Indian exports may become costlier and uncompetitive in the US market especially against other countries who are exempted from levy of tariff by the US," he has said.
He added that the protectionist measure on steel and aluminium is not in the best interest of furthering global trade.
Iron and steel exports to the US stood at $309.18 million during April-January this fiscal. On the other hand, shipments of articles of iron and steel aggregated at $1.35 billion during the same period.
He said that the duties imposed by the US is beyond the bound rate committed by America to the World Trade Organisation (WTO).
In a separate reply, the minister said India has raised this issue with the US highlighting that Indian steel exports are primarily of those items which are not domestically produced in the US and in no way threaten American industry.
"The government has urged the US to exempt India from these tariffs," he said.