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Metal Industry: US Tariff led Recessionary fears surface

ICICIdirect Research 07 Apr 2025 DISCLAIMER

US has exempted steel & aluminium products from its reciprocal tariff measures as these base metals are already subject to a 25% import duty (implemented since 12th March 2025).

Additionally, exemptions have been extended to copper and other critical minerals.
Notably, the US accounts for ~2% of India's steel exports, while aluminium exports to the US range at ~10%. Thus, domestic metal players will have a minimal impact on account of tariffs.

However, the need of the hour is early imposition of metal safeguard duty domestically in order to control cheap dumping of metal into India as exports to US become unviable.

Metal index is down 5% in trade today, tracking softness in US bond yields amid resurfaced recessionary fear

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