Experts say the announcement of double-doubled steel and aluminum by US President Donald Trump will affect Indian exporters, especially price-added and finished steel products and exporters engaged in auto-components. Expressing concern over the trump administration’s move, he said that the Government of India should raise the matter bilaterally with the US authorities.
On May 30, Trump announced that he would double the current 25 percent tariff on the import of steel and aluminum from 4 June. This increase falls under Section 232 of the American Trade Extension Act 1962, it is a law that allows the President to impose tariffs or other trade restrictions when it is a threat to national security.
Trump originally used this provision in 2018 to determine 25 percent on steel and 10 percent on aluminum. He increased the tariff on aluminum to 25 percent in February 2025. Global Trade Research Initiative (GTRI) said that its results are directly for India.
In 2024–25, India exported iron, steel and aluminum products worth US $ 4.56 billion to the US, including major categories, including $ 587.5 million iron and steel, $ 3.1 billion of US $ 3.1 billion iron or steel goods and $ 860 million and aluminum and alleged goods.
GTRI founder Ajay Srivastava said, “These exports are now in touch with rapidly growing American tariffs, threatening the profitability of Indian producers and exporters.” India has already issued a formal notice in the World Trade Organization (WTO), indicating its intentions to put a counter -tariff on American goods in response to the earlier steel tariffs.
He said, “After Trump doubles the tariff, it remains to be seen whether India will retaliate by increasing the tariff on some American exports within a month,” SC Ralhan, president of the Federation of Indian Export Organization (FIEO), said that the proposed increase in import duty will have a significant impact on India’s steel exports, especially stainless steel pipes, structural steel components and automotive steel parts such as semi-tailed and prepared categories.
“These products are part of India’s growing engineering exports and high fees can reduce our value competitiveness in the US market,” he said. The US is one of the top destinations for Indian steel manufacturers, which are gradually raising market share through high quality production and competitive pricing.
Rahan said, “Such a rapid increase in tariffs send signals to discourage global trade and manufacturing supply chains. We urge the government to raise the issue at a bilateral level, so that it can be ensured that Indian exporters do not suffer unfairly … because 25 percent will be a very large burden, which is difficult to bear by exporter/importer.” The FIEO chief also emphasized that Indian exporters need to diversify their markets and to invest in high-ranked price-addicted products to reduce the impact of such conservationist measures.
