Turning Tariff Troubles into Trade Triumphs: The Road Ahead

In February 2025, India's engineering exports suffered a decline of 8.62% year-over-year to $9.08 billion. The declines in exports are attributed to the global trade challenges stemming from tariffs and counter-tariffs initiated by the US.  The effects were particularly pronounced in steel, aluminum and copper exports, as aluminum exports fell by 58% and iron and steel exports dropped by 40%. The first impact of US tariffs on steel and aluminum, announced on March 12, should appear in the coming months. Despite the changes in global trade, the US remains the top destination for India's engineering exports. While the US remains a major partner and the benefits of bilateral trade continue to develop, industry experts suggest the need to diversify exports and potentially explore a trade agreement with the US in light of the existing trade challenges facing US and Indian traders.

 

Source: Financial Express