India's Bold Move: Steel Tariff Sparks Trade Policy Shift

India, the world's second-largest crude steel producer, has imposed a temporary 12% tariff on some steel imports to curb cheap supply, particularly from China. This is part of India's efforts to protect its domestic industry amid rising imports and ongoing trade tensions influenced by global policies.

India, the globe's second-largest producer of crude steel, has taken a decisive step by imposing a 12% temporary tariff on certain steel imports, known locally as a safeguard duty. This measure aims to counteract an influx of low-cost steel shipments, primarily originating from China.

The tariff is set to be effective for 200 days, the Ministry of Finance announced. This marks a significant trade policy shift for New Delhi, following the extensive tariffs imposed by U.S. President Donald Trump earlier this year, which sparked a trade war with China.

Steel Minister H. D. Kumaraswamy emphasized the importance of this move in shielding domestic manufacturers from the adverse effects of import surges and maintaining fair market competition. The decision is primarily targeted at China, currently the second-largest exporter of steel to India, following South Korea.

(With inputs from agencies.)