Shares of leading Indian steel manufacturers came under pressure on Monday, June 2, after former US President Donald Trump announced a significant hike in import tariffs on steel and aluminium. The Nifty Metal index fell 0.87% to 9,113.65.
Among major losers:
-
JSW Steel declined 1.29% to ₹980.65
-
Tata Steel slipped 0.98% to ₹159.44
-
SAIL (Steel Authority of India) dropped 1.20% to ₹127.63
-
Jindal Steel & Power was down 0.57% at ₹943.45
The pressure came after Trump, during a speech in Pennsylvania, vowed to double existing tariffs on steel and aluminium to 50%. In a later post on Truth Social, he confirmed the hike would come into effect on June 4 under Section 232 of the US Trade Expansion Act, citing national security risks.
India exported $4.56 billion worth of steel and aluminium products to the US in FY25, including $3.1 billion in value-added steel articles. The US is a key market for Indian steelmakers due to its high consumption and favorable pricing environment.
Experts believe the tariff hike could directly impact Indian exporters and potentially lead to trade diversion. Industry leaders, including those from JSW Steel and AMNS India, have called for proactive trade measures to protect domestic interests amid the shifting global landscape.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions.
