Pressure from US Section 232 tariffs
EEPC India said the 50 per cent US tariffs under Section 232 have significantly impacted engineering exports, deepening the disadvantage for Indian manufacturers. The tariff gap with global competitors has now widened to an average of 30 per cent, the council noted, warning that this gap is pushing Indian suppliers to the margins of the US market.
Pankaj Chadha, Chairman of EEPC India, stressed the urgency of policy support, stating, “A special support package that can absorb at least 15 per cent of this differential would help us secure our position.”
The US remains one of India’s top destinations for engineering goods, valued at billions annually. Small exporters often operate on slim margins, and tariff shocks can distort global supply chains overnight.
