This Article is From Jun 29, 2018

US Tariffs Will Not Affect Steel Production In India: Union Minister

India had retaliated by imposing import duties on 16 US products.

US Tariffs Will Not Affect Steel Production In India: Union Minister

The tariffs have been imposed by the US on both steel and aluminum.

Bengaluru:

The heavy tariffs imposed by the US on imported steel and aluminum would not have any major impact on steel production in India which exports only 3 per cent to the US, Union Steel Minister Chaudhary Birender Singh said in Bengalauru.

The imposition of heavy tariffs by the Trump administration forced the Indian government to impose duties on 16 US products, he added.

Mr Singh said the government initially expected US to withdraw the heavy import tariff on steel and aluminum, but it did not. He added that the government was nevertheless working towards avoiding over production and maintaining trade balance.

President Donald Trump had earlier said that heavy tariffs on imported steel and aluminum were necessary to boost the US industry, which was suffering from "unfair" business practices.He had signed two proclamations that levied a 25 per cent tariff on steel and a 10 per cent tariff on aluminum imported from all countries, except Canada and Mexico.

Mr Singh hoped that countries facing this trade hurdle would succeed in making US withdraw the tariffs.

To a query on setting up a steel plant in Andhra Pradesh's Kadapa, Mr Singh said a decision would be taken after studying the feasibility report.

"Mecon Limited, a project consultant for the proposed steel plant in Kadapa, will draft a feasibility report, which will be taken up for discussion in the task force committee meeting before submitting it to the ministry. We will then take note of it and decide," he said.

Mecon Limited is project consultant for the proposed steel plant.

TDP lawmakers had staged protests outside Mr Singh's residence in New Delhi on Thursday after they failed to get an assurance or a deadline for setting up of the steel plant.

TDP leaders are demanding fulfillment of promises made by the Centre in the Andhra Pradesh Reorganisation (APR) Act and setting up of steel plant in Kadapa.

However, the Centre had told the Supreme Court about its position questioning the financial viability of setting up the steel plant.

Andhra Pradesh Chief Minister and TDP chief N Chandrababu Naidu had earlier said that despite Mecon giving the thumbs up through its feasiblity report, the Centre had filed an affidavit in the Supreme Court against it.

The proposed steel plant has become another point of confrontation between the Centre and the TDP-ruled Andhra Pradesh.
 

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