New Delhi, Aug. 2 -- India's engineering goods sector is bracing for a sharp setback after President Trump announced a 25 percent tariff and additional penalties on all Indian imports, effective August 1.

Exporters fear a significant blow to shipments, particularly in steel, aluminium, and related products, which make up the majority of India's engineering exports to the US.

The US is India's largest export market for engineering goods, with shipments rising 8.7 percent year-on-year to USD 19.15 billion in FY25 from USD 17.62 billion in FY24.

Steel, aluminium, and derivative products alone account for over USD 12 billion-more than 60 percent of the total-which will now face higher costs and reduced competitiveness under the new tariff ...