India’s Tata Steel Ltd. is planning to explore new markets in regions such as the Middle East and Latin America, as President Donald Trump’s tariffs impact shipments to the US.
“We are looking at other markets where there is a requirement for high-end steel and where we are not impacted by these kinds of tariffs,” Chief Executive Officer T.V. Narendran told Bloomberg Television in an interview with Haslinda Amin, without elaborating on fallout from US levies.
About 10% of its exports from the Netherlands and 5% from the UK go to the US, but these sales contribute up to 20% of its overall profit, he said.
The metal from the Netherlands faces a steep 50% tariff, while the UK benefits from a lower rate following a separate trade deal, Narendran said.
The threat of a US levy of at least 25% on India’s exports is unlikely to significantly affect Tata Steel, as its export volumes from the South Asian nation remain relatively low, he added.
The company’s move to explore new markets shows how US tariffs are pushing global firms to rethink their trade strategies. By targeting other markets, the producer aims to cut risk and find stable demand for its high-end steel products. The company operates in more than two dozen nations.
“Some of these products require customer approval so it’s not a switch that can happen overnight,” Narendran said. “Once we develop other markets, it’s not necessary that we may want to go back to the US if the tariffs come down.”
This is the risk with these tariffs because people may develop alternative sources and markets and might not want to switch back easily, he said.