India Secures 2.8 Million Tonne Duty-Free Steel Export Quota from EU

India has secured a significant trade concession from the European Union (EU), obtaining a 2.8-million-tonne duty-free steel export quota alongside key approvals for Indian seafood and shipbreaking industries ahead of negotiations for the proposed India-EU Free Trade Agreement (FTA).

The concessions come at a critical time when global trade is facing rising protectionist tendencies and regulatory barriers like the EU’s Carbon Border Adjustment Mechanism (CBAM). Indian steel exporters faced potential punitive tariffs in European markets without dedicated quotas, threatening the competitiveness of domestic manufacturers.

Under the new arrangement, Indian steelmakers can export up to 2.8 million metric tonnes of steel products into the EU market without paying safeguard duties. Additionally, the EU approved updated sanitary and phytosanitary standards for Indian marine exports and recognized compliant Indian shipbreaking yards under the EU Ship Recycling Regulation.

This trade agreement provides immediate relief to Indian metal exporters and boosts non-oil merchandise exports. For competitive exams, this is crucial for UPSC Mains GS-3 (Effects of Liberalization and Foreign Trade) and Prelims questions on bilateral trade frameworks, CBAM impacts, and tariff-rate quotas (TRQs).