EU curbs fail to dent India’s steel push: 80% exports retain FTA benefits
India has successfully negotiated an expansion of its steel export quota to the European Union, securing over 80% of its previous export volumes despite new EU import curbs. The government is also working to establish domestic verification agencies to comply with the EU's Carbon Border Adjustment Mechanism.
Why it matters
This development highlights India's ability to leverage trade negotiations to protect its industrial exports against tightening European environmental and trade regulations.
Despite the European Union (EU) imposing curbs on imports of steel, India has managed to safeguard more than 80% of its steel supplies to the EU by negotiating that steel-related concessions included in the India-EU trade deal be front-loaded and applicable before the deal comes into force, a senior government official said on Thursday.
The EU has since July 2026 implemented an amended quota-based system for certain steel imports that drastically cut country-wise quotas in a bid to reduce overall steel imports.
“The text of the trade deal says the quota for India was 16.5 lakh tonnes for the items that were within the quota mechanism,” the official said on the condition of anonymity. “Due to India’s negotiations, when the system was finally implemented in July, India’s quota was expanded to 19 lakh tonnes.”
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