No tariff relief for metals, but indirect demand boost likely: ICICI Securities

“50% tariff on aluminium and steel will continue,” said Vikash Singh, Vice President at ICICI Securities, pointing out that the metal sector does not get direct relief under the new India-US trade agreement that lowers duties on many other Indian exports to 18% from earlier levels as high as 50%. He added that while metals are excluded from the tariff reset, related sectors benefiting from improved trade flows could still lead to a slightly positive indirect demand impact for metal companies

On commodities, Singh said silver price estimates have been revised higher. He said earlier estimates were in the range of $53–$57 per ounce, while current estimates factor in “$90 per ounce” for silver.

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Singh continues to maintain a positive stance on select metal companies despite recent stock moves. He remains positive on Vedanta from a long-term perspective.
On sector positioning, Singh said the preference currently is toward ferrous metals over non-ferrous metals. He said the peak demand season over the next few months is expected to support ferrous metal demand.

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He added that Tata Steel is currently among the preferred picks in ferrous metals, while Vedanta remains a key pick in non-ferrous metals based on commodity exposure and demand outlook.

For the full interview, watch the accompanying video

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