In a replay of events that unfolded in 2018-2019 during US President Trump’s previous term, a tariff tussle has again broken out. The US has imposed tariffs on imports from China, Canada and Mexico.

China and Canada have readily retaliated by announcing counter-tariffs on US-origin goods. Other countries, including India, are concerned that the tariff axe may fall on them too sooner rather than later.

As in the past, industrial metals are the first set of US imports to attract tariffs. In mid-February, Trump announced a 25 percent tariff on steel and aluminium imports, similar to his first tariff-related step 7 years ago in 2018.

So what is the implication of US tariffs on the world steel and aluminium markets? Trade in the two metals, aluminium and steel (including fabricated products like drums and cans), accounts for just about 3 percent of world trade, and within that, exports to the US are barely 0.25 percent of world trade.

To be sure, these tariffs are not game changers for the world industrial metals market. Canada may be affected, as it is the most exposed to the US market.

The impact on the Chinese economy will be negligible. The US already imposes a 47.5 percent tariff on Chinese........

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