CPI(M) demands strong measures against high US tariffs, condemns privatisation moves at Vizag Steel Plant

The Communist Party of India (Marxist) has demanded that both the Central and State governments take immediate steps to safeguard India, particularly Andhra Pradesh, from the adverse effects of the recent decision of the United States of America to impose steep tariffs on Indian exports.

Addressing a  press conference here on Monday (September 01), CPI(M) State secretary V. Srinivasa Rao warned that the tariff hike will severely impact the State’s aqua sector, textile and garment industries, and spinning mills, putting thousands of livelihoods at risk. Andhra Pradesh’s aquaculture sector, with around 2.5 lakh farmers and thousands of workers who are directly and indirectly dependent on it, is already coping with falling prices of shrimp due to reduced exports. Subsidies on power, feed and seed costs, along with urgent efforts to secure alternative export markets, were needed, he stressed.

The removal of import duties on cotton was hurting Indian farmers, he said and demanded export subsidies as compensation. In the textile and garments sector, which employs nearly 46,000 people and accounts for ₹20,000 crore worth of exports, the new US tariffs could devastate small and medium industries. Already, garment production has slowed, and 35% of spinning mills have shut down due to rising electricity costs.

CPI(M) further accused the US of undermining India’s sovereignty and self-respect, stating that President Donald Trump and American senators are attacking India while political parties like BJP, TDP, Jana Sena, and YSRCP remain silent. “It is the responsibility of Prime Minister Modi and Chief Minister Chandrababu Naidu to protect India from the effect of high American tariffs,” he said and demanded the abolition of ‘true-up’ charges, export subsidies, and relief in taxes, electricity and interest burdens.

CPI(M) leader also hit out at what he described as ‘false propaganda’ by the BJP–TDP–Jana Sena alliance regarding Visakhapatnam Steel Plant. While the earlier tender system only engaged contractors as support to permanent workers for specific engineering, mechanical, or cleaning tasks, the new system of inviting expressions of interest (EoIs) under Comprehensive Technical Maintenance is an attempt to privatise core production operations. Under the new model, contractors would not just assist but take charge of entire production processes, while permanent workers would be sidelined. He warned that this would increase production costs and compromise safety in a highly hazardous work environment where experienced in-house teams are essential.

On the Polavaram project, Mr. Srinivasa Rao demanded that the government make public the remarks and recommendations of the foreign expert committee.  He called for proper documentation of the construction works and for top priority to be given to rehabilitation, insisting that 100% resettlement must be completed by March 2026.