Shivalik Bimetal Controls Ltd. has proactively undertaken a comprehensive evaluation of the recent US reciprocal tariffs imposed on imports from India. As a leading supplier of specialized engineered products, such as shunt resistors and bimetal/trimetal components, to prominent customers in the United States, Europe, India, and the Asia Pacific region, the company maintains a well-diversified global presence. Approximately 19% of Shivalik's total revenues originate from exports destined for the US market, with 74% of these exports categorized under items exempted from the new tariffs.

The remaining 26% of Shivalik’s exports, primarily bimetal products, will be subject to the reciprocal tariffs. In response to these changes, the company has provided the following insights regarding its business operations:

1. Customer Engagement & Demand Outlook:
   Initial consultations with US-based customers have indicated no immediate concerns regarding price renegotiations or substantial order reductions. The 90-day moratorium on tariffs (except for China) has alleviated concerns about price negotiations or order reductions in the short term. Shivalik anticipates minimal risk to customer retention due to the highly specialized and mission-critical nature of its products, coupled with high supplier-switching costs.

2. Competitive Landscape & Market Positioning:
   Shivalik’s industry peers supplying the US market are also subject to comparable tariff constraints due to their reliance on imported raw materials. This helps to maintain Shivalik’s competitive positioning, mitigating the potential impact on the company's operations.

3. Strategic Risk Mitigation Initiatives:
   The company is diversifying its geographic exposure and has recently entered into strategic Memoranda of Understanding (MoUs) to serve US-based customers across alternate geographies. Additionally, Shivalik’s current product development initiatives are primarily focused on markets outside the United States, providing further insulation from potential near-term tariff implications.

In his statement, Mr. Kabir Ghumman, the Managing Director of Shivalik Bimetal Controls Ltd, expressed confidence in the company's ability to manage the impact of the tariffs:
“Our assessment indicates minimal material impact on our business from these reciprocal tariffs. The complexity involved in replacing specialized suppliers provides stability in our customer relationships, and initial feedback supports this. Our continued focus on geographic diversification and capital efficiency puts us in a strong position to navigate through temporary disruptions in demand or margins. We remain confident in our resilient business model and are actively engaging with our global customer base to collaboratively manage the regulatory landscape.”

About Shivalik Bimetal Controls Ltd.

Founded in 1984, Shivalik Bimetal Controls Ltd. is a leading player in the field of process and product engineering, specializing in the manufacture of thermostatic bimetal/trimetal strips used in electrical, electronics, automotive, and industrial applications. The company also produces shunt resistors for use in the automotive and industrial equipment sectors. Shivalik's products support the rising demand for switchgear, battery management, and smart metering systems, positioning the company for long-term growth in emerging sectors like electric vehicles and customizable smart meters.

Shivalik is committed to high-quality bimetals and shunt resistors, supplying OEMs (Original Equipment Manufacturers) and maintaining a competitive edge in a market with high entry barriers. The company operates four manufacturing facilities in Solan, Himachal Pradesh, and serves over 300 clients globally, with a team of 1,000 skilled professionals.

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