Surge in Steel Imports Raises Concern in India

The Indian government, under the Union Steel Minister H D Kumaraswamy, is addressing the issue of increased steel imports, particularly from China. Imports surged nearly 50% in the first half of FY25, attributing the rise to China's reduced domestic demand and beneficial trade agreements with Vietnam.

The Indian government is taking measures to tackle the challenges associated with steel imports, reveals Union Steel Minister H D Kumaraswamy. The industry has highlighted these concerns to the ministry, Kumaraswamy confirmed during FICCI's recent event focused on electric vehicles.

According to insiders, substandard steel imports are a pressing issue for domestic players. Rising imports, especially from China, have compromised the competitiveness of local companies. China's increasing exports have been driven by a slump in domestic demand.

Reports suggest a significant 50% increase in steel imports in the first half of FY25 compared to the same period last year. China's exports, projected to reach over 100 million tonnes in 2024, raise alarms. Meanwhile, Vietnam benefits from duty-free exports under a free trade agreement.

(With inputs from agencies.)