India's steel minister announced on Wednesday that he would urge the finance ministry to increase tariffs on steel imports to shield domestic mills from a surge in cheaper imports, particularly from countries like China.
India, the world’s second-largest producer of crude steel, became a net importer of steel during the fiscal year that ended in March, and this trend persisted during the first four months of the new fiscal year, which began in April.
Between April and July, China emerged as the largest exporter of steel to India, shipping around 807,000 metric tons, followed by Japan and South Korea.
Speaking at an industry conference, Steel Minister H. D. Kumaraswamy revealed that his ministry had requested the finance ministry to take measures to protect the domestic industry. These measures include supporting the industry's call to increase tariffs on steel imports from 7.5% to 10%-12%.
"Our steel industry is facing significant challenges. They are struggling," Kumaraswamy told reporters.
In response to the situation, the Indian government initiated an anti-dumping investigation in August on certain steel products imported from Vietnam.
India's largest steel producers, such as JSW Steel and Tata Steel, have indicated that they are in discussions with the government about trade measures to address the issue.
Steel prices in India have plummeted to their lowest in over three years due to rising imports and weakened exports, according to commodities consultancy BigMint.
