Cheap Steel Imports Unfair Even As Local Efficiency Improves, Says SAIL Chairman

Cheap steel imports from countries like China have distorted fair market conditions and the government's recent 12% temporary safeguard duty will prevent further damage to industry, according to Steel Authority of India Ltd. Chairman Amarendu Prakash.

"Margins of all domestic steel players have been depressed because unfairly priced imports have been coming in," Prakash told NDTV Profit. "We do face challenges as some of these imports are subsidised in their countries. We are calling for a level playing field. India has taken the right decision under WTO guidelines," he added.

Following an investigation, the government this week placed levies on certain steel imports for 200 days to protect the domestic industry from cheap products being dumped from countries like China and Vietnam.

The probe came after the Indian Steel Association, which SAIL is a part of, filed a complaint with the DGTR alleging a "recent, sudden, sharp and significant increase in imports", which has caused "injury to the domestic industry."

The SAIL chairman said Indian steelmakers will continue to improve efficiency and expand capacity to meet the rising demand amid a growth spree in infrastructure and housing development. "We are projecting 10% growth in steel consumption in India in FY25."

He also said any correction in local steel prices will be based on global market conditions that have been uncertain due to US tariff policies. The Trump administration in February placed tariffs of up to 25% on industrial-grade steel and aluminium, other steel and aluminium semifinished and finished products.