The Ministry of Steel has proposed a 25% safeguard duty on specific steel products imported into India, aiming to address growing concerns from domestic steel producers about cheap imports. The proposal was discussed in a meeting on December 2 between the Steel Ministry and the Commerce Department, attended by Steel Minister and Commerce and Industry Minister Piyush Goyal. A final decision now rests with the Ministry of Finance, based on recommendations from the Commerce Ministry.
Domestic steelmakers have been vocal about the adverse impact of rising steel imports on their competitiveness. Steel Secretary Sandeep Poundrik highlighted last month that over 60% of India’s steel imports come from Free Trade Agreement (FTA) nations at zero duty, meaning a safeguard duty would not affect these shipments.
Data from research firm BigMint reveals that India’s steel imports surged to 5.51 million tonnes (MnT) during April-September 2024-25, compared to 3.66 MnT in the same period last year. Notably, imports from China jumped to 1.85 MnT from 1.02 MnT year-on-year.
Acknowledging the challenges, Poundrik affirmed the ministry’s awareness of the issue and the need for action to protect domestic producers while ensuring fair trade practices.
