India Unlikely to Add Steel Import Curbs, Source Says

India's steel ministry is unlikely to seek additional measures against low-priced steel imports in the near term despite calls from domestic producers, according to a government source cited by Reuters.

NEW DELHI, Oct. 7 (Reuters): India's steel ministry is unlikely to push for new measures to curb low-priced steel imports in the near term, despite a request from domestic steelmakers, according to a government source with direct knowledge of the matter.

The source spoke on condition of anonymity because import policy discussions are confidential. India's steel ministry did not respond to Reuters' request for comment, meaning the reported policy stance has not been publicly announced by the ministry.

Finished-steel imports rose 29.5% in April-August

India, the world's second-largest crude steel producer, remained a net importer of finished steel during April-August 2026.

Government data show finished-steel imports totaled 3.4873 million metric tons during the five-month period, up 29.5% from 2.6928 million metric tons a year earlier.

China was India's largest finished-steel supplier, accounting for 31.8% of imports, or 1.1104 million metric tons. South Korea ranked second with 29.8%, followed by Japan with 14.2%.

Safeguard duty remains at 11.5%

India imposed a three-year safeguard measure on specified non-alloy and alloy flat-steel imports after previously introducing a temporary duty in April 2025.

The safeguard rate was 12% for April 21, 2025 through April 20, 2026, and stepped down to the current 11.5% for April 21, 2026 through April 20, 2027. It is scheduled to fall to 11% for April 21, 2027 through April 20, 2028.

The measure applies to specified covered flat-steel products and should not be interpreted as an across-the-board tariff on all steel imports.

A steel analyst told Reuters that a steel mill had petitioned for the safeguard duty to be increased above 20% from the current 11.5% rate.

However, the government source said no increase was planned at present because domestic steel prices were already high.

Separate anti-dumping investigation targets hot-rolled steel

India also opened an anti-dumping investigation in June into imports of hot-rolled flat products of alloy or non-alloy steel originating in or exported from China, Japan and Russia.

The investigation is separate from the existing safeguard measure and should not be treated as an additional duty unless and until trade authorities make a determination and any resulting measure is imposed.

Domestic mills have raised prices

Reuters reported that Indian mills have increased steel prices in recent weeks amid higher coking-coal prices and stronger demand following the monsoon period.

Industry executives cited rising demand from infrastructure and automotive markets.

India's automobile retail sales increased 31.82% year over year in September, driven by two-wheelers and passenger vehicles, according to the Federation of Automobile Dealers Associations.

Fitch Ratings said in a September 1 report that higher imports remain a key risk to Indian steel producers' margins if competitive pressure intensifies again.

The latest import data therefore leave Indian producers facing a mixed policy backdrop: finished-steel inflows have continued to rise, but Reuters' government source indicates that additional near-term protection is not currently planned.

Source: Reuters; Government of India steel trade data; Directorate General of Trade Remedies.

Also Read

• India will monitor Chinese steel imports before deciding on further curbs, source says
• India plans to increase steel capacity to 600 million tonnes by 2047

Explore More

Steel News & Market Reports