Jindal Steel & Power Limited
New Delhi [India], April 22: In a decisive move to shield its domestic steel industry from a surge of low-priced imports, the Indian government has imposed a 12% safeguard duty on certain flat steel products for 200 days, effective April 21, 2025. This temporary measure aims to curb the influx of cheap steel imports, primarily from China, South Korea, and Japan, which accounted for 78% of India's finished steel imports in the fiscal year 2024-25.
The Directorate General of Trade Remedies (DGTR) recommended this duty following an investigation initiated in December 2024. The probe revealed that the sharp increase in imports of non-alloy and alloy steel flat products was causing significant injury to domestic producers. India, the world's second-largest crude steel producer, became a net importer of finished steel for the second consecutive year, with imports reaching a nine-year high of 9.5 million metric tons in 2024-25.
The safeguard duty is expected to provide much-needed relief to domestic steelmakers, particularly small and medium-sized enterprises, who have faced immense pressure from rising imports. Industry leaders, including JSW Steel, Tata Steel, the Steel Authority of India, and ArcelorMittal Nippon Steel India, have supported the imposition of import curbs.
Naveen Jindal, President of the Indian Steel Association and Chairman of Jindal Steel and Power, was pivotal in advocating for this safeguard duty. He stated, "We are grateful for the government's decisive move to impose a 12% safeguard duty on flat steel products, much needed to stop imports arriving at predatory prices. This support will help investors to focus with renewed vigour for a capacity build-up towards 300 million tons by 2030 for an Aatmanirbhar Bharat and will set the cornerstone for a Viksit Bharat."
India's National Steel Policy 2017 sets an ambitious target to increase the country's steel production capacity to 300 million tons by 2030. Achieving this goal requires substantial investment and confidence in the domestic market, both of which are bolstered by protective measures like the newly imposed safeguard duty.
The government's action aligns India with other countries seeking to control foreign steel imports and protect domestic manufacturing sectors. By creating a level playing field, the safeguard duty is expected to reinvigorate investor confidence and accelerate the sector's contribution to national growth.
As the steel industry looks ahead, the implementation of the safeguard duty marks a significant step towards strengthening India's self-reliance and economic resilience.
(ADVERTORIAL DISCLAIMER: The above press release has been provided by Jindal Steel & Power Limited. ANI will not be responsible in any way for the content of the same)
