India’s government has recommended a 12% provisional safeguard duty on select steel products for 200 days to counter surging imports that threaten domestic producers. The Directorate General of Trade Remedies (DGTR), under the Ministry of Commerce, announced the measure after a December 2023 investigation found record imports caused “serious injury” to local mills.
Key Details:
Import Surge: India, the world’s second-largest crude steel producer, became a net steel importer during April 2023–January 2024, with shipments from China, South Korea, and Japan hitting record highs.
Impact on Industry: Cheap Chinese steel has forced smaller Indian mills to reduce operations and consider layoffs, prompting calls for trade protections.
Next Steps: Stakeholders have 30 days to submit comments before an oral hearing and final decision.
Context:
The move aligns with global efforts to curb cheap steel inflows, particularly from China, which has flooded markets amid sluggish domestic demand. India’s steel imports rose 38% YoY to 8.3 million metric tons in 2023, squeezing local producers’ margins.