Steel Industry Applauds Commerce Ministry’s Recommendation of Safeguard Duty on Flat Steel Imports

Indian steelmakers welcomed the Commerce Ministry’s move to recommend safeguard duties on flat steel imports, a step aimed at protecting the domestic industry from a surge in cheaper overseas supplies. The proposal comes amid growing concerns over rising import volumes, which have pressured prices and threatened margins for Indian producers. The safeguard duty, once implemented, is expected to create a level playing field for domestic manufacturers, allowing them to better compete with imported steel. Industry players believe this move will help stabilize pricing, support capacity utilization, and protect investments in the sector. Industry Perspective: * Domestic Protection: The recommendation is seen as a critical shield against import dumping, especially from countries with excess capacity. * Support for Capex Cycle: With many steelmakers investing heavily in expansion, the duty could provide much-needed margin relief. * Balanced Trade Policy: Analysts note that while the measure protects domestic industry, it must also ensure downstream users are not disproportionately impacted by higher input costs. Outlook: If implemented, the safeguard duty could bolster domestic steel demand and profitability, reinforcing India’s ambition to be a self-reliant steel powerhouse. However, global market dynamics and World Trade Organization compliance will shape the final contours of the measure.

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