4 days Ago
New Delhi, Apr 16 (PTI) After SAIL, another large steel player AMNS India has raised concerns over the possible impact of the US administration's decision to impose tariffs on the domestic industry. "The domestic steel industry needs protectionism", Ranjan Dhar, Director & Vice President - Sales and Marketing at Arcelor Mittal Nippon Steel (AMNS) India, told PTI, adding that and the Indian market does not have appetite for any imported steel. He made the remarks when asked about the impact of US President Donald Trump's announcement last month to impose 25 per cent tariffs on India's domestic steel and aluminium industry.
Earlier, SAIL Chairman Amarendu Prakash had said the imposition of higher tariffs by the US may change the global "trade flows", increasing the chances of India becoming more vulnerable to steel imports as the countries exporting to the US may divert their shipments in the domestic market. Dhar said China -- the world's largest steel-producing country -- is among the steel-exporting nations to the US and if it does not find a market, it will have to divert its products somewhere. India's import got higher (in FY25) because China has produced over 1 billion tonne of steel.
Their domestic consumption has not kept pace with the capacity that have increased. Last year they have exported 110 million tonne of steel. The official said the countries China was traditionally exporting to have developed their own steel capacity.
India also has developed its own steel capacity. So, now, the market does not have appetite for any imported steel. Dhar also said the Indian steel industry was expecting a safeguard duty of 25 per cent.
However, the Directorate General of Trade Remedies (DGTR), the investigation arm of the commerce ministry, has recommended imposition of a 12 per cent provisional safeguard duty for 200 days on certain steel products with an aim to protect domestic players from surge in imports. The final decision to impose the duty will be taken by the finance ministry. Steel industry experts have said India's steel imports could reduce 50 per cent in FY26 while domestic manufacturers' profitability is expected to improve, if the government levies a safeguard duty on inbound shipments.
President Trump on Wednesday (April 2, 2025) announced reciprocal tariffs on about 60 countries in a historic measure to counter higher duties imposed globally on American products. However, the tariffs have been put on hold until July 9. Recently, a Tata Steel official told PTI that the company is evaluating the situation and it would be premature to comment.
A senior official of Naveen Jindal-owned Jindal Steel and Power Ltd (JSPL) said the company is closely monitoring the impacts of the US announcements, and will share its comments at an appropriate time. (This story has not been edited by THE WEEK and is auto-generated from PTI).
