India’s steel imports have seen a significant surge in the first half of FY25, with China emerging as the dominant supplier, according to provisional government data. Between April and September 2024, the country imported 4.7 million metric tons of finished steel, marking a 42.2% increase compared to the same period last year. This rise in imports comes at a time when India, despite being the world’s second-largest producer of crude steel, remains a net importer of finished steel.
The largest portion of this increase can be attributed to China, which exported 1.4 million metric tons of steel to India during the period, up 36.7% from the previous year. Notably, hot-rolled coils accounted for 44% of the total steel imports. China’s diverse steel offerings include stainless steel, galvanized sheets, pipes, and rods, flooding the market with competitively priced goods, which has kept sentiment subdued within the domestic steel industry. The surge in imports has raised alarms among local manufacturers. Tata Steel’s CEO recently warned that prolonged imports from China could undermine India’s domestic steel sector, potentially stalling investment plans. Alongside China, India also saw increased steel imports from South Korea, Japan, and Vietnam. However, imports from Vietnam have attracted scrutiny, with India launching an anti-dumping investigation on certain steel products from the country. Domestically, India’s steel production for the period stood at 72.8 million metric tons, a 3.6% year-on-year increase. Finished steel consumption also grew by 13.5%, reflecting steady domestic demand. However, steel exports fell sharply by 35.9%, with Italy, Belgium, and Spain among the largest markets seeing reduced shipments.
