India Investigates Rising Steel Imports Amid Trade Concerns

India's federal Ministry of Steel has requested the trade ministry to probe cheaper steel imports from China and Vietnam. The investigation follows the rise in imports, with India turning net steel importer in the last fiscal year. Discussions also include diversifying sources of coking coal.

India's federal Ministry of Steel has called on the trade ministry to investigate cheaper steel imports from China and Vietnam, according to a trusted government source, as the country faces a surge in imports. India, now a net steel importer, saw a five-year high in finished steel imports in April and May, per provisional data.

The source, who requested anonymity, disclosed that the trade ministry's recommendations would be forwarded to the finance ministry for the final decision. Multiple requests for comments from India's steel and trade ministries have gone unanswered. Recently, JSW Steel confirmed ongoing discussions with the federal government to implement trade measures against increasing imports from China and Vietnam.

Additionally, the steel ministry urged EU officials not to increase taxes on India's carbon-intensive industries. India rejected an EU proposal to levy higher taxes on such industries. Meanwhile, talks continue to diversify coking coal imports from Russia, Canada, and the U.S., reducing dependency on Australia, the principal supplier. Some imports are also being trialed from Mongolia, with companies like JSW Steel and SAIL expecting shipments following extensive negotiations.