Steel Safeguard Duty Extended to Protect Domestic Market

The government has extended the safeguard duties on certain steel imports for three years to curb dumping and protect domestic manufacturers. The duties start at 12% and will gradually decrease over the duration, providing longer-term protection amid a surge in imports from countries like China, Japan, and Vietnam.

The government has decided to extend safeguard duties on specific steel imports by three years, a move intended to mitigate dumping chiefly from China, along with other countries, and to bolster domestic steel producers.

Initially imposed as a temporary measure at 12% for 200 days in April, the duties will remain effective until April 2028, as per the official notification. The duty will begin at 12% in the first year, reduce to 11.5% in the second year, and further drop to 11% in the third year.

Naveen Jindal, President of the Indian Steel Association and Chairman of Jindal Steel, emphasized that the safeguard duty supports market stability and the supply of steel for infrastructure projects. Analysts believe the new timeframe alleviates investor uncertainty by offering more extended protection.

(With inputs from agencies.)