India Mulls 15-25% Tariff on Steel Imports to Protect Domestic Industry

India is considering imposing a temporary tax of 15-25% on steel imports, particularly targeting Chinese products, to address the "serious challenge" faced by domestic steelmakers. The country's Steel Minister announced that this measure could be implemented within six months to curb the surge in cheap imports. India's finished steel imports have reached an eight-year high, with China accounting for a significant portion of these imports. The proposed tariff aims to protect local manufacturers who are struggling to compete with low-cost foreign steel. This move comes as India's steel exports have declined by 28.9% in the first 10 months of the 2024/2025 fiscal year, while imports have increased by 20.3%. The government is also exploring other measures to support the domestic steel industry, including increasing production capacity and promoting infrastructure investments to boost demand.
Source: Reuters, February 12, 2025