India’s Steel Mills Hold Off Job Cuts as Tariffs Curb Chinese Imports

India’s small steel mills are reassessing workforce reductions following the government’s decision to impose a 12 percent temporary tariff on steel imports, primarily targeting shipments from China. The move aims to shield domestic producers from a surge in cheaper imports, which had previously forced many mills to scale down operations.  

The tariff, introduced for a 200-day period, is expected to provide relief to local manufacturers, allowing them to stabilize production and potentially raise prices. Industry leaders have welcomed the measure, noting that it could help mitigate losses and restore competitiveness in the market.  

Executives from various steel firms have reported an uptick in orders since the tariff announcement, with some mills reconsidering planned layoffs. The policy shift is particularly significant for smaller steel producers, who have struggled to compete against low-cost imports from China, South Korea, and Japan.  

Market Adjustments:  
- India imposes a 12 percent temporary tariff on steel imports to protect domestic producers.  
- Small steel mills delay job cuts as demand shows signs of recovery.  
- Industry leaders anticipate improved pricing and market stability following the tariff implementation.  

Sources: Economic Times, Reuters.