India’s Ministry of Steel has proposed to increase the basic customs duty on finished steel imports to 15% from the current 7.5%. The Union Budget was planned to be placed before Parliament in February next year. In addition, the Directorate General of Foreign Trade (DGFT) started the investigations into the imported finished steel from China, as it may impose a 25% safeguard duty for a specific period to check imports.
Other than a higher duty rate for customs duty, it will come with the safeguard duty. If DGFT makes the recommendations on the levies, the imported steel will be checked to secure the domestic steel industry.
India’s finished steel imports rose to an 8-year high of 6.5 million tons from April to November of the current fiscal year 2024-25, rising 26.6% from the same period of the previous fiscal year. Imported steel from China also rose to 1.96 million for the period, rising by 22.8% year on year.
