On March 12, 2025, the United States announced the imposition of a 25% tariff on steel and aluminum products on a most favored nation basis. India has continued to engage with the US to enhance and broaden bilateral trade ties.
Steel is a deregulated sector in India, where the government acts as a facilitator by creating a conducive policy environment. The Directorate General of Trade Remedies conducts anti-dumping investigations under the Customs Tariff Act, 1975, to address concerns of dumping and injury to the domestic industry. Current anti-dumping duties include measures against seamless tubes and pipes from China, electro-galvanized steel from Korea, Japan, and Singapore, and stainless-steel products from China, Vietnam, and Thailand.
The government has implemented several steps to safeguard domestic steel manufacturers and strengthen competitiveness. Countervailing duties are in place for welded stainless steel pipes and tubes from China and Vietnam. The Union Budget 2024-25 reduced basic customs duty on ferro-nickel and molybdenum ores to nil, continued exemption on ferrous scrap, and extended exemption on specified raw materials for manufacturing cold rolled grain-oriented steel.
The Domestic Manufactured Iron and Steel Products policy promotes ‘Made in India’ steel for government procurement. The Production Linked Incentive scheme for specialty steel aims to reduce imports and attract capital investments, anticipating ₹27,106 crores in investment and creating 24 million tonnes of specialty steel capacity.
The Steel Quality Control Order bans sub-standard steel products in the domestic market and ensures quality through conformity to BIS standards. The government supports MSMEs through various schemes, including green investment, circular economy, and employment generation programs.
This information was provided by the Minister of State for Steel and Heavy Industries, Shri Bhupathiraju Srinivasa Varma, in a written reply to the Lok Sabha.
