Indian Steel Industry Seeks Protection Against Chinese Imports
The Indian government is currently reviewing a request from the domestic steel industry to impose a temporary tax on steel imports from China, according to JSW Group Chairman Sajjan Jindal. This request comes amidst concerns about the impact of Chinese steel dumping on the Indian market.
Jindal, speaking at an industry event in Bengaluru, highlighted the industry's efforts to convince the government to prevent Chinese steel from entering the country through Free Trade Agreement partners. He expressed the industry's patience with the steel ministry in seeking protection against this issue.
The process of studying the request for a temporary tax is ongoing, with consultations involving the user industry. However, there has been no response from the ministries yet. Indian steel manufacturers are facing challenges due to increased imports of Chinese steel, which have affected domestic prices and company earnings.
Provisional government data indicates that finished steel imports into India reached a seven-year high of 5.7 million metric tons during the April-October period. Jindal warned that higher Chinese steel imports could result in thin margins for the steel industry, limiting surplus funds for investments and capacity expansion.
Earlier this month, Tata Steel CEO TV Narendran also expressed concerns that continuous steel imports could negatively impact the industry's investment plans.
JSW Cement IPO Expected by January 2025
Jindal also mentioned that the regulatory approval for the initial public offering (IPO) of JSW's cement business could be obtained by the end of January 2025. The Securities and Exchange Board of India (SEBI) had previously put a hold on the proposed $477 million IPO in September. However, Jindal anticipates that SEBI will approve the IPO by January.