Tuesday, Dec 06, 2022

Steel imports: FinMin to decide on Chinese ‘dumping’

SteelMin had pressed for raising import duty to protect domestic industry

The steel ministry had been asking the finance ministry to abolish 2.5 per cent import duty on coking coal and iron ore. The steel ministry had been asking the finance ministry to abolish 2.5 per cent import duty on coking coal and iron ore.

With the steel ministry seeking curbs on imports of cheaper Chinese steel into the country, the finance ministry is learnt to be deliberating whether the imports amounted to dumping by the Chinese exporters and will decide fiscal measures accordingly.

The steel ministry under Narendra Singh Tomar is pressing the finance ministry to impose financial curbs to discourage inflow of Chinese steel into India at the peril of domestic steel producers. This is at a time when they are reeling under depleted margins and battling sluggish market conditions.

“The steel industry and the government, both are worried over dumping from China. We have discussed increasing the import duty with the finance minister and hope to get favourable results,” Tomar said on Thursday.

[related-post]

Subscriber Only Stories
JK Cement’s SPSU Udaipur Launches ‘Golden Batch 2022’ In Collaboration Wi...Premium
Appendicitis in Children- A new lifestyle disorderPremium
Using evidence will create strong foundations for the future of education...Premium
Re-Defining The Tradition In Folk Art: An Art Educator’s PerspectivePremium

A steel ministry official told The Indian Express that the finance ministry is trying to ascertain whether there is a case for raising the customs duty already imposed on various steel products or there is a well-argued case for imposing anti-dumping duty.

Last year the government had already imposed stringent quality checks on Chinese steel entering the Indian markets, while the commerce ministry is learnt to be in favour of imposing curbs on imports of selected steel products.

table

Between April 2014 to January 31, this year the country imported 8.38 million tonne (MT) of steel of which 2.9 MT was from China alone against 1.08 MT in 2013-14. The neighbouring country has steel capacity of 800 MT per year, but dipping domestic demand and shutting down of some mills owing to environmental concerns has led to its steel makers ship their produce abroad.

The finance ministry is in talks with the steel ministry to ascertain whether rising imports merit fresh measures like imposing an anti-dumping duty or enhancing existing customs duty to discourage imports mostly by secondary steel makers.

Advertisement

“There is a general consensus in both the ministries that more deliberations are needed with stakeholders before we zero in on an option,” the official said.

The steel ministry had been asking the finance ministry to abolish 2.5 per cent import duty on coking coal and iron ore to help local producers combat rising input costs.

In the Budget 2015-16, the government had announced the possibility of increasing import duty for finished and semi-finished steel to 15 per cent from 10 per cent as a cushion to steel producers.

First published on: 04-04-2015 at 03:01:39 am
Next Story

Police suspect rival hand in theft of Samsung parts

Latest Comment
Post Comment
Read Comments
Advertisement
Advertisement
Advertisement
close