Steel Authority of India Limited (SAIL) has entered into a strategic partnership with John Cockerill India Limited (JCIL) to advance green steel production and technology within the steel industry.

The Memorandum of Understanding (MoU) was signed in Mumbai between SAIL Director (Finance) Anil Kumar Tulsiani and JCIL Managing Director Michael Kotas. This collaboration will focus on improving technologies in cold rolling, carbon steel production, green steel, and specialized silicon steels.

The partnership also aims to integrate green technologies into traditional iron and steelmaking processes to reduce carbon emissions and enhance resource efficiency. This move aligns with SAIL’s sustainability goals and its commitment to reducing the environmental impact of steel production.

SAIL is focused on transforming its operations and adopting advanced technologies to contribute to a greener future in the steel industry. The MoU marks a significant step towards the company’s vision of sustainable growth.

India is exploring the implementation of safeguard duties to curb the influx of steel at low or zero tariffs under the free trade agreement (FTA) with the ASEAN region. This move comes as Chinese companies expand their steel manufacturing capacities in ASEAN countries.
Discussions are underway between the steel and commerce ministries, ahead of the next India-ASEAN FTA review talks scheduled for February. Industry experts report that Chinese firms are adding approximately 97 million tonnes (mt) of blast furnace-basic oxygen furnace (BF-BOF) capacity in ASEAN, expected to be operational within the next 5-6 years.
With annual steel consumption in ASEAN at around 75 mt, there are concerns that the surplus production could be redirected to India due to the tariff advantages under the India-ASEAN FTA. “Discussions are ongoing, and measures like imposing a safeguard duty are being considered,” a senior government official said.
Alok Sahay, Secretary General of the Indian Steel Association, noted that the influx of 97 mt of new BF-BOF capacity in ASEAN countries poses a threat to Indian steel producers. “Given the current FTA and the limited growth in ASEAN’s consumption, these new capacities are mainly for export. India’s low-to-zero tariffs make it an attractive market compared to the EU or the US,” Sahay added.
The South East Asia Iron and Steel Institute (SEASI) projects that the region’s steel production capacity will reach 145 mt by 2026. Praful Venugopal, CEO of Mittal Steel Indonesia, mentioned that Chinese producers have signed agreements with Indonesia to set up plants that will contribute an additional 20 mt of capacity. Indonesia’s steel consumption is around 17 mt, and these new plants are designed to supply exports.
The anticipated oversupply from ASEAN could lead to depressed domestic steel prices in India, where production in FY24 was 139 mt, just slightly above consumption of 136 mt.
(ET)

The central government has identified instances of substandard steel imports and has taken measures to prevent their entry into the country. The Ministry of Steel stated that cheaper imports tend to lower domestic steel prices and negatively impact both large and small steel producers.

According to the ministry, numerous traders and manufacturers have been attempting to bypass the Bureau of Indian Standards (BIS) requirements by making minor alterations to steel grades. Official reports indicate that this appears to be an effort to import inexpensive steel under the guise of different grades.

The BIS has established 151 standards encompassing 1376 steel grades under the Steel Ministry’s Quality Control Orders (QCO). The ministry emphasized that this framework ensures compliance with BIS standards for both domestically produced and imported steel. The statement further highlighted that these measures are aimed at restricting the import of low-quality steel.

While steel imports require a BIS license, certain grades not yet covered by BIS standards may be imported with a No Objection Certificate (NOC) from the Steel Ministry. However, the ministry noted instances of misuse of this provision. Officials observed that many traders and manufacturers have been modifying steel grades slightly to circumvent BIS requirements.

Official data revealed that import applications for 1136 additional grades have been submitted to the Steel Ministry. Most of these grades are reportedly neither internationally recognized nor covered by BIS standards. They often involve minor variations in chemical composition or product dimensions and appear to facilitate the import of cheaper steel under the pretext of alternative grades. Furthermore, many of these shipments were ordered without obtaining the requisite NOC from the ministry.

Addressing concerns regarding restrictions on Japanese steel imports, the ministry clarified that 735 applications for importing Japanese steel had been received. Of these, 594 were approved, while 141 were denied due to non-compliance with established norms.