India’s 12% safeguard duty on steel imports is showing early signs of success, with total import volumes projected to fall by 50% in fiscal year 2025–26, compared to the 9.5 million metric tons (mt) imported in FY 2024–25. This was confirmed by Sandeep Poundrik, Secretary at the Ministry of Steel, in a statement on Thursday, June 19.
“The safeguard duty is working,” Poundrik said, noting that the sharp decline in imports is a direct result of the measure imposed on April 12, 2025, which will remain in effect for 200 days.
While speculation has surfaced regarding a possible increase in the safeguard duty to 24%, Poundrik clarified that no final decision has been made. The government will wait for the final report from the Directorate General for Trade Remedies (DGTR)—expected by August 2025—before deciding whether to extend, modify, or withdraw the levy.
Key takeaways from the ministry’s statement:
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Current safeguard duty is 12%, effective from April 12, 2025
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Imports in FY 2025–26 may fall to around 4.75 million mt, down from 9.5 million mt in FY 2024–25
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Decision on duty revision or continuation will follow DGTR’s final report and industry consultation
On long-term trends, Poundrik also shared expectations for India’s rising per capita steel consumption, which stood at 104 kg in FY 2024–25. The target is to increase this to:
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155–160 kg by 2030
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200 kg or more by 2035
India’s steel policy aims to balance domestic industry protection with long-term growth in consumption and infrastructure demand, while remaining compliant with global trade norms.
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