In a significant policy move, India has proposed a 12% safeguard duty on certain steel imports for 200 days. This is a steep increase from the existing 7.5% import duty, aimed at protecting the domestic steel industry from the flood of cheap foreign steel.
Why This Sudden Move?
The government, through the Directorate General of Trade Remedies (DGTR), is responding to an alarming surge in low-cost steel imports, particularly from China, Vietnam, and Korea. These imports have undercut local manufacturers, threatening jobs and profitability.
Key Reasons Behind the Decision
Unfair Competition – Domestic producers struggle to compete with artificially low-priced imports.
Industry Protection – Indian steel giants like Tata Steel, JSW Steel, and SAIL have raised concerns over falling demand for local steel.
Market Stabilization – The move aims to balance pricing, ensuring fair competition.
What Happens Next?
The proposed 12% duty is open for public feedback for the next 30 days before a final decision. If implemented, it could significantly impact steel prices, industrial costs, and stock market movements.
For more updates, read the full report: Reuters.com
Stox N Tax 
Leave a comment