India remained a net importer of finished steel, with imports continuing to exceed exports during the first four months of FY2026-27. Government data showed finished steel imports rose 36.6% year on year to 2.77 million tonnes during April–July 2026, while exports increased 35% to around 2.29 million tonnes.
The increase in imports comes despite measures introduced to protect domestic steel producers, including safeguard duties and an anti-dumping investigation covering certain hot-rolled coil imports from China, Japan and Russia. China remained the largest supplier, accounting for about 31% of India’s finished steel imports during the period.
Higher imports are putting pressure on domestic mills’ pricing power and margins, even as Indian steel prices have recently strengthened. Domestic HRC prices rose sharply from August into early September, supported by stronger post-monsoon demand, maintenance shutdowns and tight distributor inventories.
The steel market is also facing higher production costs as coking and thermal coal prices rise. India’s steel and sponge-iron sector relies heavily on imported coal, while elevated freight and insurance costs linked to geopolitical tensions have increased the landed cost of raw materials.
With domestic infrastructure, construction and automotive demand expected to improve after the monsoon, steel consumption is likely to remain firm. However, continued growth in imports could limit further price increases and remain a key concern for Indian steel producers.