India has imposed a five-year anti-dumping duty of $121.55 per tonne on hot-rolled flat steel imports from Vietnam, a move widely seen as an effort to prevent cheap Chinese steel from entering the country through indirect channels.
Industry stakeholders and analysts have welcomed the decision, noting that Vietnamese steel often acts as a conduit for Chinese shipments. The duty follows a detailed investigation by the Directorate General of Trade Remedies (DGTR) into pricing practices and their impact on domestic producers.
The levy applies to hot-rolled flat steel, both alloy and non-alloy, with thicknesses up to 25 mm and widths up to 2,100 mm, excluding clad, plated, coated, and stainless steel products. While most Vietnamese exporters will face the full duty, Hoa Phat Dung Quat Steel JSC has been exempted due to a negligible dumping margin.
India’s steel imports reached 9.5 million tonnes in FY25, with China alone supplying 2.4 million tonnes in the first 11 months. However, provisional data for FY26 show a significant drop: finished steel imports fell 27.6% year-on-year, and Chinese shipments declined 47.7% during April and May 2025. Analysts attribute part of this moderation to the government’s strengthened trade-defense measures, including safeguard tariffs and ongoing investigations.
The Centre has emphasised that the move aligns with the Aatmanirbhar Bharat agenda, aimed at strengthening domestic steel production and reducing dependence on foreign supplies. Yet experts caution that Vietnamese imports constitute only a small portion of India’s overall steel inflows, limiting the extent to which this duty alone can deter Chinese-origin steel routed through Vietnam.
Trade watchers are now monitoring potential reactions from China, as well as India’s steel industry’s ability to meet growing demand without significant price pressures.
