Steel imports plunge nearly 30% in Q1 FY26

India’s import of finished steel fell sharply in the first quarter of the financial year starting April, with a decline of 28.8% year-on-year to 1.4 million metric tonnes, according to provisional government data. The steep drop follows the government’s imposition of a 12% safeguard duty in April to curb low-priced shipments, particularly from China.

Shipments from China shrank by 45.8%, totaling 0.3 million tonnes, while imports from Japan saw an even more dramatic fall of 65.2%, down to 0.2 million tonnes. Despite the overall decline, South Korea remained India’s top steel supplier, exporting 0.5 million tonnes—a 6.5% decrease from the previous year.

Although import volumes dropped, India remained a net importer during the quarter, as steel exports also declined by 5.1%. Belgium emerged as the top destination for India’s finished steel exports, which rose by 40.8 per cent. Shipments to the United States, Spain and Nepal also increased, while exports to Italy declined. India’s leading export by volume was galvanised plain or corrugated sheets or coils. On the domestic front, crude steel production reached 40.6 million tonnes, reflecting an 11.2 per cent increase. Finished steel consumption stood at 38.3 million tonnes, an increase of 7.9 per cent. Domestic rebar prices edged lower as market sentiment remained weak due to slow demand and the onset of the monsoon.