Steely resolve under pressure: Buoyant demand fails to lift steel prices

Buoyant demand has failed to push steel prices amid an increase in production and imports, threatening to slow expansion plans and limit companies' ability to reinvest in capacity addition

The Indian steel industry is faced with a paradox: Rising demand and falling prices.  Demand continues to surge as user industries gather pace, with the World Steel Association projecting around 9 per cent annual growth for India over 2025 and 2026, the year domestic demand is projected to be almost 75 million tonnes (mt) higher than in 2020.

 

Major producers are pouring billions of dollars in ambitious capacity expansion. But as new supply comes on stream and global trade flows tighten, steel prices and demand are beginning to move out of sync — a sign that the next chapter in