Page 16 - Steel Industry

Ore price fixed at Rs 4,950 per tonne, cess to be levied additionally: NMDC

State-owned NMDC on Tuesday fixed the rates for lump ore and fines at Rs 4,950 and Rs 4,210 per tonne, respectively. Lump ore, or high-grade iron ore, contains 65.53 per cent iron, while fines are inferior grade ore with 64 per cent iron or less. The latest prices are inclusive of royalty as well as contributions to District Mineral Foundation (DMF) and National Mineral Exploration Trust (NMET). Cess, forest permit fee, and other taxes will be levied additionally, the miner said in a regulatory filing. On May 30, NMDC fixed the rate of lump ore and fines at Rs 3,900 and Rs 3,560 per tonne, respectively. At that time, the rates excluded royalty, contributions to DMF and NMET, cess, forest permit fee and other taxes. "Inclusion of royalty, DMF, and NMET brings the prices on a par with the rates of miners in Odisha. Customers will now find it easier to calculate the prices of iron ore," a SteelMint analyst said. Iron ore is one of the key raw materials used in manufacturing steel,

Betting on India's growth, top steel firms in midst of big expansion plans

Private sector steel-makers have aggressive expansion plans to the end of the decade betting on faster economic growth

India's steel production rises 4.1% in May, global output falls 5%

India has registered a 4.1 per cent growth in its crude steel production at 11.2 MT amid 5.1 per cent downfall in the global output at 161.6 MT in May 2023, according to the World Steel Association (worldsteel). Despite a 7.3 per year-on-year (y-o-y) fall, China remained the top steel producing country in May with 90.1 MT crude steel production, worldsteel data showed. India produced 11.2 MT crude steel, up 4.1 per cent over May 2022, the body said in its latest report. Japan's output was also 5.2 per cent down y-o-y at 7.6 MT. The United States produced 6.9 MT steel registering a 2.3 per cent fall annually. Russia is estimated to have produced 6.8 MT, up 8.8 per cent. South Korea registered a marginal fall of 0.1 per cent to 5.8 MT. While Germany produced 3.2 MT, Brazil 2.8 MT, Trkiye 2.9 MT and Iran produced 3.3 MT in May 2023. Brussels-based World Steel Association is one of the largest industry associations in the world, with members in every major steel-producing country. I

UK removes countervailing tariff on steel bar, rod imports from India

The UK government has announced the removal of an up to 4 per cent countervailing tariff on stainless steel bars and rods imported from India due to a perceived low impact on local suppliers. The UK's Trade Remedies Authority (TRA) said on Thursday that its recommendation that the countervailing measure on imports of stainless steel bars and rods from India be revoked has been agreed by the government. Countervailing measures are put in place to offset imports being sold at unfair prices due to government subsidies in their country of origin. They are one of three types of trade remedies that are allowed under World Trade Organisation (WTO) rules. The TRA concluded that although subsidised imports would continue from India if the countervailing measure were no longer applied, it is unlikely that the UK industry would be injured if the measure was no longer in place. Trade association UK Steel said there is minimal supply to the UK market of stainless bars and rods by UK producers

DGTR for continuation of anti-dumping duty on China steel wheels for 5 yrs

The commerce ministry's investigation arm DGTR has recommended for continuation of anti-dumping duty on Chinese steel wheels for five more years with a view to guarding domestic players against cheap imports. In a notification, the Directorate General of Trade Remedies (DGTR) has said that continuation of the existing duties on the imports of Flat BaseSteel Wheels from China would address and mitigate the likelihood of injury to the domestic players. "The authority considers it necessary to recommend the continued imposition of existing definitive anti-dumping...for another period of five years...," the DGTR has said. The directorate has recommended USD 613 per tonne duty on the product. The finance ministry takes the final decision to impose this duty. The product is used in tubed tyre applications in commercial vehicles. In its probe, the DGTR has concluded that there is likelihood of continuation/recurrence of dumping and injury to the domestic industry if the existing duties a

India in talks with US on steel, aluminum tariff exemption: Report

NEW DELHI/WASHINGTON - India is in talks with the United States to seek an exemption on steel and aluminum tariffs that were imposed by former U.S. President Donald Trump, while offering withdrawal of some retaliatory tariffs, three Indian sources told Reuters.

Steel industry saved Rs 34,800 cr forex by reducing imports: Scindia

The government policies for steel sector helped the country save Rs 34,800 crore in foreign exchange by reducing imports and added around 60 million tonnes (MT) of crude steel capacity, Union minister Jyotiraditya Scindia said. India pushed Japan to third place to become the world's second largest steel producing nation, the minister for steel said while addressing a press conference titled 'The 9-years of government's seva, sushasan and gareeb kalyan focusing on steel sector'. From an installed capacity of 109.85 MT in 2014-15, India's steel capacity increased by a sharp 46 per cent to 160.30 MT in 2022-23, he said, adding the total production rose 42 per cent from 88.98 MT to 126.26 MT. The per capita steel consumption also rose from 60.8 kilogramme to 86.7 kg during the said period, registering a rise of 43 per cent. As per the National Steel Policy 2017, the country aims to scale up the capacity to 300 MT by 2030-31 and production to 250 MT. While the target is to increase the

Centre aims at covering refractories in PLI 2.0 to support steel industry

The Centre is looking to include refractories in the upcoming Production Linked Incentive Scheme 2.0 for steel as it aims at doubling the country's production capacity for the metal to 300 million tonne by 2030, an official said. Refractories are a critical input for steel production, and India depends on the import of the raw material. The Ministry of Steel is currently in talks with the refractory industry to develop an incentive policy to boost domestic production and reduce the country's dependence on imports from China, he said. "The steel industry is a major user and consumer of refractories. Currently, 70 per cent of the refractory is consumed by the sector. The vision of doubling the steel capacity in the next 6-7 years requires focused attention on the development of the key raw material," Ministry of Steel Joint Secretary Abhijit Narendra said during a recent meeting with industry stakeholders in Kolkata. The PLI 2.0 scheme is expected to be announced soon, and consultati

Amarendu Prakash takes over as SAIL chairman, succeeds Soma Mondal

Steel Authority of India Ltd (SAIL) on Wednesday said Amarendu Prakash on Wednesday assumed the charge as the company's Chairman. He succeeds Soma Mondal, who retired from the post on April 30, 2023. In a regulatory statement, SAIL said, "Amarendu Prakash, Director (in-charge at SAIL's Bokaro Steel Plant (BSL), SAIL) has joined as Chairman SAIL w.e.f. May 31, 2023". A B.Tech in Metallurgy from BIT Sindri, Prakash is an accomplished technocrat and possesses over 30 years of experience, comprising 24 years in plant operations at BSL, 4 years at the Chairman's office in SAIL, and 2 years as a Director on SAIL Board as an In-charge of BSL. He began his career at SAIL in 1991, with a posting in rolling mills. SAIL, under the Ministry of Steel, is the country's largest steel-making company, with an annual capacity of around 21 million tonnes.

Debt-to-earnings ratio of steel makers to remain below 2 times: Crisil

Research firm Crisil Ratings on Monday said it expects the net debt-to-EBITDA ratio of domestic steel manufacturers to stay below the level of 2 times in the financial year 2023-24. The steel makers had reported the ratio of net debt to EBITDA in the range of 1.6-1.7 times in preceding financial year (FY) 2022-23, Crisil Ratings said in a report. "Domestic primary steel manufacturers are likely to see their leverage, in terms of net debt to earnings before interest, tax, depreciation and amortisation (Ebitda) ratio, remain below 2.0 times this fiscal (compared to an estimated 1.6-1.7 times in fiscal 2023) despite undertaking capital expenditure to cater to growing demand," it said. With the leverage much lower than the average of 3.5 times, seen during past five fiscals, the median credit quality of the sector is unlikely to be affected as balance sheets of the players will remain healthy. Further, project risks are expected to be low due to the brownfield nature of bulk of the ...

Indian Steel Association, AISC partner to unlock opportunities in steel

Industry body Indian Steel Association (ISA) on Thursday announced signing an agreement with ASEAN Iron and Steel Council (AISC) to unlock new avenues of growth and sustainability in steel sector. ISA is the apex industry body which represents the issues and interests of the domestic steel industry. The Memorandum of Understanding (MoU) between the two organisations was signed on Sunday May 21, 2023 in Manila, Philippines, ISA said in a statement. "ISA and AISC signed a MoU for bilateral cooperation. It aims to leverage the strengths, expertise, and resources of both organizations to unlock new avenues for growth, innovation, and sustainability in the steel industry," it said. The delegation from India was led by ISA president and AMNS India CEO Dilip Oommen and ISA Secretary General Alok Sahay, while AISC President and President Director of PT Krakatau Steel Purwono Widodo attended the MoU signing. Widodo emphasised the significance of the steel industry in both India and ASEAN .

Around 40 MT new steel capacity to be commissioned by FY26: Assocham

Around 40 million tonne (MT) of new steel-making capacity will be commissioned by 2025-26, an industry executive said on Thursday. Vinod Nowal -- the Chairman of Assocham's National Council on Iron and Steel -- made the remarks at India Steel Summit in the national capital. Domestic steel production capacity is expected to touch 300 MT and crude steel production is likely to reach 255 MT by FY31, he said. Nowal, who is also the chairman of JSW Bhushan Power and Steel Ltd, said, "Fresh steel capacities of accumulating to 35-40 MT per annum are lined up for commissioning by FY26". As per the industry body Indian Steel Association (ISA), India's total installed steel-making capacity was 154 MT as of March 2023. Another 40 MT capacity addition by FY26 will scale it up to 194 MT.

JSW Steel to consider raising of long-term funds; board meeting on 19 May

The board will also consider the recommendation of payment of dividends on the equity shares

Steel industry raises concerns over EU's carbon border tax with govt

The steel ministry on Wednesday held a meeting with the industry players over the European Union's move to impose carbon tax, sources said. The meeting comes amid the carbon border adjustment mechanism (CBAM) being implemented by the European Union, which would have an adverse impact on India's exports of metals such as iron, steel and aluminium products to the EU, they said. The EU is introducing CBAM from October 1 this year. The new mechanism will translate into a 20-35 per cent tax on select imports into the EU starting January 1, 2026. On the request of the representatives of various steel companies and industry bodies the steel ministry held a meeting on Wednesday evening. "In the hybrid meeting chaired by steel secretary Nagendra Nath Sinha, the industry raised the issue of CBAM, saying it violates several articles of the WTO," sources said. They also noted that post imposition of the tax regime, India will become vulnerable to dumping of steel items by various countries, w

Weekend Bites: Pause not pivot, GDP, Doge, and litti-chokha for thought

In which we munch over the week's platter of news and views

SAIL-BSP gets licence to produce new grades of wire rods

The High Carbon IS 7904 HC38 & HC 80 grade steel wire rod is high value-added steel developed through SMS 3 - WRM route

JSPL gets nod to manufacture India's first fire-resistant steel structures

Jindal Steel and Power Ltd (JSPL) on Sunday said it will manufacture India's first fire-resistant steel structures at its unit in Raigarh, Chhatisgarh. With the production of a special steel item for the first time in India, the company will target segments like refineries, bridges, metro projects, industrial structures, steel, power plants, hospitals, commercial and residential buildings, JSPL said in a statement. "JSPL has received BIS certification to manufacture India's first fire-resistant steel structures at its rail mill in Chhattisgarh. The BIS 15103 grade steel structural steels are designed to withstand temperatures up to 600 degrees celsius for 3 hours," it said. The grade is being imported at present. The new grade steel structures will help the nation to reduce dependence on imports, the company said. "The license provided to the company will be a game-changer in strengthening India's infrastructure & its safety standards. Fire-resistant steel will provide much-needed

India's April-February finished steel exports slump 52%: Govt data

Major steelmakers reported a drop in profits in the December quarter, in part because the government in May imposed the tax, which applied to exports of some intermediate steel products, such as bars

Rebuilding of Turkey post quake may spur steel demand from India: Industry

Since Turkey's own industry, a major player in world steel trade, has also been disrupted, demand from the western world may surge as well

Essar group returns to steel business with $8-billion investment

Setting up steel plant in Saudi, an iron pellet plant each in Odisha, US