[SMM Steel] Indonesian HRC Holds at $520/mt FOB as Concerns Over Price Rises Emerge

India’s steel ministry is unlikely to introduce new measures to curb cheap steel imports in the near term, despite requests from domestic steelmakers to raise import protection, according to a government source. India imported around 3.5 million tonnes of finished steel during April-August, up 29.5% year on year, with China accounting for 31.8% of total imports. A petition has reportedly sought an increase in the safeguard duty from the current 11.5% to above 20%, but the government is not considering a hike at present as domestic steel prices are already high. India had introduced safeguard duties on some steel products in December 2025 and also started an anti-dumping investigation into hot-rolled steel imports from China, Japan and Russia in June. Meanwhile, domestic steel prices have increased in recent weeks due to higher coking coal costs and stronger demand after the monsoon, with infrastructure and automotive demand showing improvement. Higher imports remain a key risk to domestic mills’ margins if import competition strengthens further.

Vedanta Iron and Steel Limited's saleable steel production rose 4% year on year to 532,000 tonnes in Q2 FY27, although output fell 9% quarter on quarter due to scheduled furnace maintenance. Hot metal production increased 3% year on year to 552,000 tonnes. TMT bar output rose 12% to 112,000 tonnes, while ductile iron pipe production surged to 22,000 tonnes from 7,000 tonnes a year earlier. Billet production fell 31% year on year to 12,000 tonnes. During April-September, saleable steel production increased 4% year on year to 1.114 million tonnes, while hot metal output rose 3% to 1.153 million tonnes.

Industry associations representing MSMEs in Coimbatore have urged the Indian government to temporarily withdraw applicable import and safeguard duties on steel for six months until March 2027, citing sharp increases in raw-material prices and constrained availability. In a joint representation to Prime Minister Narendra Modi, the associations said market steel prices increased by around 8,000-10,000 INR/tonne between August and September. The industry bodies also sought a six-month deferment of applicable BIS and Quality Control Order requirements for imported steel, the creation of a steel Price Monitoring Committee and the establishment of a SAIL depot in Coimbatore to improve steel availability. No government decision on the proposals has been announced.