Tata Steel's Meramandali plant in Odisha is undergoing maintenance, which is expected to cause a temporary dip in hot-rolled coil (HRC) supply, according to SMM market sources.
Market participants indicated that distributors have been informed they will receive only around 15% of their usual HRC allocations during the maintenance period. A person familiar with the situation said the maintenance could last approximately three weeks.
Meramandali is one of Tata Steel's major flat-steel production facilities, with a hot-strip mill capacity previously reported at approximately 5.4 million tonnes per annum. The integrated steel plant has an installed crude-steel capacity of 5.6 million tonnes per annum.
The reported reduction in distributor allocations indicates tighter HRC availability in the domestic market. However, the actual production loss, units affected and duration of the maintenance remain unconfirmed.
Tata Steel has not publicly confirmed the reported allocation restrictions or the three-week maintenance timeline.
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