India Imposes 12% Safeguard Duty on Select Steel Imports to Protect Domestic Industry

In a move aimed at shielding the domestic steel industry from a surge in cheap imports, the Government of India has imposed a 12% provisional safeguard duty on five categories of steel products, including hot rolled coils, sheets, and plates. The duty will remain in effect for 200 days.

• The decision follows a recommendation by the Directorate General of Trade Remedies (DGTR) under the Commerce Ministry, which had proposed the safeguard measure last month after observing a sharp rise in steel imports, particularly from China, Japan, Korea, and Vietnam.

• To implement the duty, the government has set minimum import prices ranging from $675 to $964 per tonne on a CIF (cost, insurance, and freight) basis. Shipments priced below these thresholds will attract the 12% duty, while those meeting or exceeding the specified prices will be exempt.

• Unlike anti-dumping duties, which are country-specific, safeguard duties are applied uniformly across all importing nations and are used to address unexpected surges in imports that pose a threat of serious injury to domestic producers.