India Delivers a Blow to China: 3-Year Tariff Imposed on Steel Imports

New Delhi: In a decisive move aimed at curbing cheap steel imports, India has imposed a three-year tariff on select steel products, directly targeting China. The step is intended to counteract China’s dumping practices and protect domestic steel producers from unfair competition.

Under the new regulation, India has levied import duties of 11–12% on certain steel products. The duty will be 12% in the first year, decreasing to 11.5% in the second year, and further reducing to 11% in the third year. The move is expected to limit the surge in shipments from China and safeguard the local steel industry.

Exemptions for Developing Nations:
While China, Vietnam, and Nepal are subject to this levy, some developing countries have been granted exemptions. The tariffs do not apply to special steel products such as stainless steel.

India, the world’s second-largest crude steel producer, has recently seen a sharp rise in cheap imports from China, raising anti-dumping concerns and pressuring domestic manufacturers. The government’s Gazette notification states that the Directorate General of Trade Remedies (DGTR) recommended the three-year duty after identifying a “recent, sudden, and substantial surge” in steel imports.

Earlier in April 2025, the government had imposed a temporary 12% tariff on all foreign steel imports for 200 days, which expired in November 2025. This new, longer-term measure is expected to provide stability and protection to domestic steel producers, ensuring fair competition in the market.

Impact:
Experts say this move sends a strong signal to China, reflecting India’s determination to safeguard its industrial interests while maintaining a level playing field for domestic steel manufacturers.

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