India Proposes 12% Safeguard Duty on Steel Imports
The Indian government has proposed a 12% safeguard duty on certain steel imports for a period of 200 days to protect its domestic steel industry. This move comes as cheaper steel from China floods global markets, threatening the livelihoods of Indian steel manufacturers. The Directorate General of Trade Remedies (DGTR) has invited feedback from stakeholders within 30 days, after which a final decision will be made following public consultation and an oral hearing.
The steel industry has been facing significant challenges in recent times, with a surge in imports from countries like China and South Korea. The cheaper steel imports have led to a decline in domestic production, resulting in a significant loss of employment opportunities for Indian steel workers. The Indian steel industry has been pressing the government to take measures to protect its interests and mitigate the impact of cheap imports.
The proposed safeguard duty is likely to provide a much-needed respite to the Indian steel industry, which has been facing a tough time due to the surge in imports. The duty is expected to help Indian steel manufacturers to compete with cheaper imports and maintain their market share. The move is also expected to create a level playing field for domestic steel producers, as they will not be at a disadvantage due to the cheaper imports.
The Indian steel industry has been facing a number of challenges in recent times, including the decline in global demand, oversupply in the market, and the surge in imports from countries like China. The industry has been struggling to maintain its production levels, and the proposed safeguard duty is likely to provide a much-needed boost to the industry.
The Indian government has been taking steps to support the steel industry, including increasing the import duty on certain steel products. The government has also been encouraging domestic steel producers to increase their production levels and meet the growing demand for steel in the country.
The proposed safeguard duty is likely to have a positive impact on the Indian steel industry, as it will provide a much-needed protection to domestic steel producers. The duty is expected to help Indian steel manufacturers to compete with cheaper imports and maintain their market share. The move is also expected to create a level playing field for domestic steel producers, as they will not be at a disadvantage due to the cheaper imports.
However, the proposed safeguard duty is likely to have a negative impact on the global steel market. The duty is expected to reduce the supply of steel in the global market, which could lead to a shortage of steel in certain regions. The duty is also expected to increase the cost of steel for consumers, which could lead to a decline in demand for steel in certain industries.
The proposed safeguard duty is likely to be implemented in phases, with the first phase being the imposition of a 12% duty for a period of 200 days. The duty is expected to be reviewed after the 200-day period, and if necessary, it may be extended or modified. The Indian government is likely to take a cautious approach while implementing the safeguard duty, as it wants to ensure that the duty does not have a negative impact on the global steel market.
In conclusion, the Indian government has proposed a 12% safeguard duty on certain steel imports for a period of 200 days to protect its domestic steel industry. The duty is expected to provide a much-needed respite to the Indian steel industry, which has been facing significant challenges in recent times. The duty is expected to help Indian steel manufacturers to compete with cheaper imports and maintain their market share. However, the duty is also expected to have a negative impact on the global steel market, and the Indian government will need to take a cautious approach while implementing the duty.
Source:
https://startuptalky.com/news/india-imposing-tariffs-combat-worlds-steel-excess/
