Trade sources in conversation with SteelMint shared that Indian importers have resumed imports of thinner gauge HRC from Japan for September end or early October shipments.
Indian steel mills have booked around 20,000 MT of HRC ( 1.8 mm) at USD 645/MT for Sep- October shipments.
Prior to this towards end of July SteelMint reported that Indian steel mills are eyeing for lower HRC offers from Japanese mills. Offers from mills for September shipments were around USD 650-660/MT, CFR India.
Why have mills been importing HRC from Japan & Korea ?
Owing to less availability of material in domestic market and Free Trade Agreement (FTA) Indian mills prefer to go for imports. It is to be noted that India has signed FTA for ten years with Japan and South Korea which provide an exemption from duties on imports coming from the two countries.
India imported 18% flat steel from Japan in Jan-Jun’18 –
As per the data maintained with SteelMint, Indian flat steel imports from Japan stood at 0.52 MnT and occupied the share of 18% in first half of CY18. Total flat steel imports during the said time frame was recorded at 2.90 MnT.
Indian Steel Ministry considering safeguard duties on steel imports : Reports
Indian steel ministry has shown concern on increased steel imports coming from China,Japan and Korea in order to prevent dumping of steel in India.
Meanwhile post imposition of USA tariffs on Japan and South Korea steel export volumes are being diverted to India.
Thus to protect local steel mills against cheaper imports,Indian Steel Ministry is considering proposal to impose safeguard measures in near term. Safeguard duty on HRC imports expired on 13 March, 2018.
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