- QCO eased for key engineering and specialty steel grades
- Extended compliance relief issued in amendment order
The Ministry of Steel (MoS) has suspended enforcement of 55 Indian Standards (IS) under the Steel and Steel Products (Quality Control) Order, 2024, following recommendations from the High-Level Committee on Non-Financial Regulatory Reforms (HLC-NFRR). The Ministry examined the wider implications of QCO enforcement on the steel ecosystem, considering potential downstream pricing pressures, the need to ensure adequate availability of steel for MSMEs and consumer industries, the continued reliance on imports for certain specialised and low-volume grades, the importance of preventing unfair trade practices, the requirement to support small steel producers, and the broader objective of strengthening domestic self-reliance.
Taking these aspects into account, the Ministry has suspended QCO enforcement for 42 Indian Standards for three years and for 13 Indian Standards-largely covering specialty grades under PLI 1.2-for one year. These changes have been formalised through the Steel and Steel Products (Quality Control) Amendment Order, 2025, issued under the relevant provisions of the Bureau of Indian Standards Act, 2016.
QCOs on 42 standards suspended for 3 years
The enforcement of 42 IS Standards in Schedule 1-covering steel grades widely used in engineered products, automotive components, electrical equipment, and consumer durables-has been suspended for three years.
In Schedule 1, enforcement of IS Number and IS Title at serial numbers 24, 37, 48, 55, 68, 69, 73, 74, 75, 76, 77, 79, 81, 82, 83, 87, 88, 90, 95, 96, 97, 98, 99, 101, 104, 105, 106, 107, 112, 113, 114, 115, 116, 117, 118, 119, 120, 123, 124, 125, 150 and 151 and the entries relating thereto shall not be operative for a period of three years from date of publication in the Gazette.
QCOs on 13 standards suspended for 1 year
The enforcement of 13 IS Standards-primarily specialty and high-precision steel grades-has been suspended for one year.
In Schedule 1, enforcement of IS Number and IS Title at serial numbers 49, 50, 60, 64, 86, 92, 93, 94, 102, 128, 132, 135 and 137 and the entries relating thereto shall not be operative for a period of one year from date of publication in the Gazette.
Industry impact
Market participants indicated that the QCO suspension may help reduce raw material costs and ease steel sourcing for MSMEs, auto, and engineering sectors, improving their competitiveness. However, domestic producers could face stronger import competition, and some stakeholders cautioned about the risk of lower-quality steel entering the supply chain. Overall, the relaxation is expected to improve supply flexibility, but it will require strict quality monitoring and heightened trade vigilance in the coming months.
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