Archive · 13 Nov 2025
Tata Steel MD Calls for Safeguard Duty Renewal Amid Import Surge
Imagine India's steel factories are like local bakeries trying to sell bread.
Recently, a lot of bread has been coming into India from other countries, sold at prices that are much lower than what it costs the Indian bakeries to make.
This makes it hard for the local bakeries to sell their bread and earn enough money.
Tata Steel's boss, Mr. Narendran, is asking the government to put a special tax, called a safeguard duty, back on these cheap imported breads.
He says this tax, which was 12%, needs to be renewed to help the Indian bakeries continue making their investments and stay in business.
He believes that without this protection, the cheap imports could make it very difficult for Indian steel companies to grow and compete, especially since countries like China have advantages like bigger factories and government support.
Tata Steel is urging the Indian government to renew the 12% safeguard duty on specific steel imports.
The company states that a sharp increase in imports and domestic export consignments hitting the market necessitates this protection.
TV Narendran, MD of Tata Steel, emphasized that the duty is crucial for protecting investments and ensuring healthier cash flows for the steel industry.
Narendran argues that low import prices, often driven by countries like China with scale and incentives, derail domestic private sector capital expenditure.
The renewal is sought to counter unfair price competition and protect the domestic market, despite potential disadvantages for steel consumers.
- Who
- Tata Steel, represented by MD TV Narendran, and the Government of India
- What
- Tata Steel is advocating for the renewal and potential extension of the 12% safeguard duty on select steel imports.
- When
- The provisional duty was levied in April for 200 days and is up for renewal. The article was published on November 13, 2025.
- Where
- India
- Why
- To protect the domestic steel industry from a surge in imports priced cheaply, especially from China, which is hindering domestic investment, capacity building, and profitability due to unfair price competition.
Tata Steel (Represented by TV Narendran)
Steel Consumers
Necessity of Safeguard Duty
Tata Steel (Represented by TV Narendran)
The 12% safeguard duty on select steel imports needs to be renewed to protect the domestic industry from a sharp increase in imports and to ensure healthier cash flows, which are crucial for continued investment and capacity building. Unfairly low prices from countries like China, which benefit from larger scale and incentives, can derail private sector capital expenditure programs.
Steel Consumers
Consumers of steel may feel at a disadvantage due to safeguard duties, as they can lead to increased costs for raw materials needed for their own products, potentially making Indian manufactured goods less competitive.
Impact of Imports on Domestic Market
Tata Steel (Represented by TV Narendran)
The influx of imports, particularly from China which exports significantly, is putting stress on the domestic market as Indian producers are forced to sell their entire capacity within India due to limited export options. This situation makes it difficult for Indian manufacturers to compete at low prices.
Steel Consumers
While not explicitly stated, consumers would likely prefer access to the lowest possible prices for steel, which would typically be driven by international market rates, including those from large-scale producers like China.
- Safeguard Duty Rate
- 12% (provisional)
- Duty Duration (Initial)
- 200 days
- Proposed Renewal
- Yes, by Tata Steel
- Key Advocate
- TV Narendran, MD, Tata Steel
- Reason for Duty
- Sharp increase in imports, domestic consignments hitting market, protecting domestic industry investments, ensuring healthier cash flows
- Challenging Factor
- Large-scale exports from China at low prices, benefiting from scale and incentives
Sources
India Imposes Anti-Dumping Duty On Vietnamese Steel Products To Protect Domestic Producers From Cheap Imports Priced Below Normal Cost
India levies anti-dumping duty on certain steel imports from Vietnam
India imposes anti-dumping duty on Vietnamese steel products
