Indian steelmakers eager to continue writing duties
Not so long ago the Indian metallurgist succeeded in the government administration in the hot-rolled steel duties. Inspired, the producers decided to push the duties and steel coated. Published news publication Business Standard refers to Seshagiri Rao CFO JSW. According to him, it is necessary to curb steel imports. This requires restrictions on the entire chain of value formation. Duties on hot-rolled steel are presented only as a separate step. Hence the request to the Government on the introduction of the following duties. They are affected by steel coated. The government's decision is expected.
Steelmakers India hope for a gradual introduction of protective duties. They will have to affect the entire metal. In JSW Steel is believed that the necessary duties on galvanized, rebar, wire rod and cold rolled steel. Protective duties, affected the hot-rolled steel, have given rise to increased imports of hot-rolled products. In September, there was a sharp jump in the volume of imported products. Metallurgists of India said that the phenomenon demonstrates the urgency of new duties.
Industrial consumers are also not enthusiastic about such plans of manufacturers. The introduction of additional taxes will contribute to a decrease in supply and increase in cost. If the government will introduce duties on cold-rolled steel and coated coils, the cost will increase. At the same time forced to stop about 3 million. Tons of production capacity. It will be affected by rolling and metal sheeting. Under the threat will be and manufacturers whose products are supplied to the domestic market. Market participants believe that the duty on galvanized open access to the Chinese professional flooring and other products of China.
In September, the consumption of steel in India has decreased by more than 5.2%. demand volumes reached 6.2 million. tons. Development began in September fell by 1.3% to reach 7.33 million. Tons. Reducing the relative performance of the September 2014 amounted to 0.5%. In annual terms, the demand for the April-September grew by 4.1%, reaching 39.14 million. Tons. Consumption volumes are pretty optimistic. Experts also say the failure of consumption in September. In August, while demand increased by 4.8%. The main negative factor experts believe the real estate sector. According to them, until the restoration of the sector is still far.