India imposes duties on stianless steel imports

MUMBAI (Reuters) – The government said on Thursday it was imposing anti-dumping duties for six months on cold-rolled flat stainless steel products to support local industry, a move analysts said will prevent sharp falls in prices in a bearish market.

The Finance Ministry said China, Japan, Korea, the European Union, South Africa, Taiwan, Thailand and the United States had exported stainless steel at below its normal value.

“The domestic industry had suffered material injury,” it said in a statement.

Stainless steel, used in utensils, automobiles, white goods, and machines, is produced mainly by Jindal Stainless and Steel Authority of India unit Salem Steel Plant.

“Raw material prices are falling and every where there are inventories. In this scenario, the duty will prevent stainless steel prices from slipping much,” said Pawan Burde, senior research analyst at Angel Broking.

In the last fiscal year ended on March 31, India’s total steel imports were at 9.0 million tonnes of which cold rolled coils were just about a percent at 98,410 tonnes. See here

The duties to be imposed varied from less than $100 a tonne to more than $1,000 a tonne, depending on the country of origin and the specification of the stainless steel.

There were more than 80 different duty levels outlined in the statement. The duties will be in effect until Oct. 21.

Source: http://in.reuters.com/article/businessNews/idINIndia-39212420090423

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