India extends steel floor prices to December 4 to curb cheap imports
A worker welds a steel rod inside a door and window manufacturing unit on the outskirts of Ahmedabad. Image Source: Reuters
India extended a floor price for imports of steel products for a further two months late on Tuesday as the government tries to protect the domestic industry from cheap overseas shipments, especially from China.
The floor price, or the minimum import price (MIP), was introduced for six months in February, the first time the government had taken such a step in more than 15 years. It was extended from its initial expiry in August to October 4.
The second extension, announced by the Commerce and Industry Ministry on Tuesday, is a sign India is growing increasingly protectionist as it tries to support local players in the world's only major growing steel market.
Top domestic steel makers such as JSW Steel, Tata Steel, Jindal Steel & Power had lobbied the government hard to take more measures to protect margins from cheap imports from China, Japan and South Korea.
Earlier on Tuesday, Steel Secretary said the government was expected to impose provisional anti-dumping on 21 steel products within two weeks.