India rolls out three year steel duty of 11 12% amid China imports surge

India moved decisively on Tuesday to protect its steel sector, imposing a three-year import tariff of 11-12 per cent on selected steel products as shipments from China continued to flood the market. The tiered fees, which start at 12 percent and taper off, suggest long-term defense after months of temporary guarantees.

The tax will be set at 12 percent in the first year, then reduced to 11.5 percent in the second year, then reduced to 11 percent in the third year. The decision comes as India, the world’s second-largest producer of crude steel, faces an increase in low-priced imports from China, raising anti-dumping concerns and putting pressure on domestic producers.

This measure, published in the government’s Official Gazette, excludes imports from some developing countries. However, China, Vietnam and Nepal will be subject to duties. Specialty steel products, including stainless steel, have been kept out of scope.

The Commerce Ministry has repeatedly said it does not want the domestic steel industry to be hurt by cheap imports and substandard products. Based on these concerns, the Directorate General of Trade Remedies recommended imposing the duties for three years after discovering “a recent, sudden, sharp and significant increase in imports… that has caused and threatens to cause serious harm to the domestic industry,” the order said.

This move follows a previous measure to close the gap. In April 2025, the government imposed a temporary tariff of 12% for 200 days on all steel imports from foreign countries. That guarantee expired in November 2025, reviving industry calls for longer protection.

Industry bodies had communicated the risks well before the new tax was imposed. In August 2025, the Indian Stainless Steel Development Association submitted a petition to the DGTR, urging the government to impose anti-dumping duties on cheap steel imports that were undercutting domestic manufacturers.

India’s action also reflects broader global trade tensions over Chinese steel exports. After Donald Trump imposed tariffs on steel imports, Chinese shipments were diverted to other markets. Several countries have since tightened their trade defenses, with South Korea and Vietnam earlier this year imposing anti-dumping duties on Chinese steel products to counter what governments describe as low-priced, market-distorting exports.

Title options

1. Steel imports face duties of 11-12% as India moves to curb rising prices in China

2. The three-year steel tariff was unveiled as India tightens its shield against cheap Chinese imports

3. India introduces gradual steel tariffs to curb surge in low-priced Chinese shipments

4. 11-12% tariff on steel imports signals India’s longer battle against dumping pressures

5. After the temporary restrictions, India imposed three-year steel tariffs of 11-12% amid a rise in Chinese imports.