India’s Prime Minister Narendra Modi on Thursday urged India’s steel sector to reduce reliance on imports and transition toward becoming a net exporter, [1] emphasizing its critical role in the country’s ambition for a developed India, or Viksit Bharat.
Speaking virtually at the India Steel 2025 conference, PM Modi outlined a transformative vision for the industry, setting a target to scale national steel production capacity to 500 million tonnes by 2047, aligning with India’s broader economic growth goals.
“The steel industry is behind every success story in India,” he remarked, stressing that the sector’s strength is vital for the country’s push to achieve a $5 trillion economy.
The Prime Minister highlighted how key government initiatives, such as PM Gati Shakti and PM Awas Yojana, are significantly driving domestic steel demand by accelerating infrastructure and housing development. He reiterated that all government projects now require the exclusive use of domestically produced steel, a move aimed at strengthening local manufacturing.
PM Modi further called for greater investments in research, development, and innovation, insisting that the industry must adopt a future-ready approach to stay competitive in the global arena. “India’s steel sector is on the cusp of a new chapter,” he said, urging stakeholders to pioneer advancements that could reshape manufacturing and elevate India’s international standing.
Despite these ambitious goals, India remains a net importer of steel, with inbound shipments surging 20% to 8.29 million tonnes between April 2024 and January 2025, according to Business Standard. In comparison, imports stood at 6.89 million tonnes in the same period the previous year.
Meanwhile, finished steel imports reached 8.292 million tonnes, marking a 20.3% year-on-year increase, while exports plummeted by 28.9%, declining from 5.619 million tonnes to 3.994 million tonnes.
Domestic steel producers have raised alarm over the influx of cheap imports, particularly from China, arguing that these inflows threaten local competitiveness and disrupt pricing stability.
In a bid to shield domestic manufacturers, India introduced a 12% safeguard duty on steel imports for 200 days earlier this week.
The measure follows mounting concerns that excess Chinese steel could flood India’s market after the United States imposed a 145% tariff on Chinese steel imports. With China-U.S. trade tensions escalating, industry leaders fear India may become a dumping ground for surplus Chinese steel.
Sources:
[1] Steel industry’s goal should be zero import and net export: PM Modi https://www.business-standard.com/industry/news/pm-modi-steel-industry-goal-zero-import-net-export-125042400410_1.html