India’s Steel Production Jumped 33% From 2019 To 2024 : Jefferies

New Delhi, May 30 (KNN) According to a detailed analysis by Jefferies, India stands out as the only major economy to post consistent steel production growth between 2019 and 2024.

While global steel output contracted by 1 percent during this period, India achieved a 33 percent increase in production.

The Jefferies report identifies India as a "bright spot" in the commodities market, noting the country's exceptional performance across multiple material categories. 

Unlike numerous other nations experiencing stagnation or decline, India has maintained consistent volume growth in carbon steel, stainless steel, coal, and aluminium sectors throughout the assessment period.

Carbon and stainless steel consumption have expanded at a compound annual growth rate of 7-8 percent, significantly outpacing India's real GDP growth during the corresponding timeframe. 

The consumption patterns suggest structural economic transformation, with steel-intensive sectors driving demand beyond traditional economic growth correlations. 

Jefferies forecasts continued expansion for Indian steel companies, projecting volume growth at a compound annual growth rate of 8-10 percent between fiscal years 2025 and 2027. 

These projections align with anticipated infrastructure investments and manufacturing sector expansion plans currently under implementation.

The domestic steel industry encountered pricing pressures in late 2024 due to increased competition from lower-priced Chinese steel imports. 

Import volumes rose substantially, creating downward pressure on domestic steel pricing and affecting industry profitability margins.

In response to these market conditions, the Indian government implemented a 12 percent safeguard duty on flat steel imports in April 2025, establishing protection measures valid for 200 days. 

This policy intervention aimed to provide domestic producers with competitive relief while maintaining market stability.

The pricing outlook balances multiple factors including domestic demand growth, production capacity expansion, raw material costs, and competitive dynamics with international suppliers. 

The sector's resilience during global market volatility demonstrates structural advantages including domestic market scale, integrated supply chains, and strategic policy support.

(KNN Bureau)