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India's Steel Industry Can Thrive Without US Market, Says Naveen Jindal
- •Jindal Steel Chairman Naveen Jindal states India's large domestic steel market makes it independent of US exports, despite high tariffs.
- •Indian steel products have faced over 200% tariffs in the US for a decade, with no significant impact on exports even at 50% tariffs.
- •India's per-capita steel consumption is 107 kg, significantly lower than the world average of 220 kg, indicating vast growth potential.
- •Finished steel consumption in India rose 7.9% year-on-year to 56 million tonnes (April-July 2026), with crude steel production at 56.2 million tonnes.
- •Jindal emphasizes compliance with EU's Carbon Border Adjustment Mechanism (CBAM) and advocates for domestic coal gasification to reduce natural gas imports.
Key Questions Answered
Naveen Jindal stated that higher US tariffs would have a limited impact on Indian steel producers because India possesses a large domestic steel market and can sustain its industry without relying on US exports. He noted that many steel products have faced tariffs exceeding 200% for over a decade, meaning additional hikes do not change export patterns.
India's per-capita steel consumption is approximately 107 kg per person per annum, whereas the world average is more than 220 kg per person. According to Jindal, this lower consumption rate alongside ongoing infrastructure development provides significant room for the domestic industry to expand.
To reduce dependence on imported natural gas, industries are utilizing domestic coal gasification, with government encouragement. Additionally, steelmakers are actively working on reducing emissions and meeting environmental goals within the sector.
