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Tata Steel's Narendran: India's Growth Strong, But Energy Costs and Interest Rates a Concern
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CNBC TV18•05-10-2026, 13:53
Tata Steel's Narendran: India's Growth Strong, But Energy Costs and Interest Rates a Concern
- •TV Narendran, CEO and MD of Tata Steel, notes India's strong domestic economy but highlights vulnerabilities to energy costs and interest rates.
- •India's growth is robust across sectors, with the auto sector leading and steel seeing good offtake, indicating strong urban and rural economies.
- •Private sector investment is increasing, with some sectors like steel already making significant investments.
- •Narendran emphasizes the need for profitable growth and sufficient cash flows for investment, stating that good demand alone isn't enough.
- •He addresses non-tariff barriers like the EU's CBAM and EUDR, stressing that India must build competitiveness and scale to be ready for global exports.
Key Questions Answered
Tata Steel CEO TV Narendran noted that while India's domestic economy and sectors like automotive are strong, the main concerns are externalities such as energy costs and interest rates.
TV Narendran stated that large markets like the US and Europe are building protective walls around themselves through non-tariff barriers such as the Carbon Border Adjustment Mechanism and the EU Deforestation Regulation.
Narendran emphasized that industry must build competitiveness and scale inside factory gates while the government builds infrastructure, reduces the cost of capital, and eases land acquisition outside them.
