The European Carbon Border Adjustment Mechanism (CBAM) tax on steel imports and the increasing need for industry decarbonization have led India to reassess its seven-year-old National Steel Policy (NSP), according to officials. The review aims to evaluate the policy’s impact on steel production and consumption and to determine if updates are needed in response to recent challenges.
The steel ministry has begun consultations with stakeholders and industry representatives as part of this evaluation. The NSP targets the production of 300 mln tons of crude steel by 2030. In FY24, India produced 143 mln tons of crude steel, a 12.6pct increase from 127 mln tons in FY23. Since the NSP’s launch in 2017, when production was 101 mln tons, output has grown by nearly 42pct.
The NSP’s objectives include expanding domestic steel production to meet the demand for premium automotive, electrical, and specialty steels, as well as increasing per capita steel consumption to 160 kg by 2030-31.
