India’s Steel Production Rises in April-July 2026 as Domestic Demand Stays Firm

India’s steel industry maintained its growth momentum in the first four months of FY2026-27, with both crude steel and finished steel production registering year-on-year gains. The latest data released by the Ministry of Steel also points to active trade flows, continued capacity investment and a growing focus on greener steel production.

Crude and finished steel output rises

India produced 56.2 million tonnes (MT) of crude steel between April and July 2026, marking a 2.4% increase from 54.9 MT during the corresponding period in 2025.

Finished steel production grew at a faster pace, rising 4.7% year-on-year to 54.7 MT, compared with 52.2 MT a year earlier.

The upward movement continued in July. Crude steel production increased 1.9% year-on-year to 14.4 MT, while finished steel output reached 14 MT. Hot metal production recorded a stronger increase of 6.3%, touching 8.4 MT during the month.

Steel trade remains active

India’s finished steel trade also gained momentum during April-July. Imports increased 36.6% year-on-year to 2.77 MT, while exports rose 35% to 2.29 MT. This left India as a net importer of finished steel by volume during the period.

China remained the largest source of imports, accounting for 855,800 tonnes, or 30.9% of total finished steel imports. South Korea contributed another 835,400 tonnes, while Japan accounted for 14.9%.

On the export side, Vietnam was the largest destination among the leading markets, followed by the United Arab Emirates.

Hot-rolled coils and strips continued to account for a significant share of India’s finished steel trade, representing 36.7% of both imports and exports.

Steel prices remain elevated

Domestic steel prices showed a mixed trend in August, although most finished products remained above year-ago levels.

The average price of 10 mm TMT bars increased 2.3% month-on-month to ₹58,003 per tonne and was 5.8% higher than August 2025. Hot-rolled coil prices rose 0.9% from July to ₹70,448 per tonne, remaining 15.5% above year-ago levels.

Cold-rolled coil prices, meanwhile, edged down 0.2% month-on-month to ₹76,463 per tonne but were still 13.3% higher year-on-year.

Green steel push gains ground

Alongside production growth, the government is also pushing digitalisation and lower-emission steelmaking. Under the Green Steel Initiative, 98 steel producers across 15 states have received Green Steel Certificates.

The sector is also seeing new investments in beneficiation and technology, including trial operations at NMDC’s 2.0 MTPA iron ore beneficiation plant at Bacheli.

With production, trade and capacity expansion moving higher, India’s steel sector enters the rest of FY2026-27 with domestic demand remaining a key driver, while raw material costs, global trade and the transition towards greener production will remain important factors to watch.