Study of the Indian steel industry: Global context

Abstract

China and India are leading the recovery in global steel industry after the global downturn in2009. While rest of the world is still recovering from the recession, the BRICK (Brazil, Russia,India, China and Korea) countries will continue to drive the steel industry worldwide. 45% ofthe global steel production in 2010 was met from China and India was in the fifth place. Indiansteel industry is estimated to grow to the second place in the coming years. The contemporaryconcerns study aims to study the global steel scenario and India specifically. A high levelperformance overview of the top 4 global players and the top Indian player is given. Rawmaterial crunch, price volatility and fluctuating demand are the main challenges facing theIndian steel industry. Global steel industry largely faces the same challenges with the additionof coking coal scarcity, lack of scrap, improving energy & operational efficiency and improvingproduct mix. The relevant tariff and non-tariff barriers in trade of steel are considered, and therecent developments in this field are analyzed. The report takes a look into the future outlookof the global steel and Indian steel industry. Finally, the measures to be taken to maintain thegrowth rate of Indian Steel industry are discussed.