Prime Minister Narendra Modi has set an ambitious vision for India’s steel sector to achieve zero imports by 2047, positioning the country as a net exporter of steel. This call was made during a virtual address at the India Steel 2025 conference, where the Prime Minister emphasized the pivotal role of the steel industry in India's infrastructure and economic growth. Steel, according to Modi, is the backbone of all significant national development projects, ranging from PM Gati Shakti to PM Awas Yojana, which are driving the country’s demand for steel.

Modi underscored that in order to align with India’s development goals for 2047, the steel sector needs to expand its production capacity to 500 million tonnes. This expansion is essential to support India’s ambitious goal of becoming a $5 trillion economy by that year. He highlighted that the sector plays an indispensable role in the nation’s progress, contributing significantly to the Rs. 4,26,75,000 crore economy.

The Need for Innovation and Self-Reliance

A significant element of Modi’s message was the need for innovation within the sector. He urged both public and private players to invest in research and next-generation technologies. This, he believes, is crucial for making India’s steel industry globally competitive. Additionally, Modi introduced the directive that all government projects must now use Made-in-India steel, signaling a crucial shift towards local production. This mandate aims to boost domestic demand while reducing India’s reliance on steel imports.

Rising Imports and Safeguard Measures

Despite the growth in domestic steel demand, India remains a net importer of steel. Data from April 2024 to January 2025 shows a 20.3% year-on-year rise in steel imports, which reached 8.29 million tonnes. In contrast, finished steel exports have decreased by 28.9%, totaling just 3.99 million tonnes. These rising imports, particularly from China, have raised concerns among Indian manufacturers about their competitiveness in the global market.

To safeguard domestic producers, the Indian government has recently imposed a 12% safeguard duty on steel imports for a period of 200 days. This move aims to shield local manufacturers from the rising influx of cheaper imported steel, especially in the face of global trade tensions, such as the 145% tariff imposed by the United States on Chinese steel.

The Path Ahead for India’s Steel Sector

As India navigates these challenges, the country’s long-term strategy focuses on reducing reliance on foreign markets and strengthening its domestic production capabilities. This approach is critical for ensuring that India’s steel industry can meet the growing demand and contribute to the country’s vision of becoming a developed nation by 2047.

The road ahead for India’s steel sector will involve increased production capacity, technological advancements, and government support, which are all aimed at making India self-sufficient in steel production. The overarching goal is not just about achieving zero imports but also about transforming India into a global leader in the steel industry by the time the nation reaches its centenary of independence in 2047.

Key Takeaways

• Prime Minister Modi’s call for India’s steel sector to aim for zero imports by 2047 is aligned with the country’s long-term economic vision.

• The steel industry’s self-reliance is being bolstered by initiatives like the Made-in-India steel mandate and focus on innovation.

• The imposition of a 12% safeguard duty aims to protect domestic steel producers from rising imports, particularly from China.

By focusing on self-reliance, innovation, and domestic production, India is poised to strengthen its steel industry and reduce dependence on foreign imports.

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