The Korea Iron & Steel Association (KISA) and an Indian industrial delegation led by Indian Steel Association (ISA) Secretary General Sanak Mishra held a meeting for cooperation in the steel industry in Seoul on February 9. There, the KISA and the ISA signed a memorandum of understanding and promised cooperation in trade and technology exchange for less regulations on steel products exported from South Korea to India.
India, which is the third-largest steel market in the world, is expected to grow at least 8% a year until 2030. Last year, South Korea’s steel exports to India totaled US$14.9 billion and India was the fourth-largest export destination for South Korean steel companies. Nonetheless, the Indian government is strictly regulating the import of steel from abroad. When it comes to that from South Korea, anti-dumping investigations are underway with regard to hot-rolled and cold-rolled steel sheets for use in POSCO’s manufacturing facilities in Maharashtra, Hyundai Motor Company’s in Chennai, etc.
The South Korean government and South Korean steelmakers, in response, have tried to minimize their losses from the regulations via bilateral ministerial meetings and so on. As a result, a preliminary determination was obtained in August last year that allows the execution of anti-dumping measures to be postponed on the premise of reference price application. Steel exports from South Korea and the South Korean steelmakers’ business in India can be further stabilized once the preliminary determination becomes final next month.
During the meeting on February 9, the Indian delegation suggested more technology exchange between India and South Korea and the KISA welcomed the proposal.