Joint Plant Committee
India remains a bright spot in the global steel industry and the steel demand in the country is expected to show a healthy growth of around 9% in both 2025 and 2026 compared to no growth and just 1.3% growth in global demand, according to the latest Short Range Outlook released by the World Steel Association. Indian steel demand will continue to charge ahead, driven by continued growth in all steel-using sectors. In 2026, steel demand in India is projected to be almost 75 million tonnes higher than in 2020.
| Country | GDP 2024 (% change)* | Manufacturing PMI | |
|---|---|---|---|
| January 2026 | February 2026 | ||
| India | 6.5** | 55.4 | 56.9 |
| China | 5.0 | 50.3 | 52.1 |
| Japan | 0.1 | 51.5 | 53.0 |
| USA | 2.8 | 52.4 | 51.6 |
| Eurozone | 0.9 | 49.5 | 50.8 |
| Brazil | 3.4 | 47.0 | 47.3 |
| Russia | 4.1 | 49.4 | 49.5 |
| South Korea | 2.0 | 51.2 | 51.1 |
| Germany | −0.2 | 49.1 | 50.9 |
| Turkey | 3.2 | 48.1 | 49.3 |
| Italy | 0.7 | 48.1 | 50.6 |
| Source: GDP: official releases; PMI – Markit Economics. *provisional | **FY 2024-25 | |||
| Rank | Country | Jan–Feb 2026 (Mt) | % YoY Change |
|---|---|---|---|
| 1 | China | 160.340 | −3.6% |
| 2 | India | 28.888 | +9.7% |
| 3 | USA | 13.652 | +4.9% |
| 4 | Japan | 13.149 | −0.3% |
| 5 | Russia | 10.507 | −9.0% |
| 6 | South Korea | 10.431 | +2.5% |
| 7 | Turkey | 6.415 | +4.7% |
| 8 | Germany | 5.915 | +9.9% |
| 9 | Brazil | 5.262 | −3.4% |
| 10 | Iran | 4.272 | +7.9% |
| Top 10 Total | 258.829 | −1.0% | |
| World Total | 298.205 | −1.5% | |
| Source: worldsteel (provisional) | |||
World DRI production stood at 19.088 Mt in January–February 2026, showing a year-on-year growth of 9.6%. India led global DRI production with 54.2% share.
| Rank | Country | Jan–Feb 2026 (Mt) | % YoY Change |
|---|---|---|---|
| 1 | India | 10.344 | +11.1% |
| 2 | Iran | 3.003 | +28.4% |
| 3 | Russia | 1.409 | +0.3% |
| 4 | Egypt | 1.175 | +0.6% |
| 5 | Saudi Arabia | 1.012 | +3.9% |
| Top 5 Total | 16.945 | +11.5% | |
| World | 19.088 | +9.6% | |
| Source: worldsteel (provisional) | |||
Steel prices witnessed an upward trend in January 2026 in major markets (India, China, USA, EU) both year-on-year and month-on-month. Some Chinese products remained flat due to domestic oversupply from the prolonged property market crisis.
High US tariffs on India may affect value-added steel exports in the short run. Negotiations ongoing.
Russia-Ukraine & Israel-Iran conflicts impacting supply of ferroalloys and coking coal, raising input costs.
China's overcapacity due to weak domestic demand is leading to surging steel exports and protectionist reactions.
EU Carbon Border Adjustment Mechanism took effect Jan 2026, affecting ~60% of Indian steel exports to Europe.
Prices rose both y-o-y and m-o-m in India, China, USA and EU in January 2026.
HRC prices also rose both y-o-y and m-o-m across major markets.
[Source Credit: Fastmarkets Metal Bulletin]
Prices of major steel-making raw materials generally witnessed a rising trend in January 2026 both year-on-year and month-on-month.
| Raw Material | YoY Trend | MoM Trend |
|---|---|---|
| Premium Low Vol HCC FOB Australia | ▲ Up | ▲ Up |
| Iron Ore 65% Fe Blast Furnace Pellet (CFR Qingdao) | ▲ Up | ▲ Up |
| Platts TSI HMS I/II (80:20) | ▲ Up | ▲ Up |
| Platts IODEX 62% Fe CFR North China | ▲ Up | ▼ Down |
| Data source: Platts | ||
| Item | Apr–Dec 2025-26* (Mt) | Apr–Dec 2024-25 (Mt) | % Change |
|---|---|---|---|
| Crude Steel Production | 124.551 | 111.843 | +11.4% |
| Hot Metal Production | 71.699 | 67.494 | +6.2% |
| Pig Iron Production | 6.364 | 6.301 | +1.0% |
| Sponge Iron Production | 44.547 | 41.467 | +7.4% |
| Total Finished Steel Production | 118.699 | 107.426 | +10.5% |
| Import | 4.649 | 7.424 | −37.4% |
| Export | 4.799 | 3.600 | +33.3% |
| Consumption | 119.574 | 111.727 | +7.0% |
| Source: JPC; *provisional; Mt = million tonnes | |||