China will no longer be an aggressive steel exporter

After a massive increase in metal prices around the world, the largest steel producer, China, is again showing an increase in the production of rolled metal products. Tata Steel CEO Narendran believes that if China cuts production, its exports will be less, and this will give stability to steel prices, and, in fact, China's potential to disrupt global steel flows will be less.

He points out that China's share of global steel demand has been declining over the past few years, and globally, most of the demand comes from developed countries. He says India and Russia are the lowest cost steel producers in the world.

Narendran adds that major steel exporting countries are cutting their exports, and India has an opportunity to fill that gap. He is confident in the future of the Indian steel industry.

Recently, he says the industry is witnessing a better balance, with sentiment on steel being driven more by regional concerns. He adds that any infrastructure spending is costly for steel and is good for steel demand. When we look at steel prices in a global context, growth has a large impact on overall demand.

As for India, he says we are focusing more on infrastructure and he expects steel consumption to grow at the rate of GDP growth. Going forward, he says ESGs will be a very important aspect of the steel industry and he believes coal-based DRI will have a limited lifespan in the future. He expects the dynamics of the steel industry to change as we move towards a greener future.