Steel Plants shutting across Europe

#1

I recently came across this tweet that shows that due to higher energy prices, steel plants are being shut down across Europe. That means there will be a production vacuum in Europe. Can Indian steel makers capitalize on this opportunity and capture more market share, or will the domestic demand limit their export capabilities? The Indian govt would want steel cos to first meet domestic demand because not doing so will add to already high inflation.

Views?
 
#2
In may India imposed a 15% export duty on finished product to protect domestic need due to geopolitical issues.
However govt is planning to reduce this in phases.

But the challenge remains in balancing domestic demand (105 MT demand/ 120MT finished steel production ) and exporting cost effective finished steel , TATA Steel are working out a 2025 plan to produce a billion tons of steel.

Winner will be the one who can work out lower energy costs and ramp up production capacity , EU clearly isn't going to be one in next 5 years
 
#3
I think Indian companies that don't have a large chunk of their production in Europe will fare better than their peers. In the coming few years, companies with exposure to Europe and USA may not fare well.
 

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