Suryaa Business Desk: Steel prices have increased in the domestic market. Major steel manufacturers, including Tata Steel, JSW Steel, and the public sector undertaking SAIL, have announced price revisions for their key products.
Market sources report that companies have increased the prices of hot-rolled coils, cold-rolled coils, and TMT rebars used in the construction sector by Rs 1,000 to Rs 2,000 per tonne. This price hike is attributed to the rise in international raw material costs, specifically coking coal and iron ore. Additionally, domestic demand for steel has grown due to infrastructure projects and the construction sector. Government trade measures and proposed import duties on low-cost imports from China have also provided domestic manufacturers the flexibility to raise prices.
While the increase in steel prices is expected to strengthen the operating margins and returns of steel manufacturing companies, it may impose a cost burden on the real estate, infrastructure, automobile, and engineering sectors. Manufacturing companies are monitoring these developments as project construction costs are expected to rise. Market analysts estimate that if infrastructure demand remains steady in the coming quarter, steel prices may move toward further stabilization.