Tata Steel, JSW Steel, SAIL Shares Gain Up to 2% After Safeguard Duty Update

Market Performance

Indian steel stocks traded higher on Monday, August 18, 2025, after the Directorate General of Trade Remedies (DGTR) issued its recommendation on safeguard duties for steel imports.

• Tata Steel, JSW Steel, SAIL, JSPL: Gained up to 2% intraday

• Nifty Metal Index: Down 2% in the past one month

• Stock Moves (1M):

  • Tata Steel: -3% to -10%

  • SAIL: -3% to -10%

  • JSPL: +4.5%

  • JSW Steel & NMDC: Flat

Safeguard Duty Recommendation

The DGTR has proposed a final safeguard duty on steel imports for three years to support the domestic industry.

• First Year: 12% duty

• Second Year: 11.5% duty

• Third Year: 11% duty

The current safeguard duty of 12% was set to expire in September. The fresh recommendation removes uncertainty around the levy’s continuation and is being seen as a positive for steel producers.

Beneficiaries

• Direct Beneficiaries: Tata Steel, JSW Steel, SAIL, JSPL, and other ferrous metal stocks

• Indirect Beneficiaries: NMDC, APL Apollo, and certain pipe manufacturers

Industry Overview

The Indian steel sector has faced recent volatility, with the Nifty Metal index slipping 2% in the last month. Despite this, the safeguard duty extension is expected to provide stability and support for domestic producers in the coming years.

Summary

Tata Steel, JSW Steel, and SAIL shares rose up to 2% on August 18, 2025, after DGTR recommended a three-year extension of safeguard duties on steel imports. The structured duty plan of 12%, 11.5%, and 11% over three years is seen as a key development for the domestic metal industry.