India initiated a review of its National Steel Policy (NSP), which has been in place for seven years, amid growing global pressure to decarbonize the steel sector and the implementation of carbon pricing measures by advanced nations, including the EU.

The NSP aims to increase crude steel production to 300 million tons by 2030, up from 143 million tons in the fiscal year 2024, reflecting a 12.6% rise from the fiscal year 2023. The policy seeks to expand production capacity to meet domestic demand for automotive, electrical, and specialty steels and to raise per capita consumption to 160 kg by 2030-31.

Domestic producers expressed concerns over low-cost steel imports from China. The study may also consider the recent Supreme Court ruling, which upheld states' authority to impose taxes on mining operations retroactively.