Rating agency ICRA in its latest report has said that steel prices in India are likely to remain under pressure in the country over the near future as the prices in the domestic market cannot be cushioned from the global trends.
ICRA also expects the steel demand in the domestic market to grow at 7-8 per cent in the current financial year (FY23), making the country the fastest-growing large steel markets globally this year. It said domestic steel mills face a tough time ahead as the external environment is becoming more and more challenging in key global consumption markets.
It further said the steel demand in China, which accounted for 52 per cent of the global demand in 2021, is witnessing a decline as the economy prepares for the combined impact of the property bubble, strict zero Covid lockdowns, and a severe ongoing heatwave.
