Imports of seamless pipes and tubes from China have seen a constant increase since the fiscal year 2021-22, according to industry data.
In fact, Chinese pipes’ imports surged more than two-fold annually to 4.97 lakh metric tonnes in FY25 from 2.44 lakh metric tonnes in FY24, according to domestic manufacturers’ body Seamless Tube Manufacturers’ Association of India (STMAI).
Imports in FY23 were 1.47 lakh tonnes, while the total shipment in the fiscal year 2021-22 was 82,528 metric tonnes, the industry data showed.
President of STMAI, Shiv Kumar Singhal, said that despite strong support from the government, it is a matter of grave concern for the Indian industry that imports of Chinese pipes have increased nearly five-fold in the last fiscal year, as compared to FY22, which shows China is dumping cheaper steel in India.
“Chinese pipe imports have increased exponentially over time...despite strong support from the Indian government through various safeguard measures aimed at protecting the domestic seamless pipe industry. These efforts have proven largely ineffective in curbing imports from China,” he said.
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STMAI said Chinese players that dump seamless pipes into the Indian market also evade taxes and duties through over-invoicing at Indian customs.
“Chinese importers are reportedly declaring inflated invoice values at the time of customs clearance, while subsequently selling the same products in the Indian market at significantly lower prices than those of domestic manufacturers. This practice undermines fair trade and puts Indian producers at a serious disadvantage,” Singhal further said.
The minimum import price of seamless pipes is ₹85,000 per tonne, and the market selling price of Chinese pipes in Indian markets in small quantities is 70,000 per tonne, resulting in under-utilisation of the indigenous capacity due to large scale dumping, he explained, and said it also resulted in loss of employment opportunities.
The resultant harm to Indian economy is flagrant, said Singhal, adding that it also raises serious security concerns since the supply of sub-standard materials to critical sectors such as thermal power, nuclear power and oil and gas will end up degrading the country’s infrastructure.
“These practices suggest a strategic attempt to infiltrate and potentially compromise key components of India’s future energy and infrastructure landscape. Such developments warrant urgent attention, as they may pose long-term risks to India’s economic sovereignty and national security,” he alleged.
The minimum import price of seamless pipes is ₹85,000 per tonne, and the market selling price of Chinese pipes in Indian markets in small quantities is 70,000 per tonne, resulting in under-utilisation of the indigenous capacity due to large scale dumping, he explained.
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