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Chinese Steel Suspected Entering India via Nepal, Says Govt

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China 17 Nov 2025 11:22 AM IST Business Standard

Indian authorities have flagged concerns that Chinese steel may be entering India illegally via Nepal, using misdeclaration and routing tricks to bypass norms and duties.

According to a senior official, investigations show that certain consignments were recorded as originating from a Chinese licence holder who never actually supplied the material, indicating possible forged manufacturer credentials. The volumes and specific grades involved are also seen as far beyond Nepal’s steel-making capacity, strengthening the suspicion that the steel was produced in China and re-routed through Nepal.

The issue has surfaced at a time when domestic steelmakers are already under pressure from cheap imports and price undercutting, even as the government works on relaxing selected quality control orders (QCOs) and revamping the Steel Import Monitoring System (SIMS) to streamline genuine imports.

Officials said the matter is under close review and hinted at tighter scrutiny of country-of-origin declarations, BIS certification trails and routing patterns. If misuse is confirmed, the government could move to plug loopholes through targeted enforcement and policy action, aimed at protecting India’s steel industry from unfairly routed foreign material while keeping legitimate trade channels open.