India to increase stainless steel scrap imports by 7% y/y in FY2025/2026

The United States remained the largest supplier of this raw material during the period

Imports of stainless steel scrap into India for the 2025/2026 fiscal year (ending March 31, 2026) are expected to grow by 7% year-on-year. According to BigMint estimates, these volumes will total 1.4 million tons.

The United States remained the largest supplier of this raw material during the period, at approximately 0.91 million tons (-1% year-over-year).

At the same time, Asian countries demonstrated stronger growth, as Indian buyers diversified their sources to secure competitive shipments amid volatile markets.

For instance, Vietnam sharply increased its shipments of stainless steel scrap to India in the 2025/2026 fiscal year—to 0.18 million tons (+75% year-over-year). Exports from South Korea also rose significantly—to approximately 0.18 million tons (+61% y/y)—reflecting improved regional availability of this raw material and competitive offers for the Indian market.

Supplies from Thailand remained generally stable at around 0.11 million tons, while additional volumes were sourced from Malaysia, Saudi Arabia, the UAE, and other Southeast Asian countries—Indian buyers expanded their procurement channels to manage supply risks.

Market sources indicate that geopolitical uncertainty, shipping fluctuations, and reduced supply in Western markets prompted Indian importers to increasingly focus on shipments of Asian origin throughout the year.

A number of factors have influenced the growth of stainless steel imports into the country.

In particular, stainless steel rolled product production in India in the 2025/2026 fiscal year increased by 12% year-on-year to approximately 4.44 million tons. This is driven by growing demand from infrastructure, railways, the manufacturing sector, pipelines, and export-oriented production.

Despite higher freight and port handling costs, imports of certain grades of scrap remained commercially viable during the past fiscal period. Raw materials from abroad also attract buyers due to better material quality, bulk availability, and supply stability, especially for large stainless steel producers.

At the same time, imports of stainless steel billets into India in the 2025/2026 fiscal year fell by 49% year-on-year to approximately 59,000 tons. Indonesia remained the sole major supplier of slabs and billets to the country. The same trend applies to imports of ferronickel and stainless steel.

Imports of stainless steel scrap to India are expected to remain stable in the near term, thanks to the continued expansion of domestic production capacity for this product, healthy demand from the 300 series segment, and the growing preference for scrap-based melting amid volatile alloy markets. However, procurement strategies are likely to remain cautious due to a number of factors, and buyers will continue to diversify their supply sources.

It is worth noting that China’s policy for 2026 will support demand for stainless steel—the market will be driven by high-tech industries, infrastructure, and the green transition.