Union finance minister Nirmala Sitharaman invited the World Steel Association (Worldsteel) to open an office in India, highlighting the country's rising role as a key driver of global steel demand and expanding production capacity. The invitation was extended during Worldsteel’s general assembly in New Delhi on Monday, emphasizing India’s growing significance in the global steel industry, according to livemint.com.
Sitharaman noted that India has become the largest single source of incremental global steel demand, making a local presence increasingly relevant for Worldsteel. She referenced the association’s 2006 decision to open an office in Beijing amid China’s steel demand surge as a precedent. The minister also urged a coordinated approach to steel decarbonization, cautioning against unilateral tariffs like the European Union’s Carbon Border Adjustment Mechanism (CBAM), which she said would not solve the structural issue of global excess steel capacity.
The global steel industry is currently facing challenges including weakening output, rising excess capacity, and trade and energy uncertainties. World crude steel production declined 2% to 1.85 billion tonnes in 2025 and fell another 0.7% during January-August 2026. The Organization for Economic Co-operation and Development projects global excess capacity to increase from 600 million tonnes in 2024 to 720 million tonnes by 2027, surpassing current demand levels, livemint.com reported.
Sitharaman’s invitation to Worldsteel to establish an office in India underscores the country’s expanding influence in the steel sector. The association’s decision on the proposal will be closely watched as India continues to shape global steel demand dynamics.