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ArcelorMittal Nippon has sued Indian govt over import curbs on met coke. (Image courtesy: arcelormittal.com)

ArcelorMittal Nippon sues India over import curbs on key steelmaking raw material: Report

| @indiablooms | Mar 14, 2025, at 12:05 am

New Delhi: ArcelorMittal Nippon Steel India has taken legal action against the Indian government for rejecting its import orders of a crucial steelmaking raw material, accusing authorities of retroactively imposing restrictions, court documents reveal, Reuters reported.

The Indian government introduced import quotas on low-ash metallurgical coke (met coke) in January to support domestic suppliers.

However, this move has alarmed major players like ArcelorMittal Nippon, which cites concerns over local met coke quality.

The company has privately warned that these restrictions could severely impact its steel production and delay expansion plans.

Escalating the dispute, ArcelorMittal Nippon filed a case in the Delhi High Court on March 5, challenging the government's refusal to clear 168,300 tonnes of met coke imports from Indonesia and Poland, despite these orders being placed before the new curbs took effect.

India's government justified its rejection, stating that the company already had sufficient met coke stocks.

However, ArcelorMittal Nippon argued in its 290-page filing—first reported by Reuters—that this decision contradicts the country’s free trade policy, which permits imports for pre-existing orders before new restrictions are enforced.

The company further contended that the retroactive application of policy changes creates "uncertainty and lack of confidence" among investors and traders.

A 60-40 joint venture between Luxembourg-based ArcelorMittal and Japan’s Nippon Steel, the company has not commented on the matter, nor has the Indian government.

A March 6 court order mandates that officials respond to ArcelorMittal Nippon’s plea by next week.

Meanwhile, JSW Steel, a larger competitor, has also sued the Indian government over delays in clearing met coke imports worth around $90 million, arguing that policy clarity is crucial for businesses.

A decision on its case is still pending.

India’s Steel Secretary Sandeep Poundrik defended the restrictions, stating that domestic met coke supply is sufficient, and companies prefer imports only because they are $50–$100 per tonne cheaper.

ArcelorMittal Nippon, however, asserted that New Delhi’s decision could harm its production capabilities and result in significant financial losses due to contract breaches with suppliers and customers.

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