India Iron Steel Scrap HS7204 Import Data 2025 January Overview

India Iron Steel Scrap (HS 7204) 2025 January Import: Key Takeaways

The U.S. dominates India's Iron Steel Scrap (HS Code 7204) imports in January 2025, supplying 21.06% of shipments but at lower unit prices, indicating bulk commodity-grade material. The U.K. and Japan provide higher-quality scrap, while Malaysia, Mozambique, and Brazil offer cost-effective bulk supply, highlighting a dual sourcing opportunity. Buyers should balance premium and bulk suppliers, leveraging stable import duties for predictable procurement. This analysis covers January 2025 and is based on cleanly processed Customs data from the yTrade database.

India Iron Steel Scrap (HS 7204) 2025 January Import Background

What is HS Code 7204?

HS Code 7204 covers waste and scrap of iron or steel; remelting ingots of iron or steel, a critical raw material for steel production. This recycled feedstock is widely used in India’s steelmaking and foundry industries, reducing reliance on virgin iron ore. Global demand remains stable due to its cost efficiency and environmental benefits in circular manufacturing.

Current Context and Strategic Position

In February 2022, India increased customs duty on Iron Steel Scrap (HS 7204) imports from 0% to 2.5% [Recycling Today], a rate still in effect as of January 2025. India’s reliance on HS Code 7204 imports reflects its booming steel sector, which depends on scrap to meet domestic demand. With no recent policy shifts, market participants must monitor global scrap availability and pricing trends to navigate India’s 2025 import landscape.

India Iron Steel Scrap (HS 7204) 2025 January Import: Trend Summary

Key Observations

In January 2025, India's import of Iron Steel Scrap under HS Code 7204 reached a value of 797.24 million USD, with volume data not specified in the available records. This initial figure for the year indicates a substantial monetary inflow for the commodity sector.

Price and Volume Dynamics

The import value for January reflects typical post-monsoon industrial demand cycles in India's steel industry, where scrap metal often sees steady inflows to support domestic production. Without comparative data for previous months or years, a direct MoM or YoY analysis isn't possible, but the robust value aligns with seasonal stock replenishment patterns common in early-year operations.

External Context and Outlook

The stability in import flows is underpinned by consistent policy settings, as India's customs duty on HS Code 7204 remains at 2.5% since its increase in February 2022 [Recycling Today]. This unchanged tariff environment supports predictable trade dynamics, with no major disruptions expected in the near term for India Iron Steel Scrap HS Code 7204 Import 2025 January.

India Iron Steel Scrap (HS 7204) 2025 January Import: HS Code Breakdown

Product Specialization and Concentration

According to yTrade data, the import of India Iron Steel Scrap under HS Code 7204 in January 2025 is dominated by the '72044900' sub-code, which covers ferrous waste and scrap not elsewhere classified. This sub-code holds a 65% value share and 57% quantity share, with an implied unit price of approximately 6.86 USD per metric ton, indicating it is a bulk commodity with moderate pricing. Isolated entries like '72042910' and '72043000' show extreme unit prices due to very small quantities and are not representative of the main market.

Value-Chain Structure and Grade Analysis

The remaining sub-codes can be grouped into categories based on scrap type: stainless steel scrap ('72042190'), cast iron scrap ('72041000'), and other alloy steel scraps ('72042990', '72042920'). This structure shows that India's imports are primarily bulk, fungible commodities, with prices likely tied to global metal indices and dependent on grade purity rather than high value-added processing.

Strategic Implication and Pricing Power

For market players in India Iron Steel Scrap HS Code 7204 Import 2025 January, the bulk commodity nature means limited pricing power, with strategies focused on volume procurement and grade sourcing. The import duty of 2.5%, set in 2022 and unchanged as of January 2025 [Recycling Today], adds a fixed cost layer but does not alter the competitive, index-linked pricing environment.

Check Detailed HS 7204 Breakdown

India Iron Steel Scrap (HS 7204) 2025 January Import: Market Concentration

Geographic Concentration and Dominant Role

The United States is the dominant supplier for India Iron Steel Scrap HS Code 7204 Import 2025 January, accounting for 21.06% of total shipments and 14.47% of total import value. The significantly higher quantity ratio (15.20%) compared to its value ratio points to a lower unit price, indicating the U.S. primarily supplies lower-grade, bulk commodity scrap.

Partner Countries Clusters and Underlying Causes

Suppliers form two clear clusters. The first includes the U.K. and Japan, which ship smaller volumes but achieve a much higher value share, suggesting they are sources of higher-quality, prepared scrap. The second cluster includes Malaysia, Mozambique, and Brazil; these countries ship large volumes at a lower value, acting as key sources for bulk, lower-cost material, likely due to their proximity to shipping routes or established recycling industries.

Forward Strategy and Supply Chain Implications

Buyers should maintain a diversified sourcing strategy, using high-volume suppliers for cost-effective bulk orders and premium partners for quality-critical applications. The stable 2.5% import duty, as confirmed by the [Ministry of Finance], provides no new cost pressure, allowing for predictable procurement planning for India Iron Steel Scrap imports.

Table: India Iron Steel Scrap (HS 7204) Top Partner Countries (Source: yTrade)

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India Iron Steel Scrap (HS 7204) 2025 January Import: Action Plan for Iron Steel Scrap Market Expansion

Strategic Supply Chain Overview

India Iron Steel Scrap Import 2025 January under HS Code 7204 operates as a bulk commodity market. Prices are driven by global metal indices and scrap grade quality. The United States supplies high-volume, lower-cost material. The U.K. and Japan provide premium, higher-value scrap. Supply chain implications include heavy reliance on consistent bulk shipments and vulnerability to global price swings. India's role is as a processing hub for raw material, with cost efficiency depending on sourcing mix and logistics.

Action Plan: Data-Driven Steps for Iron Steel Scrap Market Execution

• Use HS sub-code data (e.g., 72044900) to identify bulk buyers and negotiate volume-based contracts. This secures stable demand and reduces per-unit costs.
• Analyze shipping routes from key suppliers like the U.S. and Malaysia to optimize freight expenses. Lower logistics costs directly improve margin.
• Monitor global scrap price indices weekly to time purchases during dips. This avoids overpaying during market spikes.
• Diversify sourcing to include premium suppliers (e.g., U.K., Japan) for high-grade needs. It ensures quality for specific production requirements without sacrificing volume.
• Track buyer frequency patterns to anticipate order cycles and align inventory. This prevents stockouts or excess holding costs.

Focus on these actions to navigate the India Iron Steel Scrap Import 2025 January market effectively. Data-driven decisions will maximize profitability and supply chain resilience.

Take Action Now —— Explore India Iron Steel Scrap Import Data

Frequently Asked Questions

Q1. What is driving the recent changes in India Iron Steel Scrap Import 2025 January?

India's Iron Steel Scrap imports in January 2025 reflect steady post-monsoon industrial demand, with a total value of 797.24 million USD. The market remains stable due to unchanged import duties (2.5%) and reliance on bulk commodity-grade scrap.

Q2. Who are the main partner countries in this India Iron Steel Scrap Import 2025 January?

The U.S. dominates with 21.06% of shipments and 14.47% of import value, followed by the U.K. and Japan for higher-quality scrap, and Malaysia, Mozambique, and Brazil for bulk, lower-cost material.

Q3. Why does the unit price differ across India Iron Steel Scrap Import 2025 January partner countries?

Price differences stem from scrap type: the U.S. supplies bulk, lower-grade scrap (e.g., HS 72044900 at ~6.86 USD/ton), while the U.K. and Japan ship higher-quality, prepared scrap at premium prices.

Q4. What should importers in India focus on when buying Iron Steel Scrap?

Importers should prioritize relationships with dominant high-volume buyers (68.05% of market value) while diversifying sourcing to balance bulk (e.g., U.S., Brazil) and premium suppliers (e.g., U.K., Japan).

Q5. What does this India Iron Steel Scrap import pattern mean for overseas suppliers?

Suppliers of bulk scrap (e.g., U.S., Malaysia) benefit from steady demand, while premium scrap exporters (e.g., U.K.) can target niche buyers. All face stable 2.5% duty costs.

Q6. How is Iron Steel Scrap typically used in this trade flow?

Imported scrap primarily supports India’s steel production, feeding domestic mills as a cost-effective raw material for infrastructure and industrial manufacturing.