Comprehensive foreign media news on June 14, Abhyuday Jindal, general manager of India's Kingdale Stainless Steel Company, said recently that although the Indian stainless steel industry has been impacted by imported products from China and Indonesia, India's stainless steel is still global.

Q: In view of global uncertainty, how do you think of the stainless steel demand of this fiscal year?

A: In fiscal 2023, our sales were 176.4405 million tons and the domestic and export markets in the first quarter of the current fiscal year also increased. Therefore, we hope that the demand for stainless steel will continue to grow. In addition, after the production capacity of 1 million tons of stainless steel melting workshop in March, our melting production capacity increased to 2.9 million tons per year. We expect that the output of fiscal 2024 will increase by more than 20%over 2023 fiscal year.

Q: Will the domestic demand in India continue?

A: Yes, as far as the domestic market is concerned, the prospect is optimistic. The main driving force of this growth is the needs of the end user industry, which is supported by the government's promoting sustainable development solution (including infrastructure expenditure). The 10 billion rupees for infrastructure development will promote stainless steel demand in the medium term. According to a report in the CRISIL month, the CAGR of domestic stainless steel demand is expected to reach 9%. This is twice the 4.5%growth rate in recent years. We have seen that the application of stainless steel in China has increased and entered different industries. The demand for stainless steel in India is expected to increase from the current 3.6 million tons to 20 million tons in 2047.

Q: Will the company's exports be affected by the slowdown of the global economy?

A: In the late first quarter, the global purchase of activities cooled down and the price fell. Several factories have been operating far lower than the best capacity and may be further reduced. Considering the current trend, weak demand and the weak price emotions of the European and American markets, we expect export share to account for nearly 15%of total sales. With the improvement of global economic conditions, this number may increase. Our diversified product portfolio helps us cater to the domestic market, thereby minimizing the impact of the global economic slowdown. At the same time, we are developing new markets in countries such as South Korea, South America, the Middle East, and Australia, so we will not rely on any specific market.

Q: In view of the high production cost, India is competitive in the global market?

A: In the global trade environment, this is a billion US dollars. In India, the cost of capital and logistics is high and inefficient, which has damaged the competitiveness of various industries, including manufacturing. For some global participants, the situation is exactly the opposite. They have efficient waterway and land logistics, as well as mature energy and infrastructure frameworks. In addition, they also received government land subsidies. Having said that, Indian companies still have advantages in manufacturing capabilities. This is why Indian players are favored in the world's competition.

Q: How can your company open the export market at a low cost?

A: In a capital -intensive modern manufacturing environment like us, internal operational efficiency is equivalent to the best practice in the world. Although India lacks nickel reserves, domestic waste production is low, and logistics and capital costs are high, we are still competing with the world's largest producer in terms of quality and cost parameters. In fact, the challenges faced by the Indian industry have reduced the success rate of the "Indian Manufacturing" initiative by 8-10 %, which is also the basic reason for the government to initiate initiatives such as GATI Shakti (to reduce logistics costs).

Q: With the restart of China's economy, do you think more imported goods will flow into India?

A: China has the history of using its export capacity export subsidies, which has led to dumping in many countries. China's business practice has attracted global attention. In stainless steel and steel industries, many production countries impose tariffs on imported products in China and create a fair competition environment for domestic enterprises. India cannot be spared to be spared to the potential threats brought by China. However, it is optimistic that the Indian government will recognize and take appropriate measures to support the manufacturing industry and safeguard its interests. If there is no protection measures, more imported products will flow into India and seriously crack down on the local stainless steel industry. More importantly, as much as one -third of the consumption in fiscal 2013 is met by imports, and imports are mainly from China. From fiscal 2011 to fiscal year, imports from China and Indonesia increased significantly by 318%and 158%, respectively.

Q: How much does value -added products contribute to the overall sales? Is the price of stainless steel under pressure?

A: Most of our products are value -added products. The impact of imports makes us need to re -examine the product portfolio and diversify it to maintain our correlation. Over the past 25 years, the dominant position of home supplies as the consumption part has dropped from 80 %to 44 %, and other departments have become major consumers. The general lower import price has a negative impact on the overall market including the United States.