FOCUS: Deadly China-India border clash spills over into steel

A deadly border clash which began in the cold and windy highlands of Ladakh, in northeastern Kashmir, has spilled over into steel trading between China and India.

The market has been rife with chatter indicating that India will stop importing Chinese steel substrate, or that it will stop sending steel cargoes to Chinese buyers which had been actively purchasing India-origin hot-rolled coil (HRC) and billet in the months after the East Asian country’s initial Covid-19 outbreak, due to the high domestic prices. “However, this does not mean that India will stop sending cargoes to China immediately,” an industry source in India told Fastmarkets. “In the current Covid-19 situation, the export markets have proven to be extremely lucrative for Indian steel mills, and there is no sign that this will stop.” The high-altitude conflict on June 15 in the Galway (or Galwan) Valley left 20 Indian soldiers dead after a reported ambush by Chinese soldiers, who attacked them in the middle of the night, using rocks and clubs embedded with nails, in retaliation for allegedly crossing the Line of Actual...

Published

Lee Allen

Paul Lim

Carrie Bone

Miranda Song

July 06, 2020

13:06 GMT

Shanghai, London, Singapore