Tata Steel reports 37% drop in steel production in India in April-June

ata Steel announced that “Total production and sales in 1Q2011 were lower as the outbreak of COVID-19 and the resulting mobility restrictions have somewhat impacted manufacturing activity and consumer sentiment across all regions. In India, our upstream capacity utilization was adjusted to around 50% in April, while our downstream facilities were closed.

With the phased opening of the economy, utilization levels gradually increased to around 80% by the end of June. The downstream facilities have also been restarted and are gradually being built up. In order to counter the closure of Indian markets in April and May, exports have increased significantly by expanding into new markets and improving supply chain capabilities, and will account for about 50% of total sales in Q1. While April and May sales were lower, Sales improved significantly in June when economic activity resumed in India. As the economy continues to open and domestic demand improves, the share of domestic sales will increase from Q2. ”

It states: “While urban markets are showing a slow recovery, retail sales, especially in rural markets, are showing an improvement in demand. During this quarter, we launched two new coated brands, GalvaRoS and Colornova, to meet the growing needs of our customers. We have started deliveries of the National Capital Region Transport Corporation project, a landmark project. We have also received approval for API grades X60 and X70 for supply to the oil and gas segment. ”