General Director and Managing Director of Tata Steel Mr. T.V. Narendran said Tata Steel’s production has now recovered to 100% as the company sees a rebound in domestic demand in the current quarter thanks to a good monsoon and rural economy, making the company less export-dependent compared to the first quarter. He said: “Manufacturing is running at 100% and we are now less dependent on exports than in the first quarter. We are seeing a rebound in demand in the second quarter thanks to good seasonal rains and the rural economy. demand for tractors and motorcycles, we are now seeing growth in the passenger car segment. It was also a strong appliance quarter. ”
Another area where Tata Steel sees demand is government spending, including the oil and gas sector, water systems and railways.
Construction is still progressing at a slightly slower pace, but the monsoons have traditionally been the weakest quarter for construction.
The outbreak of COVID-19 in India, followed by national isolation, has seriously impacted the steel industry. This disrupted the supply chain and affected demand as well as manufacturing. Due to market conditions, steelmakers were forced to cut their operations by up to 50% in April. To find markets for their products, the players also had to turn to export.