Following India's removal of a 5% customs duty on vanadium pentoxide flake in July, Chinese suppliers are gearing up to increase their exports to the Indian market. The decision comes as India introduces a Bureau of Indian Standards (BIS) certification scheme, requiring ferro-vanadium producers to obtain an annual license. The policy shift is part of India’s broader push to boost domestic steel production, with the government aiming for 300mn tonnes per year by 2030-31.
India has been ramping up its imports of vanadium pentoxide flake from China, with 120 tonnes shipped between January and July 2023, after no imports the previous year. Meanwhile, China’s vanadium pentoxide flake production has surged by 9.8%, reaching 85,315 tonnes from January to August, according to industry estimates. Strong demand from India, driven by its expanding infrastructure sector, is expected to further fuel these exports. A Chinese supplier based in Sichuan confirmed receiving several inquiries from Indian buyers, signaling strong interest from the market.
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