Russia’s Steel Exports to India Rise in 2023 Amid Shifting Trade Flows
Recent reporting indicates that Russia increased its steel shipments to India by 48 percent in 2023, totaling approximately 686.5 thousand tonnes. In monetary terms, the value of this trade grew by about 34 percent, with raw steel products valued at roughly $429 million. These figures, drawn from the newspaper Vedomosti, reflect a year marked by rapidly evolving supply chains and the broader repercussions of sanctions on global trade routes.
Industry analysts note that India remains a challenging market for Russian manufacturers. The combination of high logistics costs, aggressive discounting, and limited capacity to supply high value-added steel products all contribute to a price-sensitive environment that can erode margins for producers accustomed to different regional dynamics. The profitability gap is a persistent issue even as volumes rise.
Prior to 2022, Russia’s share in India’s ferrous metal imports was relatively modest. The tightening of EU trade relations and sanctions prompted some realignment of supply lines, and today Russian steel accounts for roughly 2.6 percent of Delhi’s steel purchases. This shift highlights how external policy moves can redirect commodity flows, temporarily boosting supply from sources outside traditional partners.
India’s overall steel imports reached about 26 million tonnes in the previous year, more than doubling the 2022 level. The landscape of top suppliers shows South Korea leading with around 2.75 million tonnes, followed by China at about 2.0 million tonnes, and the United States with roughly 1.92 million tonnes. Within this competitive context, Russia remains a notable player, leveraging its long-standing role in the global steel market while navigating the complexities of a multipolar trade environment.
Beyond steel, Russia has historically been a major supplier of fertilizers to India, maintaining a significant presence in that sector as well. This broader pattern of trade reflects strategic ties that extend across multiple commodity groups, reinforcing the resilience of cross-border commerce even amid geopolitical and economic shifts.
In related observations, Russia’s oil export share to friendly nations has also shown a standout increase, reaching a substantial portion of its total exports to those markets. This broader trend underscores how Russia has adapted its external trade network to sustain volume and influence across energy, metals, and agricultural inputs amid evolving sanctions regimes and global market dynamics.