JSW Steel’s consolidated crude steel production rose 3% year on year to 2.402 million tonnes in July 2026, while output from its Indian operations increased 4% to 2.339 million tonnes. Capacity utilisation at its Indian operations stood at 87%. The company said the upgraded Blast Furnace No. 3 at its Vijayanagar plant, restarted on June 23, was operating at more than 80% of its rated capacity.

India's steel market presented a mixed picture in July, with domestic consumption continuing to outpace production while exports rebounded sharply, nearly matching imports for the month. However, strong import volumes earlier in the fiscal year kept the country a net importer through April-July.

India's second-largest steelmaker, Tata Steel, reported first-quarter FY2026 operating results, with domestic crude steel production increasing by more than 10% YoY to 5.76 million tonnes, while steel deliveries rose nearly 9% YoY to 5.17 million tonnes, driven by higher output at its Jamshedpur and Kalinganagar plants. Meanwhile, elevated coking coal and iron ore prices pushed material costs up 12% year on year. The higher level of steel production indicates that Indian steel demand remains resilient, providing continued support for metallurgical coal consumption. Despite elevated coking coal costs, Tata Steel maintained strong production, suggesting that Indian steelmakers are unlikely to significantly reduce metallurgical coal procurement in the near term. In addition, the company has approved a 4.8 million tonnes per annum steelmaking capacity expansion at its subsidiary Neelachal Ispat Nigam, which could further support metallurgical coal demand over the longer term.

Higher domestic steel prices, an improved product mix and increased iron ore sales helped SAIL offset lower production and elevated coking coal costs in Q1 FY2026-27. While planned maintenance weighed on output, stronger realizations drove margin expansion, with management expecting raw material costs to ease in the coming quarter.

Stronger HRC realizations and a higher share of value-added steel helped Jindal Steel offset lower sequential production and rising raw material costs in Q1FY27. As India's steel demand continues to outpace global markets, the company's earnings outlook will depend on capacity ramp-up, domestic steel prices, coking coal costs and import competition.

Preliminary data from the Japan Iron & Steel Federation (JISF) indicated that Japan produced 40.4 million tonnes of crude steel in the first half of 2026, representing a marginal 0.4% decline year-on-year. During this period, integrated blast-furnace mills accounted for 29.72 million tonnes, while electric-arc furnace producers contributed 10.68 million tonnes. Notably, the second quarter saw a 1% year-on-year production increase to 20.4 million tonnes, driven by improving demand from the domestic construction and shipbuilding sectors.