India’s competition watchdog has uncovered that leading companies in the steel market, including Tata Steel, JSW Steel, and State-run SAIL, along with 25 other firms, engaged in price-fixing practices that violate antitrust laws. A confidential document reveals that these collusions expose both the companies and their executives to the possibility of significant financial penalties.
The Competition Commission of India (CCI) has found 56 senior executives, including Sajjan Jindal of JSW and T.V. Narendran of Tata Steel, along with four former chairpersons of SAIL, guilty of price collusion spanning from 2015 to 2023. This information is based on a CCI order dated October 6, which has not yet been made public and is being reported for the first time.
The CCI investigation, initiated in 2021, is the prominent case concerning the steel industry, following allegations from builders in a State court that nine companies conspired to limit steel supply and hike prices. In 2022, Reuters disclosed that regulators conducted raids on smaller steel firms as part of the inquiry. The investigation broadened to encompass approximately 31 companies and industry groups, along with numerous executives, as detailed in the CCI’s order from October, which is confidential under cartel activity regulations until the inquiry concludes. The CCI has determined that the involved parties’ actions violated Indian antitrust laws, implicating certain individuals as liable for these infractions.
The findings are essential in any antitrust case and will undergo review by senior CCI officials. Companies and executives can submit objections or comments, a process expected to take several months due to the investigation’s scale. The CCI will eventually release its final order publicly.
India ranks as the world’s second-largest crude steel producer, driven by increasing demand linked to rising infrastructure investment. JSW Steel holds a 17.5% market share, followed by Tata Steel at 13.3% and SAIL at 10%. In the fiscal year ending March 2025, JSW Steel’s standalone revenues reached $14.2 billion, while Tata Steel’s revenues were $14.7 billion.
The CCI launched an investigation following allegations from the Coimbatore Corporation Contractors Welfare Association that steel companies increased prices by 55% from 2021 to March 11 and manipulated supply to raise costs. The court classified the issue as antitrust, directing the CCI to act on the complaints related to construction. Allegedly involved companies included Shyam Steel Industries and Rashtriya Ispat Nigam, which did not respond to inquiries. The CCI requested financial statements for eight fiscal years to assess potential penalties. Evidence of misconduct included WhatsApp messages among steel producers indicating price-fixing and production cuts.