How Tata Steel Is Taking Revenge On The Chinese Steel Companies, Tata's INR 5000 Cr. Investment Plans.

15th of June. The day of Galwan Valley clash which shook the entire nation. The clash resulted into the loss of 20 Indian Soldiers of 16th Bihar Regiment including the CO (Commanding Officer), Colonel Santosh Babu. Aftermath, the Anti-China sentiments in our nation took place; which is obvious.

The reason behind this clash is being stated the importance of the Ladakh Region. Ladakh UT is the most famous and most important territory for India.

Must Read - Importance of Ladakh UT

The Indian Government also has banned the Chinese Apps, saying that those applications were misusing the data of Indian citizens and they were harming the sovereignty of India.

Read How and Why Here - Why Indian Government Banned The Chinese Apps

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How Tata Steel Will Take Revenge With Chinese Companies

To grow our economy, we need a rapid action against Chinese products. Entire nation knows the quality of Chinese goods. Definately those goods are cheap but less durable in comparison to Indian products. In 2017, Tata Steel was facing low demands in a race with Chinese based steel in the United Kingdom and elsewhere. China is providing steel at a minimal price if we compare it to the other companies. China is a hub for steel manufacturing. The Mass Production of Steel in China makes it cheap and low priced. No need to discuss the life span of it. 

The Hero Cycles Ltd. had made an announcement that they will join the campaign of Boycott Chinese Products; and the company has said that they have cancelled the deal worth INR 900 Crores with China.

Tata Sons Company, Tata Electronics has been given 500 Acres of land by the TIDCO (Tamilnadu Industrial Development Corporation). The Titan Ltd. (A Tata Group) will provide the necessary information and technology expertise to set up INR 5000 Crores phone components manufacturing plant in Tamilnadu.

Talking about the Steel Manufacturing, to manufacture steel there's a need of Zinc. Most commonly, Tata imports the satisfactory amount of Zinc from foreign countries and especially from China. According to the reports from Business Link, Tata Steel has decided to stop the whole import of Zinc from China and other countries. There are many companies in India, which imports steel from China. For example - Milton Corporation Ltd. (India) and Cello.

There are many companies which are selling Chinese steel products in Indian market. Zinc is the most important element for manufacturing of steel. Zinc is widely used in Automobile Industries. Also, Zinc is helpful to protect Iron from corrosion in Hardware industries and in the others. India imports major amount of Zinc from China. Tata Steel has decided to buy 45000 tonnes of Zinc and other value added materials from Hindustan Zinc. 

Price of 1 Ton Zinc (1000 KG) is around $2000. So, the price of 45,000 Tonnes of Zinc will be around $90M.

Batteries and power industries, Textile Industries, Soap industries, electrical industries, construction industries, paint industries, etc.; are the major buyers of Zinc element. Besides the Chinese steel, Australia and Peru are also the major producers of Zinc and Steel products.

It's not possible to be dependent on India's zinc producers, as companies may import zinc and Steel products from Australia and Peru instead of China. China is a top buyer of Steel from India and accounts for 48% exports. In 2020, India exported around 4,40,000 Tonnes of Steel to China. In reverse, China makes Steel products from Indian steel and imports it to India. Indian companies like Cello and Milton India buys these products from China. 

Whereas, now we are making fighter jet, Automobiles, Space instruments, Defence equipment in India; and some Indian origin companies earns millions of profit from the China based steel and zinc products just because of the cheap price range. That's why to look at country of origin behind the products is necessary.

The Tata Group has decided to make a company self-reliant and to use only Made In India products. Indian customers are requested to use only Made In India products to achieve a dream of 'Aatmanirbhar Bharat'.