India's New BIS Rules May Reshape Stainless Steel Raw Material Procurement

 From "Full-Chain Certification" to "Partial Exemption": India's New BIS Rules May Reshape Stainless Steel Raw Material Procurement
July 16, 2025 - India's steel ministry has recently issued new regulations adjusting the BIS (Bureau of Indian Standards) certification requirements for the stainless steel industry chain. According to Taiwanese media reports on the 16th, under the latest policy, integrated steel mills that obtain BIS certification and pass SIMS (Steel Import Monitoring System) audits can have their supplied raw materials exempted from BIS certification requirements for the final products.

It is understood that in mid-June, the Indian steel ministry required stainless steel products sold in India to undergo full BIS certification from upstream to downstream. However, the latest official document shows that for final products supplied by integrated steel mills, as long as they hold a valid BIS license and pass the SIMS audit, the mandatory BIS certification for raw materials can be exempted. However, if procedural errors occur, the relevant companies risk disqualification.

Industry analysts suggest this policy adjustment may present new opportunities for integrated steel mills in the Taiwan region, such as Walsin Lihwa, Yieh United Steel (YUSCO), and Tang Eng. If these mills can obtain the new Indian certification, downstream single-rolling mills or processors using their raw materials will not need to apply for additional BIS certification for their products, thereby facilitating market entry into India.

Nevertheless, market sources point out that considering the price difference between raw materials from the Taiwan region and India, a large-scale shift in raw material procurement to Taiwan in the short term is unlikely. Additionally, although Taiwanese steel mills have obtained BIS certification for some products, the SIMS audit procedure required by the new rules still takes time to complete. Given that the entire industry chain in the Taiwan region has not yet achieved full BIS certification coverage, the industry expects no significant growth in exports to India in the near term.

Data shows that stainless steel products currently exported from Taiwan to India are primarily 300 series, supplemented by 400 series cold-rolled products.

How related companies will adjust their market strategies and procurement layouts following the implementation of the new regulations warrants continued attention.