India’s induction furnace (IF) steel market witnessed continued price corrections today due to weak demand and fluctuating raw material costs. Rebar (Fe 500) offers declined by ₹100–₹300/tonne, except Mumbai, where local demand saw a slight increase, adding ₹100/tonne. Rebar price ex-Raipur was assessed at ₹39400 as on 17th September 2025. 

Sponge iron prices fell by ₹100–₹150/tonne in most locations, except in Chennai, which saw a ₹200/tonne increase due to localized supply issues. Billet prices fell by ₹100–₹400/tonne, with Ahmedabad seeing the most significant decline. The overall tone of the market continues to remain sluggish, as suppliers appear to be high on inventories, and there was little off-take seen. Buying has been sporadic, and demand for the material has tended to be need-based as traders & end-users remained cautious with fluctuating prices of key inputs, i.e., sponge iron, billets, etc. Sellers continued to provide flexible trade discounts to provide momentum into bookings.

Outlook:

The market is expected to continue to be under pressure unless some key triggers emerge to revive demand or support costs. The combination of rising inventories, unclear construction activity, and fluctuating prices for energy and raw materials could keep sentiment negative. There may be some temporary support from either festival-related demand or restocking from merchants. However, any sustained recovery is more likely on an overall improvement in consumption and infrastructure spending. Until the fundamentals improve, the prices of the IF segment (bills and rebar) are likely to remain in a range or slightly negative.