Tata Steel’s margins from operations in India and Europe will see “compression” in the second quarter (July-September) of the fiscal year 2022-23, company CEO T. V. Narendran said in a statement on Thursday, July 28.
Mr. Narendran said that Tata Steel is expected to improve volume sales in the second quarter and costs are expected to go down only from September onwards, particularly spot coal prices.
He said that steel prices have bottomed out as indicated by the fact that exports from China are already losing money and mills in China cannot bring down prices any lower.
Secondly, he said that in Europe a lot of buying in the first quarter had been deferred that would surface in the second quarter leading to large opportunities of sales in the EU region.
