Shares of domestic steel companies rebounded earlier in the session after Bloomberg News reported that the European Union has imposed trade duties on imports from China, Russia and the US.
The duties were levied after the European steel industry requested that the erstwhile duties placed in 2016 continue to remain in place.
The EU has imposed anti-dumping duty on some grain-oriented flat-rolled silicon-electrical steel imported from the three regions.
Market participants believe that the re-imposition of the anti-dumping duty will benefit European arms of Indian manufacturers such as Tata Steel and JSW Steel, who have considerable operations in the region.Shares of Tata Steel that had fallen nearly 2 percent earlier in the day were trading 2 percent higher at Rs 1,237.50 on the NSE late in the afternoon. Similarly, shares of JSW Steel that had slid over 1 percent earlier were up nearly 3 percent at Rs 703.