The Supreme Court of India has agreed to hear a significant tax dispute regarding the classification of coke breeze, a byproduct of metallurgical coke used in steel production. Steelmakers, including Jindal Steel (formerly Jindal Steel & Power Ltd), are challenging the customs department's stance that coke breeze does not qualify for the customs duty exemption available to metallurgical coke. This case arises from conflicting rulings by the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) in 2025, which left the tax treatment of coke breeze unclear. While metallurgical coke is fully exempt from customs duty under Notification No. 12/2012-Cus, coke breeze typically attracts a basic customs duty of around 5%. The Bangalore bench of CESTAT ruled against several companies, including Mukand Ltd and Kalyani Steels Ltd, affirming that coke breeze and metallurgical coke are distinct products. In contrast, the Hyderabad bench ruled in favor of Jindal Steel, stating that coke breeze should qualify for the exemption based on its usage in the steelmaking process. The government has also eased import rules for low-ash metallurgical coke, facilitating imports and potentially lowering costs for steelmakers, which account for 35-40% of production costs in the industry.