JSW Steel Ltd has announced a groundbreaking joint venture with Japan's JFE Steel Corporation, forming a 50:50 partnership for the production of grain-oriented electrical steel in India. This strategic collaboration aims to meet the growing demand for grain-oriented electrical steel, a vital component in the manufacturing of energy-efficient transformers crucial for India's energy infrastructure.
The newly formed company, JSW JFE Electrical Steel Private Limited, with a planned investment of ₹5,500 crore, is set to be headquartered in the Bellary district of Karnataka. JSW Steel plans to kick off production at the facility by the fiscal year 2027, with intentions to expand its capacity to cater to the rising market demand for grain-oriented electrical steel across India.
Grain-oriented electrical steel plays a pivotal role in various types of transformers, including distribution transformers, power transformers, and small transformers. With this JV, JSW Steel aims to become the first company in India to offer end-to-end manufacturing of grain-oriented electrical steel products, contributing significantly to the country's energy infrastructure development.
The partnership marks a milestone achievement, symbolizing a concerted effort to enhance India's energy efficiency and bolster its domestic manufacturing capabilities. The groundbreaking ceremony, attended by leadership teams from both companies, signifies a commitment to innovation and collaboration in advancing the energy sector.
JSW Steel, led by Chairman and Managing Director Sajjan Jindal, reported an impressive 409.28% year-on-year increase in consolidated net profit for the third quarter ending December 31, 2023. Despite challenges, including a surge in net debt, the company remains committed to driving growth and innovation in India's steel and energy sectors.
Source: cnbctv18.com