JSW Steel and JFE Corp to invest Rs 5,500 Crore in India's Electrical Steel Plant
JSW Steel has unveiled intentions to establish a facility for manufacturing grain-oriented electrical steel in collaboration with JFE Steel Corporation, with an estimated investment of Rs 5,500 crore. JFE Corporation, based in Japan and holding a 15% stake in JSW Steel, participated in a groundbreaking ceremony on February 12, signifying the commencement of this partnership, as per JSW Steel's announcement.
JSW Steel Limited has declared the formation of a joint venture with JFE Steel Corporation, Japan, in a 50:50 partnership aimed at producing Grain Oriented Electrical Steel within India. "The new company, JSW Electrical Steel Private Limited, to be renamed JSW JFE Electrical Steel Private Limited will have its manufacturing base in district Bellary, Karnataka and will be set up with a planned investment of Rs 5,500 crores", the statement said.
The production at the facility is slated to begin in the fiscal year 2027, with the company intending to enhance its capacity subsequently to address the escalating market need for grain-oriented electrical steel in India. The joint venture company aims to satisfy the increasing domestic demand for this type of steel and play a substantial role in bolstering the nation's energy infrastructure, as stated.
Grain-oriented electrical steel plays a pivotal role in the production of energy-efficient transformers. "Whether in laminated, wound, or punched sheet form, it serves as the essential core material for distribution transformers, power transformers, and small transformers", JSW Steel said. JSW Steel Limited stands as a prominent integrated steel manufacturer operating in both domestic and international arenas. Meanwhile, JFE Steel Corporation is a global entity renowned for its steadfast dedication to technological advancement and sustainable methodologies.
