Business · Companies · 5 hrs ago
JSW Steel plans investment to raise capacity to nearly 65 million tonnes by 2031
JSW Steel approved ₹29,000 crore in new projects to expand production and secure more raw materials.
The company is India's largest steelmaker, and its CEO, Jayant Acharya, said the plans are supported by demand and stronger finances.
Its capacity is set to reach nearly 65 million tonnes by 2031, up from 38 million tonnes now.
Steel consumption in India grew 7.5% in the first half, and Acharya said demand picked up after a cautious first quarter.
He also said the company sold extra stock in the September quarter, a sign that demand was strong.
Strong demand and cash flow are helping fund expansion, while lower debt costs have also improved the company's finances.
Acharya said JSW Steel expects Indian demand to keep pace with new supply, and the company says it is on track to deliver the projects.
JSW Steel plans to raise its production capacity to nearly 65 million tonnes by 2031.
The company approved new projects worth ₹29,000 crore during the September quarter.
Chief executive Jayant Acharya said the projects will add production volume, raw material security and value-added products.
JSW Steel has current capacity of 38 million tonnes, including 32 million tonnes in India.
Acharya said strong demand, operating leverage and balance-sheet strength support continued investment.
- Who
- JSW Steel, led by chief executive Jayant Acharya.
- What
- The company plans to invest in projects to raise production capacity to nearly 65 million tonnes.
- When
- The target is by 2031. New projects worth ₹29,000 crore were approved during the September quarter.
- Where
- India is the focus of the company’s current capacity, which includes 32 million tonnes there. The planned projects’ locations are not stated.
- Why
- The company cites strong underlying demand, operating leverage and balance-sheet strength.
This story does not have two clearly opposing sides.
JSW Steel approved new projects worth ₹29,000 crore.
The company plans to increase its production capacity to nearly 65 million tonnes.
- Planned capacity
- Nearly 65 million tonnes by 2031
- Current capacity
- 38 million tonnes, including 32 million tonnes in India
- New projects
- ₹29,000 crore approved during the September quarter
- September-quarter capital expenditure
- ₹6,266 crore
- Steel consumption growth
- 7.5% in India in the first half
What people are saying
The drivers are structurally strong and local in nature.
With demand turning out the way it is, does it give you headroom to hike prices?