JSW Steel will be setting up a 50:50 joint venture with Japan-based JFE Steel Corporation and will be investing $734 million to set up a plant in Karnataka, the company said in a stock exchange filing.
The new company will be named JSW JFE Electrical Steel Private Limited and will have its manufacturing base in Bellary, Karnataka. Production is likely to commence in 2027, the company said, with aims to further expand the capacity to meet growing demand for grain-oriented electrical steel in India.
"This collaboration is a milestone development, as it would be the first company to have end-to-end manufacturing of grain oriented electrical steel products in India.''
Statement from JSW Steel
"This collaboration is a milestone development, as it would be the first company to have end-to-end manufacturing of grain oriented electrical steel products in India. The JV Company aspires to cater to the surging domestic demand for grain oriented electrical steel and contribute significantly to the country's energy infrastructure," JSW Steel said in a statement.
Grain-oriented electrical steel is typically used as the core material in electrical transformers.