Sajjan Jindal-led JSW Group on Tuesday signed an agreement with South Korea’s Posco Group for the development of an integrated steel plant in India with an initial capacity of 5 million tonnes per annum.
The collaboration between JSW Group and Posco Group is expected to boost India’s steel production capacity. The partnership also aims to drive cooperation in battery materials, and renewable energy sectors in India.
“India is one of the fastest growing economies in the world. This is reflected in a strong demand for steel which is accelerating at a faster pace than the GDP growth of the country. This presents a unique opportunity for the Indian steel sector,” India’s largest steelmaker says in an exchange filing.
The two groups will also explore collaborations in the areas of battery materials related to Electric Vehicles (EVs), and renewable energy for meeting the captive requirements of the proposed integrated steel plant. JSW already owns 35% stake in the country’s second-largest EV maker JSW MG Motor India. Energy transition is propelling the growth of renewable energy and battery material sectors in India, the filing says.
“JSW’s leading manufacturing presence and strong project execution capabilities, combined with POSCO’s technological excellence, would create a strong platform for developing cutting edge solutions for the Indian steel and energy sectors,” it says.
“This MoU with POSCO marks a significant step forward in our journey to contribute to the Indian steel industry. As one of the world’s fastest-growing economies, India presents tremendous opportunities for sustainable growth, and our partnership with POSCO strengthens JSW’s commitment to drive that transformation. This JV also entails collaboration for renewable energy for a state-of-the-art integrated steel plant and for setting up an EV ecosystem in India. Together, we aim to set a benchmark in technology and sustainability that can shape the future of manufacturing in India and beyond,” says Sajjan Jindal, chairman of JSW Group.
The MoU was signed at JSW Group's corporate headquarters in Mumbai, in the presence of JSW Group chairman Sajjan Jindal, Posco chairman Chang In-hwa, and senior executives from both the business houses.
JSW Group is a $24 billion Indian conglomerate with a diverse portfolio consisting of interests in steel, energy, infrastructure, cement, paints, realty, e-platforms, mobility, defence, sports, and venture capital. The Group's flagship company, JSW Steel, operates multiple integrated steel plants in India, US, Italy with a total global capacity of 35.7 MTPA (including 5 MTPA under commissioning).
