India’s Leading Steelmaker and South Korea’s POSCO Group Sign Heads of Agreement to Explore 6 MTPA Integrated Steel Plant in India

JSW Steel, India's leading steel producer and South Korea's POSCO Group, a global leader in steel manufacturing, have entered into a non-binding Heads of Agreement (HoA) to jointly explore the establishment of a 6 million tonnes per annum (MTPA) integrated steel plant in India. This agreement signifies a crucial advancement in the strategic collaboration between these two prominent steel companies. Building upon a Memorandum of Understanding (MoU) signed in October 2024, the HoA outlines the general framework for the proposed 50:50 joint venture. The signing ceremony took place in Mumbai, with Mr. Lee Ju-tae, Representative Director and President, POSCO Holdings and Mr. Jayant Acharya, Joint Managing Director & CEO, JSW Steel, in attendance.

As the next phase of this initiative, JSW Steel and POSCO will conduct a comprehensive feasibility study. This study will focus on determining the optimal location for the plant, finalising investment terms, assessing resource availability and evaluating other essential factors. Odisha is currently under consideration as a primary site due to its abundant natural resources and logistical benefits.

This collaborative effort aims to combine JSW's extensive scale with POSCO's advanced technological expertise. The proposed integrated steel plant aligns with India's national objectives of achieving self-reliance in steel production and boosting its export capabilities. The final terms of this partnership will be subject to the successful completion of the feasibility study and the receipt of all necessary approvals.

About the Company

JSW Steel is the flagship business of the USD 23 billion JSW Group and India’s leading integrated steel producer with a consolidated capacity of 35.7 MTPA, including 1.5 MTPA in the United States. Ongoing expansions will raise capacity to 43.4 MTPA over the next three years. Its Vijayanagar facility in Karnataka is India’s largest single-location steel plant. A recognised global leader in sustainable steel production, JSW is a seven-time Steel Sustainability Champion (World Steel Association) and part of the Dow Jones Sustainability Index. Over 80 per cent of its Indian capacity is Responsible Steel™ certified. The company has committed to net-zero carbon emissions by 2050 and aims to source 100 per cent of its power from renewable energy by 2030.

On Monday, shares of JSW Steel Ltd jumped 3.83 per cent and hit a 52-week high of Rs 1,085 per share from its previous closing of Rs 1,045.15 per share. The company falls under the BSE 100 Index with a market cap of over Rs 2.6 lakh crore. The stock is up by 23.4 per cent from its 52-week low of Rs 879.60 per share.

Disclaimer: The article is for informational purposes only and not investment advice.