Tata Steel is looking to expand its capacity of its Jamshedpur facility to 13 million tons a year, from the present 10 million tons.
While the company has got the environment clearance to take the capacity to 11 million tons a year, studies are being conducted to increase it further.
"We have the option to shut some of the small blast furnaces and build bigger ones. The final decision will be taken once the studies have been done," said CEO and Managing Director TV Narendran on the sidelines of a conference in Mumbai.
The Jamshedpur facility, the company's first, produces a mix of flat and long products. Most of the production goes towards flat products.
Its Kalinganagar facility in Odisha also makes flat steel, which are used in construction.
Long products unit
The company also plans to bring its long products faculties under one unit - Tata Steel Long Products.
The planned acquisition of Usha Martin's facility, which is being carried out by Tata Sponge, will come under the newly formed unit.
Narendran said that the company will follow an inorganic growth strategy to shore up its presence in long products, which are used by auto companies.
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