JSW Steel and Japan's JFE form JV to produce grain-oriented electrical steel in India

JSW Steel Limited has announced a 50:50 joint venture (JV) with JFE Steel Corporation, Japan, to establish JSW JFE Electrical Steel Private Limited, a company focused on producing grain-oriented electrical steel in India. The manufacturing base will be in Karnataka's Bellary with a planned investment of Rs 5,500 crore.

A groundbreaking ceremony took place on February 12 and the production is slated to begin in fiscal year 2027, with plans for further capacity expansion to meet the growing demand for this steel type in India, the steelmaker said in an exchange filing on February 13.

The JV aims to address the rising domestic demand for such steel, JSW said highlighting that grain-oriented electrical steel is crucial for energy-efficient transformers.

"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 aspires to cater to the surging domestic demand for grain oriented electrical steel and contribute significantly to the country's energy infrastructure," said JSW Steel in a statement.