JSW Steel Ltd and Japan’s JFE Steel Corporation on Monday announced signing of a joint agreement for technical collaboration.
Under the agreement, JFE will provide technology for the production of non-oriented electrical steel sheets (CRNGO) at the JSW’s Vijayanagar plant in Bellary district of Karnataka.
By leveraging JFE Steel’s well-established manufacturing technology for electrical steel, JSW shall produce CRNGO grade electrical steel and supply to its customers, including local companies as well as Japanese, European and US-affiliated companies doing business in India.
The electrical steel sheet products are primarily imported in India due to technological constraints and JSW Steel shall be in a position to cater to fast growing consumer and industrial applications market.
JSW Steel plans to start up its new annealing and coating line for electrical steel sheets in latter half of 2014.
The initial annual output is projected to be 200,000 tonne, which will be increased to 0.6 million tons per year in phases. The company will also take sight on the production of Cold Rolled Grain Oriented (CRGO) grade in future.
Implemented in phased manner, JSW envisages becoming the largest electrical steel producer in the country.
JSW Steel Ltd., belonging to Rs 60,000 crore JSW group, part of the O P Jindal Group, is one of the lowest cost steel producers in the world. The group has diversified interest in mining, carbon steel, power, industrial gases, port facilities, aluminium, cement and Information Technology.
JSW Steel is engaged in manufacture of flat and long products viz. HR coils, CR coils, galvanised/galvalume products, colour coated products, auto grade/ white goods grade CRCA steel, bars and rods.
JFE Steel Corporation, one of the world’s leading integrated steel producers, was established through the consolidation of NKK Corporation and Kawasaki Steel Corporation in 2003. The company operates several steelworks in Japan and numerous branch offices and affiliates throughout the world.
JFE Steel owns a 16.17% share in JSW Steel Limited, an equity-method affiliate.
