Jindal Stainless commissions steel melt shop in Indonesia
New Delhi, March 24: Jindal Stainless has commissioned stainless steel melt shop (SMS) with the capacity of 1.2 million tonnes per annum (MTPA) in Indonesia.
Developed through the company’s joint venture, the plant has been started less than two years after the Jindal Stainless announced a 40% expansion in its melting capacity.
With this new venture, the company’s total melting capacity will be ramped up to 4.2 MTPA, including 3 MTPA in India.
Complementing this increase in the melting facility, the company is also gearing up to commission a new 1.1 MTPA Hot Rolled Annealed Pickled (HRAP) line, and 0.17 MTPA Cold Rolling capacity in Jajpur in Odisha by Q4FY27 and Q2FY27 respectively, Jindal Stainless said in a statement.
This development is part of the earlier announced outlay of INR 1,900 crore.
To further strengthen its cold rolling capacities, the company has earmarked a fresh investment of INR 900 crore at Hisar and Kharagpur which are expected to be commissioned by Q2FY28.
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These new and expanded downstream facilities will enable the production of thinner cold rolled products tailored for high-growth industries.
With these expansion projects, Jindal Stainless will be able to increase its Cold Rolling capacity from 2.05 MTPA in FY26 to 2.67 MTPA by FY28, an increase of 0.62 MTPA.
Once all downstream expansion projects are commissioned, the total Cold Rolling capacity will account for 64% of the total melt capacity.
With this concurrent enhancement in melting and downstream capacities, the company is targeting to achieve a sales volume of ~3.5 MTPA by FY29, delivering double-digit CAGR over the next three years.
“The commissioning of the Indonesia facility ahead of schedule, alongside a significant push in downstream capabilities, reflects our commitment to raw material security and integrated approach to growth. While expanding our production footprint, we are equally focused on enhancing value addition through a stronger portfolio of thinner cold-rolled products,” said Jindal Stainless Managing Director Abhyuday Jindal.
Jindal Stainless CEO Tarun Khulbe said: “Expansion in melt capacity and corresponding strengthening of downstream facilities speaks volumes about our commitment to fuel the Indian growth story. Our capacity and production enhancements are in line with the robust domestic potential of our country. With the activation of new capacities, we will unlock the next phase of growth for Jindal Stainless, strengthening our vision to build world-class capabilities in stainless steel.”
