The manufacturing pact would be executed through their joint venture (JV) entities, viz. JSW JFE Electrical Steel at Vijayanagar, Karnataka, and JSW JFE Electrical Steel Nashik, Maharashtra.
The capacity of the Karnataka plant would be increased to 100,000 tons per annum (TPA) from the earlier plan of 62,000 tons per annum. It is scheduled for commissioning by FY2028.
The production capacity of the Maharashtra-based plant would be expanded five-fold to 250,000 tons per annum and it is for phased commissioning from FY2028.
The two partners will jointly invest approximately Rs 5,845 crore towards this expansion.
This capital investment along with the previously announced investments at Vijayanagar facility and the acquisition of the Nashik facility would take the overall investments to Rs 15,560 crore.
JSW Steel stated that this expansion aims to address the rapidly growing domestic demand for high-efficiency electrical steel, especially in the renewable energy, energy transition for decarbonization, e-mobility, AI data center, etc.
Jayant Acharya, joint managing director & CEO, JSW Steel, said: “India’s green energy transformation, decarbonization and digital infrastructure development are triggering large demand for high-grade electrical steel.
Our GOES investment is a critical step in enabling import substitution, supporting India’s energy transition goals, and delivering high-efficiency electrical steel solutions to the domestic and global markets."
JSW Steel is the flagship business of the diversified, US$ 23 billion JSW Group. As one of India’s leading business houses, JSW Group also has interests in energy, infrastructure, cement, paints, realty, e-platforms, mobility, defence, sports, and venture capital.
The company reported a 158.46% year-on-year (YoY) increase in consolidated net profit to Rs 2,209 crore for the quarter ended 30 June 2025, compared to Rs 867 crore in the corresponding period last year. Revenue from operation rose 0.47% year on year to Rs 43,147 crore in the quarter ended 30 June 2025.