ArcelorMittal Nippon Steel India (AM/NS India), the country’s largest private steelmaker, is capitalizing on the rising demand for specialty steel grades, which are currently mostly imported. These high-value products not only offer greater profit margins but also help the company stand out in a competitive market, according to Ranjan Dhar, Director and Vice President of Sales and Marketing at AM/NS India.
AM/NS India is a joint venture between global steel giants ArcelorMittal, led by Lakshmi Mittal, and Japan’s Nippon Steel. On September 16, the company introduced a new value-added steel line called Magnelis, with an investment of approximately ₹1,000 crore. This new production line, located at its flagship plant in Hazira, Gujarat, has an annual capacity of 500,000 tonnes and targets solar panel manufacturers.
The company is in discussions with potential clients including Adani Green Energy, Reliance Industries, Sterling & Wilson, NTPC, NexTracker, Kirby Building, M&B Enterprises, and BG Shirke Construction Technology. In 2022, ArcelorMittal CEO Aditya Mittal also indicated plans to supply Magnelis for the Mumbai-Ahmedabad High-Speed Rail project.
AM/NS India is further expanding its portfolio with plans to establish a new value-added steel line for the automotive sector, expected to be operational by the first quarter of 2025. This move aims to reduce reliance on imports from countries like South Korea, where many automakers currently source their steel.
Specialty steel now accounts for 60-65% of AM/NS’s total sales, with products serving sectors such as automotive, renewable energy, and construction. “When AM/NS entered the Indian market, our goal was not just to be part of the value chain but to drive the market towards appreciating the value of steel,” Dhar stated.
The company is on track to almost double its production capacity in India from the current 8.5 million tonnes to 15.6 million tonnes by the end of next year, with plans to further increase this to 24 million tonnes. Earlier this year, AM/NS announced its intention to construct the world’s largest single integrated steel plant in Hazira, solidifying its commitment to scaling up operations.
