Chennai United Metal Industries Pvt Ltd, a key supplier of steel products to companies like Murugappa Group, TVS, and BHEL, is set to invest ₹36 crore to expand its manufacturing capabilities at its Gummidipoondi facility near Chennai. The company aims to enhance its billets plant’s production capacity from 23,760 tonnes annually to 2,00,000 tonnes.
Similarly, the production capacity of its re-rolled steel angles, flat bars, and channels plant will increase from 61,200 tonnes to 2,00,000 tonnes per year. Both upgrades are planned within the company’s existing facility in Gummidipoondi Taluk, Tiruvallur District, according to documents submitted for environmental clearance.
The total investment for this brownfield expansion is estimated at ₹36.25 crore. Upon completion, the project will create 20 permanent jobs at the factory. The expansion is driven by the rising demand for billets from steel rolling mills, fueled by large-scale development initiatives across the public and private sectors. These include infrastructure projects in housing, village development, irrigation, building construction, and the development of concrete roads, the company stated.
An ICRA report revealed that the domestic steel sector saw a record addition of 18.2 million tonnes of capacity in FY24, with another 15.3 million tonnes expected to be added this fiscal year. While domestic steel demand is projected to grow by 10-11% in FY25, local manufacturers face competitive pressure from low-cost imports.
Chennai United Metal Industries Pvt. Ltd., established in 2012 by Jitendra Kumar Goel and Pravesh Goel, is a prominent manufacturer and supplier of steel products, catering to leading companies such as the Murugappa Group, TVS, and BHEL. Headquartered in Chennai, the company specializes in producing billets and re-rolled steel products, including angles, flat bars, and channels, as part of a backward integration strategy.
With its state-of-the-art facility located in Gummidipoondi Taluk, Tiruvallur District, the company is known for its commitment to quality and innovation. Over the years, Chennai United Metal Industries has played a vital role in supporting infrastructure development projects across various sectors, including housing, irrigation, road construction, and rural development programs. By continuously expanding its production capacity and investing in advanced manufacturing technologies, the company has established itself as a key player in the Indian steel industry.
