Tata Steel plans to invest around ₹10,000 crore each year to increase its production capacity to 40 million tons per year (mtpa) by 2030. N Chandrasekaran, chairman of Tata Sons, announced this at the company’s annual meeting.
Chandrasekaran stated that Tata Steel is focused on expanding its capacity and reducing carbon emissions through new steelmaking technologies. The company is expanding its Kalinganagar plant from 3 mtpa to 8 mtpa, with plans to increase it further to 13 mtpa. Additionally, NINL, a subsidiary of Tata Steel, will grow from 1 mtpa to 5.5 mtpa in the coming years.
Tata Steel is also working on a low-carbon electric-arc furnace in Ludhiana, expected to be ready by 2026, which will help expand its product range. The company aims to finish its expansion in 8 to 10 years while reducing its debt each year.
International Operations and Decarbonization
Chandrasekaran mentioned that Tata Steel will continue transforming its international operations. The second blast furnace in the UK may close by September due to safety issues, and it will be replaced with electric-arc furnaces through a £1.25 billion investment with the UK government.
Discussions regarding Tata Steel UK are ongoing, despite changes in the UK government. The company is also in talks with the Dutch government for support on a decarbonization plan involving hydrogen-based technology.
