JSW Steel, POSCO in pact for steel project

JSW Steel, India’s leading integrated steel producer and part of the $23 billion JSW Group, and South Korea’s POSCO Group have signed a non-binding Heads of Agreement (HoA) to jointly explore setting up a 6 million tonnes per annum (MTPA) integrated steel plant in India.

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The proposed venture, envisaged as a 50:50 joint initiative, builds on a Memorandum of Understanding (MoU) signed by both companies in October 2024.

The HoA was formalized in Mumbai in the presence of Lee Ju-tae, Representative Director and President of POSCO Holdings, and Jayant Acharya, Joint Managing Director & CEO of JSW Steel, according to a statement.

As part of the next steps, the two companies will carry out a detailed feasibility study to determine the location, investment terms, and resource availability. Odisha, with its natural resource base and logistical advantages, is being considered as a potential site for the project.

Acharya said the partnership would combine JSW’s execution capabilities and domestic scale with POSCO’s technological expertise in steelmaking. “The proposed venture aligns with India’s vision of Atmanirbhar Bharat and will help build a globally competitive manufacturing hub serving both domestic and export markets,” he added.

POSCO’s Lee Ju-tae highlighted India’s importance in the future of global steel demand. “Our collaboration with JSW is based on mutual trust and a shared long-term vision. This initiative represents our commitment to supporting India’s industrial growth while creating long-term value for both organizations,” he said.

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