JSW Steel, Japan's JFE Steel ink agreement to manufacture electrical steel in India

A joint venture (JV) company for the production of CRGO steel has been established in India by JSW Steel and the Japanese JFE Steel Corporation.

JFE Steel Corporation (JFE) is also an existing shareholder in JSW Steel. The Japanese firm owns 15 percent in JSW Steel.

In a regulatory filing, JSW Steel said it "has entered into a joint venture agreement with JFE on August 2, 2023 for the purposes of establishing a JV company in India for the manufacture and sale of CRGO using industry leading machinery, technical know-how and JFE Steel's energy efficient production technology developed through extensive R&D."

After completing a joint feasibility study on May 22, JSW Steel and JFE decided to form a 50:50 joint venture firm to produce cold-rolled grain-oriented electrical steel products (CRGO) in India.

CRGO steel is a critical input for the manufacturing of transformers which is key for generation, transmission and distribution of electricity to end-users. 

Source: Media Reports