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Japan’s JFE Steel and India’s JSW Steel are teaming up to run the steel business of Bhushan Power & Steel (BPSL) together.
JFE Steel is a Japanese steelmaker producing flat and long steel, specialty products, and providing engineering and recycling services globally.
Breaking it down: in simple terms, this is a big partnership where a global steel giant is putting serious money behind a major Indian plant.
JFE will invest ₹15,750 crore to buy a 50% stake in JSW Kalinga Steel, making it one of the largest foreign investments in India’s steel sector.
A quick rewind: JSW bought Bhushan Power for ₹19,700 crore in 2019 through the insolvency process. Since Bhushan became its subsidiary in October 2021, JSW has also invested roughly ₹3,500 to ₹4,500 crore to grow and maintain the business.
Why this asset matters: BPSL already runs a fully integrated steel plant and an iron ore mine in Odisha, with a current capacity of about 4.5 million tonnes of crude steel a year.
The plan now is ambitious, to scale up to 10 million tonnes by 2030, with room to stretch to 15 million tonnes later, which would put it among India’s biggest steel assets. The larger idea is to meet rising demand in India and produce more higher-value steel, not just more steel.
Also worth noting: JFE already held a 15% stake in JSW Steel at the end of the September quarter.
