JSW Steel is investing $2.5 billion in capacity expansion - GMK Center

JSW Steel Ltd., India’s largest steel producer, has announced ambitious expansion plans. In the next fiscal year (FY 2027), the company’s capital expenditures will range from 220 to 240 billion rupees (approximately $2.5 billion). This is nearly 50% more than the previous year’s investments, which totaled 155.85 billion rupees. This was reported by Bloomberg.

JSW Steel’s investment activity is driven by the rapid development of India’s infrastructure. The Indian government is directing billions of dollars toward the construction of highways, ports, and airports, aiming to accelerate the country’s economic growth and transform it into a developed economy by 2047.

The company’s plans for capacity expansion:

by 2030, JSW Steel plans to increase its total capacity to 48.8 million tons per year (from the current 31.9 million tons);
The Board of Directors has approved an expansion of one of the subsidiary’s production capacity by 5 million tons per year. The cost of this project is 260 billion rupees, and commissioning is scheduled for the 2030 fiscal year.

According to CEO Jayanta Acharya, steel demand in India is expected to grow by 7–9% in the current 2027 fiscal year. At the same time, domestic metal prices are likely to remain within a stable range following sharp spikes in April and May.

The company considers geopolitical instability in the Middle East to be the main risk to further growth. This could lead to prolonged disruptions in supply chains, rising energy prices, and further intensification of inflationary pressures.