Mumbai (India) : Sajjan Jindal-led JSW Steel on Friday announced that it has signed a Memorandum of Understanding (MoU) with JFE Steel Corporation to conduct a Feasibility Study to establish a Grain Oriented Electrical Steel Sheet Manufacturing and Sales Joint-Venture Company in India.
Both companies have planned to complete the study within the current 2021 fiscal year and take appropriate steps to set up this JV Company.
Grain oriented electrical Steel sheets are primarily used in making transformers. With increase in electrification and growing adoption of renewable energy, the demand for grain oriented electrical Steel sheets are expected to witness a steady growth in India.
JSW Steel and JFE Steel continue to deepen their alliance since they signed a comprehensive Strategic Collaboration Agreement in 2009, under which JFE Steel took an equity stake in JSW Steel, and has provided Technical Co-operation with regard to Automotive Steel Products. In the year 2012, JSW and JFE entered into an Agreement where JFE has provided technology for the production of non-oriented electrical steel sheets, which has enabled JSW to become India’s leading supplier in this field.
“This feasibility study for a JV with JFE Steel for manufacturing Grain Oriented Electrical Steel Sheet in India will strengthen our position as India’s leading manufacturer of advanced steel products that lead to reduced CO2 emissions and a more sustainable world. Our partnership with JFE Steel since 2009 has provided us access to cutting-edge technologies and world-class technical expertise to enhance our operational excellence” said Seshagiri Rao, Joint MD, JSW Steel & Group CFO.