BUSINESS

ArcelorMittal Launches Steel Production : ArcelorMittal Nippon Steel to Launch Automotive Steel Production at Hazira Plant This Year

ArcelorMittal Nippon Steel to Launch Automotive Steel Production at Hazira Plant This Year
New Delhi, Jan 19 (NationPress) ArcelorMittal Nippon Steel India, a joint venture between ArcelorMittal and Nippon Steel Corp, is gearing up to launch two advanced production lines this year for manufacturing automotive steel products, as detailed in a company announcement released on Sunday.

Synopsis

ArcelorMittal Nippon Steel India is set to commence production of advanced automotive steel at its Hazira plant this year, establishing two new state-of-the-art production lines. This initiative aims to replace imports and bolster the Atmanirbhar Bharat initiative while meeting the growing demand in the automotive sector.

Key Takeaways

  • Launch of two cutting-edge production lines for automotive steel.
  • Production to begin this year at Hazira plant.
  • Support for Atmanirbhar Bharat initiative by reducing imports.
  • Expected operational by 2025 with advanced technology.
  • Expansion to meet rising demand in automotive steel market.

New Delhi, Jan 19 (NationPress) ArcelorMittal Nippon Steel India, a collaborative effort between ArcelorMittal and Nippon Steel Corp of Japan, is preparing to initiate two cutting-edge production lines this year aimed at producing advanced automotive steel products, as stated in a company announcement released on Sunday.

Once these facilities are operational, they will replace imports of premium steel essential for the entire automotive industry, thereby supporting the Atmanirbhar Bharat initiative, the statement highlighted.

All products will adhere to the quality benchmarks set by the parent companies, ArcelorMittal and Nippon Steel (AM/NS India). Additionally, some of the globally available products will be manufactured in India for the first time, the statement indicated.

The new production lines, which include a Continuous Galvanising Line (CGL) and a Continuous Galvanising and Annealing Line (CGAL), are expected to be fully operational by 2025. These facilities, incorporating the technical expertise of their parent companies, will be part of the upcoming Cold Rolling Mill 2 (CRM2) complex at their flagship site in Hazira, Gujarat.

The two units will facilitate the production of licensed products from both ArcelorMittal and Nippon Steel, with strength levels reaching up to 1180 MPa, in both coated and uncoated steel. This initiative builds on the prior success of AM/NS India with the launch of Optigal and Magnelis last year, according to the company statement.

The expansion is aimed at addressing the rising demand for high-quality, value-added automotive steel in India, currently estimated at 7.8 million tonnes per annum (MTPA) for flat steel, with an anticipated annual growth of 6-7 percent.

Dilip Oommen, CEO of ArcelorMittal Nippon Steel India (AM/NS India), stated: "These dedicated units signify a major advancement toward our objective of offering high-quality, premium steel solutions tailored to the dynamic demands of the automotive sector. Our extensive range of products and services positions us as the preferred choice among automotive manufacturers."

"Once these units are operational, we will not only be able to produce new offerings that are well-recognized globally but also expand our portfolio and market share. This expansion is crucial to fortifying the country’s steel ecosystem and enhancing global competitiveness," he added.

In the meantime, AM/NS India is displaying its distinctive automotive products along with ArcelorMittal's Multi-Part Integration (MPI) solutions at the ongoing Bharat Mobility Global Expo 2025 in New Delhi.

Among the innovations being exhibited are six advanced automotive components, including next-generation door rings and state-of-the-art battery packs that meet the pressing demands of Original Equipment Manufacturers.

The MPI solutions provide numerous advantages, such as cost efficiency through reduced manufacturing expenses, streamlined processes with multiple components integrated into a single design, and modular designs that can adapt to various automotive applications.

These modern solutions also emphasize eco-friendly production adhering to global sustainability standards, weight reduction for enhanced vehicle efficiency and performance, and improved safety with materials compliant with Bharat NCAP norms, the statement concluded.

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