Steel manufacturer ArcelorMittal Nippon Steel (AM/NS) India reported higher output and sales in January-March, owing to higher shipments and selling prices.
Its crude steel production increased by 2pc on the year to 1.77mn t, while its sales rose by 5.7pc against the previous year to 1.83mn t.
The steelmaker has approved an investment plan of $7.5bn to expand capacity, increase value added capabilities and leverage infrastructure. Of this,
$0.8bn will go towards ongoing debottlenecking and $1bn towards downstream investment at its Hazira plant in Gujarat. The Hazira plant downstream expansion aims to supply growing automotive demand, with its continuous galvanizing line 4 set to be commissioned in July this year and its cold rolling mill 2 complex on track to be commissioned in July next year.
A further $5.6bn will be invested in Hazira's upstream expansion. The plant's ongoing phase 1A aims to expand capacity to 15mn t by early 2026, from 9mn t at present. AMNS Luxembourg, the parent company of AM/NS India, entered into a $5bn loan agreement with Japanese banks on 30 March to finance the Hazira plant expansion.
The firm is enhancing its iron ore capabilities by setting up slurry pipelines to connect mines to beneficiation plants in Thakurani and Sagasahi and beneficiation of ore in Odisha.
AM/NS India's crude steel production fell by 9.6pc on the year to 6.69mn t last year, and its sales dropped by 6.4pc on the year to 6.47mn t, because of a 15pc export duty imposed by the Indian government.
