JSW Steel USA Plans to Invest $110 Million to Modernize the Steel Plate Mill

Jindal Iron and Steel Company (JISCO), an Indian multinational steel producer and the flagship company of JSW Group, is the second largest private sector steel company. Founded in 1982, the company was formerly known as Piramal Steel Limited and was renamed when acquired by the Jindal Group.

About JSW Steel USA

JSW USA is part of the diversified US $23 billion JSW Group. As affiliates of JSW Group, with 28.5 MTPA capacity worldwide, JSW Steel USA benefits from having access to team members with world-class expertise and product knowledge. JSW Group entered the US market by first purchasing the Baytown facility. Now the company has 2 strategic locations in the US, Mingo Junction, Ohio, and Baytown, Texas.

Recent News:

On 25 June, the US subsidiary, JSW Steel USA announced its plans to invest USD 110 million to modernize its steel plate mill in the Baytown Texas facility. These investments are aimed at enabling the production of high-quality monopile steel plates to support the US administration’s new actions to expand offshore wind energy by deploying 30 gigawatts (GW) of offshore wind by 2030. Steel products made through this investment are aligned with “Buy America” requirements for niche grades and sophisticated applications such as hydrocarbon pipelines, offshore wind towers and platforms, high-density pressure vessels, and monopile steel slabs.

Director’s views:

Parth Jindal, Director of JSW Steel USA, said that the new upgrades at the Plate Mill will support the long-term Environmental, social, and governance (ESG) initiative of JSW USA and support decarbonization of the Energy Spectrum in the USA. These investments have the potential to significantly reduce US import reliance in the infrastructure and renewable energy sectors.

Stock Performance:

JSW Steel Limited’s stock performance in India was impacted by this announcement with an increase of 0.58% in the share price of the company in the past 5 days. The stock hit a 52-week high at ₹944 on June 21, 2024.

Conclusion: With these investments, JSW Steel USA aims to enable high-quality monopile steel plates to continue its renewable energy expansion.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.