JSW Steel USA to invest $110 million in Texas plant

25 Jun 2024 , 01:42 PM

JSW Steel announced on Tuesday, June 25, that its US-based subsidiary will invest $110 million to upgrade its steel plate facility in Baytown, Texas.

This proposal, announced at the 10th Select USA Investment Summit, hosted by the US Department of Commerce in National Harbour, Maryland, aims to include sustainable technology and cutting-edge equipment into the facility.

The modernization project will improve JSW Steel USA’s ability to produce high-quality monopile steel plates, which are crucial to supporting the US administration’s aim of expanding offshore wind energy, the firm stated in a stock exchange filing on June 25.

The United States plans to develop 30 gigawatts (GW) of offshore wind energy by 2030, enough to power 10 million homes with sustainable energy. The refurbished factory will meet Buy America’s specifications, producing specialist steel products for hydrocarbon pipelines, offshore wind turbines, high-density pressure vessels, and other advanced applications.

These changes assist the company’s long-term ESG goals and help to decarbonise the US energy market, according to management.

JSW USA will use these investments to strengthen its domestic manufacturing capabilities, insourcing the production of American-made steel slabs from its Mingo Junction, Ohio facility. This move will also help the local renewable energy market by expanding JSW USA’s service capability in the offshore wind sector.

The Baytown project adds to JSW USA’s previous USD 145 million investment at Mingo Junction to improve its “clean steel” manufacturing processes.

The new projects are planned to be completed and commissioned by fiscal year 2026.

At around 1.37 PM, JSW Steel was trading 0.51% lower at ₹930.55, against the previous close of ₹935.35 on NSE. The counter touched an intraday high and low of ₹940, and ₹927.95, respectively.

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