South Korea-based industrial group POSCO Group announced on August 18 that it signed an initial agreement with India’s JSW Group for the joint construction of a steelworks in India.
The two companies recently signed a “non-binding Heads of Agreement (HoA) for the construction of a steelworks with an annual production capacity of 6 million tons in the world’s most populous country,” the POSCO announcement highlights.
The eastern Indian state of Odisha is being considered as the location for the planned plant, due to its abundant raw materials, including coal and iron ore. The final location will be determined through a study, according to POSCO.
The plant aims to meet the rapidly growing demand for steel in India. Local steel consumption has increased by 9-10% annually over the last three years, reports the Yonhap news agency.
According to the same report, in April, the POSCO Group announced that it plans to invest in the $5.8 billion Hyundai Steel Co. steel project in the US, as part of its strategy to counter Donald Trump’s tariffs on steel imports.
