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Vardhman Special Steels to set up new greenfield steel plant in Punjab

Vardhman Special Steels Limited, one of India's leading specialty steel producers, has announced plans to set up a new 500,000 tons per annum greenfield steel plant in the state of Punjab. With a capital investment of 20 billion rupees (about 235 million dollars), the plant will include billet production as well as an integrated rolling mill and testing infrastructure. The project is expected to be commissioned in the fiscal year 2029-30.

Vardhman Special Steels to set up new greenfield steel plant in Punjab

Sachit Jain, Vice President and Managing Director of the company, stated, "We are excited to announce the installation of our new greenfield facility, which is an important step towards positioning Vardhman Special Steels for its next phase of growth. This expansion will enhance our ability to meet future demand, deliver better cost efficiencies and align with global sustainability trends,"

The investment plan aims to address projected capacity shortfalls beyond 2028, meet evolving OEM quality standards, align with green steel and circular economy principles, and expand into new product segments such as wire rods, forgings and non-automotive applications.

In the fourth quarter of FY2025, the company reported revenues of 4.28 billion (about 50 milllion dollars) rupees and net profit of 197.3 million rupees (about 2 million dollars), increasing sales volumes by 3.29% to 53,834 tons despite a 14-day rolling mill closure. Sachit Jain commented on the quarter as follows:

"In Q4 FY2025, we delivered volume growth despite operational challenges, but higher than expected price cuts impacted our profitability. We continue to focus on improving operational efficiency and sustainable growth. With the successful commissioning of the Kocks Block, we expect an increase in productivity in the coming quarters."

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