Athira Sethu
Kochi, 18 August 2025
India’s JSW Steel and South Korea’s POSCO Group are going to construct a mega steel factory jointly in India. This steel factory will have a capacity to produce six million tonnes of steel annually.
The two companies recently signed an agreement called a “Heads of Agreement” (HoA). This agreement is not final yet, but it shows that both companies are interested in working together. They plan to set up this plant as equal partners, meaning each company will own 50% of the project.
This new HoA is based on a previous Memorandum of Understanding (MoU) that was signed in October 2024. This new agreement outlines how the two firms will collaborate.
This agreement was signed in Mumbai. Senior representatives from both firms attended. These include Lee Ju-tae, President of POSCO Holdings, and Jayant Acharya, CEO and Joint Managing Director, JSW Steel.
Jayant Acharya added that this collaboration will be extremely beneficial. He added that JSW Steel is experienced in handling big projects in India and POSCO excels at applying new technologies for making steel. He added that this new project will assist India’s mission of “Atmanirbhar Bharat”, which is to make India self-dependent. The steel produced at this factory will be utilized within India and can also be exported to other nations.
Lee Ju-tae of POSCO stated that India is highly important for the future of steelmaking in the world. He stated that POSCO is confident in JSW, and the two of them share the same long-term vision. He further stated that the project demonstrates POSCO’s firm commitment to assisting India in developing its industries, and that this will bring value to both firms in the long run.
POSCO is one of South Korea’s leading industrial firms. It is famous globally for producing superior quality steel. It is also involved in other domains such as battery materials, construction, and energy. POSCO produces large steel complexes in Pohang and Gwangyang, both of which can produce up to 42 million tonnes of steel annually.