News: India-based JSW Steel has announced that its new auto steel facility in Karnataka will be commissioned by the end of December 2013, reports Steel Orbis. The company has invested US$1bn into the project, which is expected to have an annual production capacity of 2.3mn tonnes automotive steel once fully operational. Japanese steelmaker JFE Steel is a technology partner for the auto steel plant.
BMI View: Although we expect major roadblocks to remain in place in the steel sector, India is on track to become a steel powerhouse over the coming years. We expect steel output to reach 104mnt (million tonnes) by 2017, growing at a healthy rate of 6.3% per annum. Steel is the gateway to India's urbanisation and we believe the country has considerable potential to become an even more prominent player in the global steel industry.