Japan’s Aichi Steel Corporation has increased its equity stake in India’s Vardhman Special Steel Limited (VSSL) from 11.33% to 24.90%, reinforcing its commitment to high-quality special steel and green steel development in India. The agreement, announced on June 4, aims to enhance collaboration between the two companies and support VSSL’s upcoming expansion.
VSSL is currently constructing a new facility with a production capacity of 500,000 metric tons of special steel, primarily catering to the automobile sector. The project, backed by technical and financial support from Aichi Steel, involves an investment of INR 20 billion ($233 million). The facility will integrate advanced Japanese processes and technology to ensure high-quality output.
The partnership aligns with Aichi Steel’s broader strategy to strengthen its presence in India and the ASEAN markets. The new mill is expected to boost production efficiency and sustainability, contributing to the global shift toward green steel. Industry experts anticipate that this collaboration will enhance India’s position in the special steel segment, providing advanced materials for automotive and engineering applications. The expansion marks a significant milestone in the growing cooperation between Indian and Japanese steel manufacturers.
