India expects a joint venture between state-owned Steel Authority of India Limited (SAIL) and ArcelorMittal to start producing automotive-grade steel in two years, a government official said on Tuesday.
Officials from the two companies are due to meet on Thursday to take forward talks about a proposed 60 billion rupee ($902 million) plant that will produce 1.2 million tonnes of steel per year to begin with, Steel Secretary Aruna Sharma told Reuters. SAIL and ArcelorMittal, the world’s largest steel producer, signed a preliminary agreement in May last year to expand in what is one of the world’s fastest growing steel markets and a major car exporter. “In another two years it should be in the manufacturing stage, provided we freeze everything within one and a half months and in December we take off,” Sharma said. “We will go more for import replacements. We have solutions for it.”