VSSL, Aichi Steel Set to Build ₹2,500 Crore Plant in Punjab

Vardhman Special Steels Ltd. (VSSL), in joint venture with Japan’s Aichi Steel Corporation (ASC), will invest ₹2,500 crore in a greenfield special and alloy steel plant in Ludhiana district, Punjab.

The announcement was made by VSSL Vice Chairman and Managing Director Sachit Jain, alongside Punjab Industries and Commerce Minister Sanjeev Arora. With an annual installed capacity of 5 lakh tonnes, the upcoming facility will cater to both domestic and global automotive markets, supporting Punjab’s vision for advanced and sustainable manufacturing.

Minister Arora highlighted that the plant will be based on electric arc furnace (EAF) technology, enabling energy efficiency, low carbon emissions, and clean steel production. The project is expected to generate 1,500 direct jobs, along with substantial indirect employment opportunities.

MD Sachit Jain added that a separate ₹500 crore solar power plant will be developed to support the plant’s energy needs—complementing the ₹2,000 crore dedicated to the steel unit. He emphasized VSSL’s commitment to producing "green steel" using scrap and renewable energy, aligned with India’s net zero targets.

The facility will also incorporate the Toyota Production System (TPS) layout to ensure world-class safety, efficiency, and operational excellence.

News by Rahul Yelligetti.