JSW Steel has commenced the development activities for a 2 million tonnes integrated steel project in the Rayalaseema region of Andhra Pradesh. The project will leverage advanced EAF technology, recycled scrap metal and high-grade Direct Reduced Iron (DRI) to manufacture state-of-the-art structural steel.
Jul 15, 2026
JSW Steel has commenced the development activities for its integrated steel project in the Rayalaseema region of Andhra Pradesh. The project commencement ceremony was graced by the Hon’ble Chief Minister of Andhra Pradesh, Shri N. Chandrababu Naidu, senior members of the State Government, public representatives, local stakeholders and JSW leadership led by Mr. Sajjan Jindal, Chairman & Managing Director, JSW Group.
The project aims to set up a 2 million tonnes steel plant by JSW Rayalaseema Steel Ltd, a 100% subsidiary of JSW Steel Ltd., in a phased manner. The 1st phase of the project, with a planned investment of INR 4,500 crore, would be for setting up a 1-MTPA integrated steel plant that will manufacture low carbon steel products. The 2nd phase, with an additional planned investment of up to INR 11,850 crore, will expand the plant’s capacity to 2 MTPA, taking the total project investment up to INR 16,350 crore. The project will leverage advanced EAF technology, recycled scrap and high-grade Direct Reduced Iron (DRI) as raw material inputs, to manufacture state-of-the-art structural steel. This structural steel will be used in high demands stemming from the rise in urbanisation and infrastructure growth in Andhra Pradesh and India.
Mr. Sajjan Jindal, Chairman & Managing Director, JSW Group, said: “The commencement of the Rayalaseema Steel Project reflects JSW’s confidence in Andhra Pradesh’s long-term industrial and economic potential. Under the leadership of Hon’ble Chief Minister Shri N. Chandrababu Naidu Ji, the state is creating a strong ecosystem for manufacturing, infrastructure and investment-led growth. We are proud to partner in this journey and contribute towards building globally competitive industrial capabilities in the region.”
Mr. Jayant Acharya, Joint Managing Director & CEO, JSW Steel, said: “India is entering a significant phase of manufacturing and infrastructure expansion, and Andhra Pradesh is at the forefront of this growth. Steel will remain a critical enabler of this growth. The project aligns with our long-term strategy of building future-ready manufacturing assets while supporting regional industrial development. We believe the project will play an important role in strengthening domestic steelmaking capabilities and supporting the region’s growth ambitions.”
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The Rayalaseema steel project is expected to catalyse the development of ancillary industries, logistics infrastructure, and broader economic activity across the Rayalaseema region. Once developed, it will further strengthen Andhra Pradesh’s industrial ecosystem and contribute to the state’s vision of attracting large-scale investments across manufacturing sectors.
