Washington D.C. [United States], June 23 (ANI): India's steel company JSW Steel has announced plans to invest up to USD 500 million in acquiring, enhancing and upgrading the US-based integrated steel manufacturing unit Acero Junction Inc in Ohio.
The JSW Steel, in a statement said the proposed investment will be made in two phases.
"In Phase 1, JSW will revamp and restart the electric arc furnace and the slab caster, and modernize the hot strip mill. The proposed investment including the cost of acquisition,is expected to be approximately US$250 million," the statement issued on Friday said.
"In Phase 2, depending upon the economic viability and prevailing market conditions, JSW will evaluate the possibility of adding another electric arc furnace as well as additional manufacturing equipment at the hot strip mill to make the Ohio facility a fully integrated unit with 3 MTPA capacity. The proposed investment in Phase 2 could be in the range of upto US$250 million, subject to feasibility studies and necessary approvals," the statement added.
The project is likely to generate an estimated 300 permanent jobs in a town of just 3,400 people.
The announcements come at a time when the global steel industry is combating with import tariffs imposed by the Trump administration in the United States.
US President Donald Trump took to Twitter and wrote, "Steel is coming back fast! U.S. Steel is adding great capacity also. So are others."
Steel is coming back fast! U.S. Steel is adding great capacity also. So are others. https://t.co/0Pzwjg3Vxn— Donald J. Trump (@realDonaldTrump) June 23, 2018
JSW Steel is a part of the diversified US$ 13 billion JSW Group, which has a presence in Steel, Energy, Infrastructure, Cement, Ventures and Sports. JSW Steel is a "leading" integrated steel company in India. JSW Steel (USA) Inc is a subsidiary of JSW Steel Ltd.
Meanwhile, JSW Steel has denied that it is in race to acquire assets being auctioned by ArcelorMittal, the world's largest steel company.
"Contrary to media reports, the JSW Group is not currently inclined to bid for any assets, which are being disinvested by the Arcelor Mittal Group, globally," the group tweeted. (ANI)