Jindal Expands Global Footprint with Steely Ambitions.

Billionaire businessman Naveen Jindal, chairman of Jindal Steel and Power Ltd, is aggressively expanding his steel and alloy empire overseas while strengthening his power ventures in India. His latest move involves a bidding war against Azerbaijan-backed Baku Steel for control of Italy’s leading alloy manufacturer, Acciaierie d’Italia. If successful, this acquisition will further consolidate Jindal’s presence across India, West Asia, Africa, and Europe.

Jindal’s international footprint has been growing rapidly. Earlier this year, he acquired Vitkovice Steel, a 750,000-tonne-per-annum downstream steel processing mill in the Czech Republic. In India, he is finalizing the acquisition of the Bhadreshwar Vidyut power plant in Gujarat for ₹500 crore. Additionally, he has announced a foray into nuclear power with Jindal Nuclear Power Pvt Ltd, aiming to build 18 GWe of nuclear capacity over the next two decades at an estimated $21 billion investment.

The bid for Acciaierie d’Italia is being pursued through Jindal Steel (International), a privately owned promoter entity. Sources indicate that Jindal has made a revised offer of €2-3 billion (₹18,000-27,000 crore), currently outbidding Baku Steel. The Italian government is expected to begin discussions soon. Jindal’s proposal includes an electric arc furnace setup, while Baku is offering cheaper gas supplies, leveraging Azerbaijan’s role as a major gas exporter to Italy.

Acciaierie d’Italia, once a 12 mtpa steel producer, is currently operating at just 2.5-3 mtpa due to financial constraints. The plan is to increase capacity to 7 mtpa. The Italian steelmaker employs around 9,000 workers, and both bidders have proposed job cuts as part of their restructuring plans.

European Expansion Amid Policy Shifts

Jindal’s recent European acquisitions come at a crucial time, with the EU’s Carbon Border Adjustment Mechanism (CBAM) set to take effect in 2026. The new tariff will impose carbon fees on imports like steel and aluminum, making emissions-intensive steel more expensive. Additionally, proposed U.S. tariffs on European alloys add further uncertainty, impacting Indian steel exports to these markets. Acquiring European assets allows Jindal to navigate these regulatory challenges while gaining access to premium value-added steel products.

Beyond Europe, Jindal is exploring opportunities in Venezuela’s largest iron ore complex, a project he has led since late 2023.

Expanding International Presence

Jindal’s global investments extend beyond steel. His private entities are seeing profitability with manageable debt levels. In Africa, Vulcan Minerals operates a coal mine in Mozambique—acquired from Brazil’s Vale in 2021 for $270 million—which supplies coking coal to JSPL and other steelmakers. Jindal’s mining operations contribute 18% of Mozambique’s GDP.

Additionally, Jindal is working to operationalize an iron ore mine in Cameroon to support Vulcan Steel, a 2 mtpa facility in Oman that was acquired for $1 billion. Meanwhile, Vulcan Green Steel is building a 5 mtpa low-carbon steel plant in Oman, set to begin operations in 2027 in partnership with Volkswagen Group.

Strengthening Power Ventures

Jindal’s power sector ambitions are also growing. In Oman, his Duqm plant will initially use natural gas before transitioning to green energy to cut emissions by 70%. The plant is expected to come online in 2026.

In India, Jindal Power operates plants in Raigarh (3,400 MW) and Nellore (600 MW), and the Bhadreshwar Vidyut acquisition will add 300 MW. Internationally, Jindal is setting up a 300 MW thermal power project in Botswana. Additionally, Jindal Renewables (JRPL) is developing nearly 3 GW of renewable energy assets in India, with plans to expand to 12 GW and become a leading decarbonization solutions provider by 2030.

Jindal’s aggressive global and domestic expansion positions him as a key player in the steel and power sectors, navigating regulatory shifts while capitalizing on new opportunities.

HBL