JSW Steel Italy to restart production at Piombino

JSW Steel Italy SRL has inked a memorandum of understanding (MoU) with the Italian government, marking a significant step towards the resumption of production at the Piombino plant. The agreement entails a substantial investment of €140 million.

As part of the plan, JSW Steel intends to double the current rail-making capacity at Piombino to 6 lakh tonnes per annum. This expansion aims to curtail imports and bolster local employment opportunities, according to statements from JSW Steel.

The proposed investments are geared towards enhancing the efficiency and modernity of the rail mill. Key features of the project include the installation of a tandem mill, a head-hardening facility, and an extension of rail lengths from 108 to 120 meters.

The MoU underscores the commitment to revitalize steel production, safeguard jobs, and reduce the reliance on steel imports in Italy. It outlines a collaborative period of four months for the execution of the program agreement.

Sajjan Jindal, Chairman of the JSW Group, emphasized the transformative potential of the investment in the Italian steel industry. He expressed confidence that the enhancements to the Piombino Rail mill will position it as the most advanced and technologically superior rail mill in Europe.

Furthermore, the project is expected to bolster domestic steel production, leading to a decrease in steel imports into Italy, Jindal noted.

JSW Steel Italy's journey towards this milestone began in 2018 when it acquired the entire shares of Aferpi S.p.A, Piombino Logistics, and 69.27% of the share capital of GSI Lucchini S.p.A from Cevitaly S.r.l for €55 million.

HBL