The India investment plans are mainly centered around its flagship Kalinganagar steel complex in the state of Odisha.
SEATTLE (Scrap Monster): Tata Steel announced capital expenditure plans totalling INR 12,000 crore, primarily targeting its India and Europe operations during the current financial year. The steelmaker plans to invest INR 8,500 crore in India operations and the remaining INR 3,500 crore in its Europe operations, said T.V. Narendran, CEO and Managing Director, Tata Steel.
The India investment plans are mainly centered around its flagship Kalinganagar steel complex in the state of Odisha. The proposed investment will be utilized towards expansion of the project and mining activities. It must be noted that the company is in the process of executing its earlier announced expansion of the Kalinganagar plant capacity to 8 MT from current levels of 3 MT.
Apart from the above, Tata Steel will spend nearly INR 12,000 crore towards inorganic growth projects in India and and towards acquisition of NINL assets.
In Europe, the focus will be on sustenance, product mix enrichment and environment-related capital expenditure projects.
The initial half of the financial year witnessed disruptions due to the Russia-Ukraine crisis, Covid-related shutdowns in China and imposition of steel export duty in India. However, Tata Steel expects the second half to be more positive than the first half, aided by Chinese recovery and strong steel demand in India.
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