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JSW Steel output grew by 5% to 7.27 million tons in the second quarter; Indian operations increased by 5%
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Business Standard
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JSW Steel output grew by 5% to 7.27 million tons in the second quarter; Indian operations increased by 5%

JSW Steel reported on Thursday that its consolidated crude steel production increased by 5 percent, reaching 7.27 million tonnes (MT) in the second quarter of the current fiscal year. Compared to the same period last year, the company's crude steel production volume was 6.95 MT.

Production at the company's Indian facilities grew by 5% year-on-year in the second quarter, amounting to 7.07 million tonnes. In regulatory filings submitted to BSE, the company indicated that the capacity utilization rate at Indian plants reached 88% in the quarter from July to September 2027 fiscal year. This figure improved to approximately 90% in September 2026, as the blast furnace No. 3 at the Vijayanagar plant gradually ramped up output after being shut down for capacity modernization.

Furthermore, in the first half of the current fiscal year, the company's consolidated production increased by 4%, reaching 13.86 MT compared to 13.32 MT the previous year.

JSW Steel is the flagship business of the diversified JSW group, valued at $25 billion. Over the last three decades, JSW Steel has transformed from a production unit into India's leading integrated steel company, possessing a total crude steel production capacity of 37.9 MT per year. The next phase of growth is planned to increase the company's total capacity to 54.8 MT per year over the next four years.

The company's plant in Vijayanagar, Karnataka, is the largest single-site steel manufacturing facility in India, with a current capacity of 19.5 MT per year, and its expansion is planned to reach 25 MT per year by the 2030 fiscal year.

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India's Manufacturing PMI rose to 55.1 in September, reaching a seven-month high
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business-standard.com

India's Manufacturing PMI rose to 55.1 in September, reaching a seven-month high

According to a private survey, India's manufacturing sector showed sharp expansion in September, concluding a three-month period of slowdown. This growth was driven by strong demand, which provided the fastest increase in factory activity in seven months, contributed to job recovery, and boosted business confidence.

HSBC's manufacturing Purchasing Managers' Index (PMI) for India, compiled by S&P Global, increased to 55.1 in September, up from a five-year low of 52.8 in August. However, this figure was below the preliminary estimate of 55.7 but marked the highest level since February.

A PMI reading above 50.0 signals economic activity growth. The survey noted that new orders grew the fastest since February, supported by increased demand for products in the electronics, food, pharmaceutical, and textile sectors. Export orders also accelerated as manufacturers recorded growing interest from clients in Brazil, Europe, the UAE, and the US.

Output sharply increased, with its expansion rate accelerating to the highest level since May, supported by both new business orders and high demand. Pranjul Bhandari, Chief Economist at HSBC India, stated that companies were purchasing more raw materials and building up inventories in anticipation of future sales, and finished goods inventory saw the second-largest growth in nearly 12 years, indicating a clear shift away from lower stock levels.

The hiring process resumed due to growing demand. Employment increased at the fastest pace since May, recovering after a direct decline in August—the first drop in factory jobs in two and a half years. Furthermore, business confidence in September reached a four-month high, supported by new inquiries and expectations of sustained demand.

However, price pressures also rose: raw material cost inflation grew faster than in August, caused by rising prices for electronic components, pharmaceuticals, and steel. Meanwhile, inflation rates remained below the long-term average. Retail prices also rose compared to August, although the growth rates were moderate and also below the trend.

Inflation continued to exceed the Reserve Bank of India's (RBI) target of 4 percent for the third consecutive month in August, linked to a sharp increase in energy and food costs. To combat rising inflation, the RBI is expected to raise interest rates by a total of 50 basis points this year, bringing them to 5.75 percent.

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