JSW Steel has entered into a 50:50 joint venture with South Korea’s POSCO Group to set up a 6 million tonnes per annum (MTPA) integrated steel plant in Odisha, marking a renewed push by the Korean major into India’s steel sector after its earlier failed attempt in the state.

JV formalises long-standing partnership

The agreement, signed at the India-Korea Business Forum in New Delhi, formalises a partnership that has been in the works since 2024, when the two companies first signed a memorandum of understanding, followed by a heads of agreement in 2025.

The joint venture will be executed through JSW’s subsidiary, which will become a 50:50 entity between the two partners, subject to regulatory approvals.

6 MTPA greenfield plant with 2031 timeline

The proposed greenfield facility will include steelmaking, hot rolling, and cold rolling/coating processes, and is expected to produce high-grade flat steel products for automotive and other applications. Land for the project has already been secured, and the plant is slated to be operational by 2031.

The venture will also leverage POSCO’s existing 1.8 MTPA downstream unit in Pune to drive operational and product synergies.

The development marks POSCO’s return to Odisha more than a decade after it shelved a proposed $12 billion steel project in the state due to land acquisition and regulatory challenges.

The new partnership provides the Korean steelmaker with a local execution partner and a strategic foothold in India’s fast-growing steel market.

Focus on technology, cost leadership

JSW Steel said the venture would combine its execution capabilities with POSCO’s advanced steelmaking technology. “The partnership will ensure alignment of our vision and commitment, while leveraging POSCO’s technological expertise and JSW’s strengths in project execution and cost leadership,” said Jayant Acharya, joint managing director and CEO, JSW Steel.

“Through this joint venture, we will do our utmost to combine POSCO's innovative steel technology with JSW Group's strong local competitiveness,” said Lee Hee-geun, president, POSCO .

The move comes amid rising steel demand in India, driven by infrastructure and manufacturing growth, prompting global players to deepen partnerships in the country.