ArcelorMittal Nippon Steel India to begin ₹70,000 crore Andhra Pradesh steel plant next week

Summary

ArcelorMittal Nippon Steel India (AM/NS India) will start construction on its largest greenfield steel plant in Andhra Pradesh, with a first-phase investment of ₹70,000 crore and 8.2 million tonnes per annum capacity. Initial production units are expected by 2028–29, with near-full commissioning by 2030.

VISAKHAPATNAM, March 19, 2026 — ArcelorMittal Nippon Steel India (AM/NS India), a joint venture between ArcelorMittal and Nippon Steel, will commence construction next week on its proposed integrated steel plant near Visakhapatnam, Andhra Pradesh, marking India’s largest greenfield steel investment.

The first phase of the project involves an investment of ₹70,000 crore to build an 8.2 million tonnes per annum (MTPA) steel production facility. The Andhra Pradesh government has allocated around 2,200 acres for the plant and facilitated regulatory approvals and infrastructure support to accelerate construction.

Project details

The plant will include upstream and downstream facilities, supporting ancillary industries and strengthening the steel manufacturing value chain. Phase I will focus on flat steel and downstream products, aimed at import substitution and serving eastern and southern markets.

Officials said initial production units are expected to begin operations by late 2028 or early 2029, with near-full commissioning targeted by 2030. The project also includes infrastructure for raw material transport, including approximately 267 km of slurry pipelines in collaboration with NMDC Ltd for iron ore movement.

Strategic expansion

The Andhra Pradesh facility forms part of AM/NS India’s broader growth strategy, which also includes capacity expansion at its Hazira plant in Gujarat and plans for an integrated steel plant in Odisha. The company aims to support India’s domestic steel demand while strengthening the local manufacturing ecosystem and creating employment opportunities.

Why this matters

• Industrial capacity: Phase I adds significant integrated steelmaking capacity to India’s eastern corridor.
• Regional development: The project is expected to deepen industrialisation near Visakhapatnam and create jobs.
• Steel sector growth: Increased domestic production aligns with national objectives to reduce reliance on imports and boost high-grade steel output.

FAQs

Q1. Where is the plant being built?

Near Visakhapatnam, Andhra Pradesh, on approximately 2,200 acres of land.

Q2. What is the investment and capacity?

₹70,000 crore for the first phase, with 8.2 MTPA steel production capacity.

Q3. When will the plant start operations?

Initial units are expected by late 2028 or early 2029, with near-full commissioning by 2030.

Q4. What products will the plant focus on?

Flat steel and downstream products, aimed at import substitution.

Q5. Who is involved in the project?

The joint venture is between ArcelorMittal and Nippon Steel, with NMDC Ltd assisting in iron ore transport.