AM/NS India launches 2 MT auto steel line at Gujarat plant

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AM/NS India launches 2 MT auto steel line at Gujarat plant

Synopsis

AM/NS India has commissioned a 2 million tonne automotive steel line at Hazira — India's answer to its chronic dependence on imported high-grade steel. With ₹60,000 crore being invested and domestic automotive steel demand set to grow 7% annually, this facility could reshape how Indian automakers source their most critical raw material.

Key Takeaways

AM/NS India inaugurated a Pickling Line and Tandem Cold Mill (PLTCM) at its Hazira, Gujarat plant on 30 April 2025 .
The facility has a capacity of 2 million tonnes per annum and will produce Advanced High Strength Steel (AHSS) for the automotive sector.
The inauguration was performed by Japan's Ambassador to India, Keiichi Ono , underlining the India-Japan industrial partnership.
The line is part of AM/NS India's ₹60,000 crore expansion programme at Hazira.
India's automotive flat steel demand stands at 7.8 MTPA and is projected to grow at up to 7% annually .
CEO Dilip Oommen retires on 30 June 2025 ; CFO Amit Harlalka takes over as CEO from 1 July 2025 .

ArcelorMittal Nippon Steel India (AM/NS India) on Thursday, 30 April 2025, inaugurated a state-of-the-art automotive steel production line at its Hazira plant in Gujarat, marking a significant step toward reducing India's import dependence on high-grade steel and advancing the Atmanirbhar Bharat initiative. The new facility, with a capacity of 2 million tonnes per annum (MTPA), was inaugurated by Japan's Ambassador to India, Keiichi Ono.

What the New Facility Offers

The newly commissioned Pickling Line and Tandem Cold Mill (PLTCM) is designed to produce high-quality cold-rolled steel and advanced automotive-grade products for the domestic market. The line is equipped to manufacture Advanced High Strength Steel (AHSS) — a critical material used in modern vehicle manufacturing for enhanced safety and weight reduction.

The facility incorporates advanced automation, globally benchmarked quality systems, and caters to a wide range of applications including galvanised, galvannealed, and press-hardened steel used in contemporary vehicles. This positions AM/NS India to serve original equipment manufacturers (OEMs) seeking domestically sourced, high-specification steel.

Part of a ₹60,000 Crore Expansion

The PLTCM commissioning is a component of AM/NS India's ongoing ₹60,000 crore expansion programme at its Hazira integrated steel complex in Gujarat. The broader programme aims to strengthen both upstream and downstream capabilities, scaling the plant's overall output and product portfolio significantly.

This is one of the largest private-sector steel investment programmes currently underway in India, and analysts note it aligns with the Centre's broader push to raise domestic steel production capacity ahead of infrastructure and manufacturing demand cycles.

India-Japan Industrial Cooperation

Speaking at the inauguration, Ambassador Keiichi Ono said the project reflects deepening industrial cooperation between India and Japan, describing it as a combination of Japanese technology with India's manufacturing capabilities under the 'Make in India, Make for the World' vision. The joint venture between ArcelorMittal and Nippon Steel — two of the world's largest steelmakers — underpins the technological edge of the new line.

What the CEO Said

AM/NS India CEO Dilip Oommen said the new line would support import substitution, enhance supply chain resilience, and help the automotive sector transition towards safer, lighter, and more sustainable mobility solutions. Notably, Oommen is set to retire on 30 June 2025 and will continue as a board member, while CFO Amit Harlalka is slated to take over as CEO from 1 July 2025.

Growing Demand for Automotive Steel in India

India's demand for high-quality automotive flat steel is currently estimated at around 7.8 million tonnes per annum and is projected to grow at up to 7% annually, driven by rising vehicle production and increasing adoption of advanced materials. The new PLTCM line directly addresses a structural gap in domestic supply, where premium automotive steel grades have historically been sourced through imports.

With vehicle electrification accelerating and automakers increasingly specifying lighter, stronger steel grades, domestic production of AHSS is expected to become a competitive differentiator for Indian steelmakers in the years ahead.

Point of View

000 crore expansion signals that AM/NS India is betting heavily on India's vehicle production growth, but the real test will be whether domestic OEMs shift sourcing away from established import channels. With EV adoption accelerating and lightweighting mandates tightening globally, AHSS demand is structural — the question is execution speed and quality consistency at scale.
NationPress
1 May 2026

Frequently Asked Questions

What is the new AM/NS India automotive steel facility in Gujarat?
It is a Pickling Line and Tandem Cold Mill (PLTCM) inaugurated on 30 April 2025 at AM/NS India's Hazira plant in Gujarat, with a capacity of 2 million tonnes per annum. The line is designed to produce Advanced High Strength Steel (AHSS) and other cold-rolled automotive steel grades for the domestic market.
Why is the AM/NS India PLTCM significant for India's automotive sector?
India currently imports a significant share of its premium automotive flat steel, estimated at 7.8 million tonnes per annum in demand. The new line enables domestic production of AHSS, reducing import dependence and supporting supply chain resilience for Indian automakers.
What is the ₹60,000 crore expansion programme at Hazira?
It is an ongoing large-scale investment by AM/NS India to expand both upstream and downstream steel production capabilities at its integrated Hazira complex in Gujarat. The PLTCM is one of the key milestones within this broader expansion.
Who will lead AM/NS India after CEO Dilip Oommen retires?
CFO Amit Harlalka will take over as CEO of AM/NS India from 1 July 2025, following the retirement of Dilip Oommen on 30 June 2025. Oommen will continue as a board member after his retirement.
How fast is India's automotive steel demand growing?
India's demand for high-quality automotive flat steel is projected to grow at up to 7% annually, driven by rising vehicle production and increasing adoption of advanced materials such as AHSS in modern vehicles.
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