In a significant boost to Punjab’s industrial landscape and a move towards sustainable manufacturing, Vardhman Special Steels Limited (VSSL) has announced a joint venture with Japan’s Aichi Steel Corporation (ASC) to establish a greenfield special and alloy steel plant in Ludhiana. The project, with a planned investment of ₹2,000 crore, was officially announced by Cabinet Minister Sanjeev Arora on Thursday.
The new plant is expected to have an installed capacity of 5 lakh tonnes per annum of alloy & special steel, which will cater to the high-demand domestic and global automotive sectors. This strategic partnership with a major Japanese firm highlights growing international confidence in Punjab’s business environment and its potential as a manufacturing hub.
According to Minister Arora, the project is not just about capital investment but also about creating a sustainable future. He noted that in addition to the primary plant, an extra ₹500 crore will be invested in setting up a solar power plant. This initiative aligns with the global shift towards renewable energy and cleaner industrial practices.
Sachit Jain, the Vice-Chairman and Managing Director of VSSL, emphasized the project’s focus on environmental responsibility. “Our focus would be on producing green steel through melting of steel scrap by using energy-efficient technologies,” Jain stated. This approach will significantly reduce the carbon footprint compared to traditional steel production methods, positioning the plant as a leader in eco-friendly manufacturing.
The project is poised to have a substantial positive impact on the local economy. The Minister confirmed that the plant would provide direct employment to over 1,500 persons, offering skilled and semi-skilled jobs to the local workforce. This injection of jobs is a welcome development for the region, strengthening its economic foundation. The collaboration between VSSL and ASC is a testament to the state government’s efforts to attract high-value, sustainable industries and promote foreign direct investment, thereby solidifying Punjab’s position as a key industrial state in India.