JSW heads on Tata steel in the race of domestic production

NEW DELHI (Scrap Monster): Tata Steel is now placed in the third position according to the demand in the domestic steel market of India, right in the back of JSW Steel, which acquired the  second position in the home market, during the Tata Steel acquisition of Corus in Europe, in the year 2007.

During the September Quarter of the financial year, the company produced 2.11 million tonnes of copper and distributed it into the market, competing against the 2.93 million tonnes of steel produced by SAIL, and the 3.02 million tonnes of steel produced by JSW.

Even in the integrated aspect, the company is  too weak to compete against JSW, and the scale of its power on JSW has been shrinking lately due to the declining capital expenditure in its home, India, and slower growth of Business in Europe.

The acquisition of Corus Group in Europe, had made the company the world’s 6^th largest steel producer, whose annual production used to be 10 times larger than that of JSW. But the situation has changed now, making the global production of the company, a little more than twice of JSW. And the production gap betwwen the two companies, is slowly declining as JSW has been expanding its production through  acquisitions and organic capex.