AM/NS India projects Optigal to dominate 80% of its colour-coated steel portfolio

By Pune Media On Dec 19, 2024 13

ArcelorMittal Nippon Steel (AM/ NS India), a joint venture (JV) between ArcelorMittal and Nippon Steel, anticipates that nearly 80 per cent of its colour-coated product portfolio will consist of Optigal.

According to Ranjan Dhar, Director and Vice-President of Sales and Marketing at AM/NS India, the company has invested approximately ₹60,000 crore in the first phase of its expansion in Hazira and a part of the capex will go towards producing Optigal in the Indian market.

Expanding Optigal in Indian market

Optigal, a roofing, fencing, and cladding product for residential and commercial projects, is patented by ArcelorMittal, one of the parent companies of AM/NS India. Previously available only in international markets, AM/NS began its production in India earlier this year using ArcelorMittal’s Zinc-Aluminium-Magnesium technology.

The product has been launched, starting with Karnataka, reflecting the company’s strategic focus on the region. Elaborating on the significance of Karnataka, Dhar noted, “Karnataka is a crucial market due to the region’s demographic profile, coastal geography, and consumer preference for high-quality, long-lasting materials. Dhar highlighted that the response for Optigal has been encouraging in Karnataka. Building on its growing acceptance, the company anticipates a significant increase in demand and a notable rise in the region’s market share for Optigal over time.

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AM/NS India manufactures around 700,000 tonnes of colour-coated steel annually, with Optigal accounting for approximately 250,000 tonnes. As market adoption increases, the company intends to shift its entire colour-coated steel portfolio to the Optigal substrate. Over the next two to three years, AM/NS India plans to boost its colour-coated steel production capacity to 1.1–1.2 million tonnes.

Beyond colour-coated steel, AM/NS India is scaling its overall production footprint in India from 9 million tonnes to 15 million tonnes by next year.

The company has a crude steel capacity of 9 million tonnes per annum with state-of-the-art downstream facilities.

It produces a fully diversified range of flat steel products, including value-added steel, and has a pellet capacity of 20 million tonnes.

Published on December 19, 2024

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