Essar to produce more for auto industry

Essar to produce more for auto industry

Indian Essar Steel has commissioned its new cold rolling complex to meet automobile industry's demand in India and international markets for 300 grades products. Total steel requirement for auto industry on the West Coast of India is estimated as around 360,000 metric tons of hot rolled sheets, 320,000 metric tons of hot rolled plates and 1.46 million metric tons of cold rolled sheet and coils. Essar hopes to gain a market share of approximately 18 percent and 17 percent respectively in hot rolled and cold rolled auto grade steel pies. Some of the major customers of Essar Steel in the automobile industry are Ashok Leyland, Hyundai, Maruti Udyog, FIAT India, Kalyani Brakes, M&M, Wheels India, Michilen Works, Swaraj Mazda, JCB, CAT and Axles India. Essar's current flat steel production capacity is 3.6 million metric tons per annum and the company is planning to increase it to 4.6 million metric tons per annum through 2006.