JSW Steel Eyes 10% Volume Growth In FY26 On Strong Demand, Operational Efficiency

JSW Steel Ltd. has an optimistic outlook for fiscal 2026, eyeing a 10% growth in volumes, supported by notable margin improvements driven by operational efficiencies, according to Chief Executive Officer Jayant Acharya.

"Last year, exports from China were among the highest. So, the safeguard duty levied by the government was very helpful," he told NDTV Profit in a conversation on Monday. "Rest of the world has also responded with increased tariffs. So, we see Q1 showing an improved pricing compared to Q4FY25."

Better pricing, lower coking coal costs and improved operational efficiencies from subsidiary JSW Vijayanagar Metallics Ltd. will be very positive for margins in the coming quarter, Acharya explained.

Continued strong demand for steel, supported by sustained economic activity within the country and easing external challenges, will aid the growth, he assured.

On the domestic opportunities, the CEO is quite positive because disruptions from last year, such as elections and weather issues, are behind. "We expect a smoother flow of capex throughout the year. Private capex is also reviving and we also see international companies looking to build facilities in India," he said.

The CEO also highlighted that US President Donald Trump’s tariff threats were easing, alongside more balance and a cooling off from various geopolitical areas, such as the Russia-Ukraine war.

Acharya said that JSW Steel remains on track for its 2031 expansion targets and the BPSL issue does not derail this plan. The matter refers to JSW Steel's acquisition of Bhushan Power and Steel Ltd., which has been embroiled in a prolonged legal battle.

"Regarding BPSL, we have strong grounds for legal remedies and we will pursue them. The FY26 volume guidance certainly assumes part of the BPSL operations as we see the situation today," he said.

"As far as greenfield opportunities are concerned, we have two main options: Odisha and Maharashtra. They have several advantages, and we are definitely exploring them," he explained.