India’s JSW Steel reported consolidated steel output of 2.4 million tonnes in July 2026, up 3% year on year. Output at its Indian plants rose by 4% y/y to 2.34 million tonnes, with capacity utilisation at 87%, while JSW Steel USA produced 0.06 million tonnes, up 13% y/y. The company said that No. 3 blast furnace at its Vijayanagar plant, restarted on 23 June, is currently operating at more than 80% of rated capacity. It also plans to increase total steelmaking capacity from 37.9 million tonnes per year to 54.8 million tonnes over the next four years.

JSW Steel’s consolidated crude steel production rose 3% year on year to 2.402 million tonnes in July 2026, while output from its Indian operations increased 4% to 2.339 million tonnes. Capacity utilisation at its Indian operations stood at 87%. The company said the upgraded Blast Furnace No. 3 at its Vijayanagar plant, restarted on June 23, was operating at more than 80% of its rated capacity.

The European Commission has proposed definitive anti-dumping duties of 5.6-28% on certain cold-rolled coil (CRC) imports from India, Japan, Taiwan, Turkiye and Vietnam, concluding that dumped imports caused material injury to EU producers. Indian exporters including JSW Steel and Tata Steel India are likely to face a 9.5% duty, while Japanese suppliers could face the highest rate at 28% and Taiwan’s China Steel and Chung Hung Steel may face 20.7%. Vietnamese exporters including POSCO Vietnam, China Steel & Nippon Steel Vietnam and Hoa Sen Group are proposed to face a 16% duty. The proposed measures follow an investigation covering July 2024-June 2025, during which imports from the five countries rose 28% from 2022 to about 1.69 million mt, with their combined share of the EU free market increasing to 23% from 16%. The Commission said lower-priced imports pressured EU producers’ prices, market share and profitability. The duties are expected to apply only after the final regulation enters into force, with no retroactive collection. If adopted, the measures could further restrict CRC flows into the EU and reshape sourcing patterns, particularly alongside existing safeguard quotas and other trade barriers.

JSW Steel's Rayalaseema integrated steel plant in Kadapa district, Andhra Pradesh, officially entered construction on July 3, 2026. The ~163.5 billion INR ($1.96 billion) project, developed by wholly-owned subsidiary JSW Rayalaseema Steel, will be built in two phases: Phase 1 invests 45 billion INR ($540 million) for 1 Mt/y of low-carbon steel capacity; Phase 2 adds 118.5 billion INR ($1.42 billion) to reach 2 Mt/y, with commercial production targeted by March 2028. The plant will use EAF technology powered by renewable energy, backed by a 3,850 MW captive solar and wind power project worth 203.5 billion INR ($2.44 billion). Andhra Pradesh CM N. Chandrababu Naidu and JSW Group Chairman Sajjan Jindal attended the launch ceremony.

I. India’s JSW Steel to Invest in a New 600,000 Tons/Year High-Grade Non-Oriented Silicon Steel Project JSW Steel is India’s largest private steelmaker. It has recently been aggressively expanding its silicon steel capacity to back India’s industrial development roadmap. The roadmap targets doubling India’s national steel production capacity by 2030, and this capacity expansion by JSW is a key initiative in response to the national industrial plan. To be located at JSW Steel’s Vijayanagar plant in Toranagallu, the project will produce non-oriented electrical steel, widely deployed in new energy vehicle motors and general-purpose electric motors. The project entails the design and construction of three silicon steel processing lines: 1 normalizing and pickling line (APL) with an annual capacity of 600,000 tons; 2 annealing and coating lines (ACL), each with an annual capacity of 270,000 tons. II. China Faces Overcapacity in Non-Oriented Silicon Steel, with Nearly 10 Million Tons of New Capacity Yet to Be Commissioned Source: Publicly Available Data In terms of production capacity, the total capacity of the non-oriented silicon steel industry is projected to reach 25.09 million tons in 2026, marking the end of the rapid capacity expansion cycle spanning 2020 to 2026. Capacity growth will slow down starting from 2026, with a modest and steady annual growth rate of only 6% forecast for 2027 through 2030. From the perspective of product mix, a substantial grade upgrade has been realized for commissioned non-oriented silicon steel capacities as of June 2026. In sharp contrast to the low-end product structure in mid-2020 when medium and low grades accounted for 79%, their proportion dropped to 47% in 2026, while the share of high-grade products rose to 30%. More notably, the capacity proportion of new-energy-specific grades applicable to new energy vehicles, wind power and other sectors surged from 8% to 22%. This fully demonstrates the landmark transformation of the non-oriented silicon steel industry, featuring a shift in capacity growth momentum, premium product upgrading and structural iteration toward exclusive grades for new energy applications. Source: Publicly Available Data Pipeline Capacity to Be Commissioned According to public statistics, the pending-to-launch capacity of non-oriented electrical steel totals approximately 9.4 million tons, scheduled to come online mainly from the second half of 2026 to 2027. All projects set for commissioning in 2026 produce high-grade and new-energy-specific premium grades, located in North China (Tianjin), East China (Jiangsu, Zhejiang, Jiangxi), and South China (Fujian, Guangxi). Most adopt the semi-process production route, with deployment by both state-owned and private enterprises. 2027 will also be a peak year for capacity release, with massive incremental capacity rolled out across North, East and South China. While high-grade and new-energy-focused capacity will continue to be launched, a small volume of supplementary medium-and-low-grade capacity will also be added. Large-scale 1-million-ton-level new-energy-grade projects will emerge in Hebei, Jiangsu and other regions, accompanied by an increased share of full-process capacity, with private capital acting as the primary driving force for capacity expansion. Regionally, East China and North China serve as the core areas for new capacity rollout. Production is dominated by the semi-process route, and the product mix is overwhelmingly composed of high-grade and new-energy-exclusive grades tailored for new energy vehicle motors and high-efficiency motors. China has basically completed the structural transformation of its non-oriented electrical steel capacity, which can fully meet domestic market demand. Nevertheless, nearly 10 million tons of new capacity are still pending commissioning, which will further loosen the supply side of domestic non-oriented electrical steel. III. Conclusion China’s non-oriented electrical steel sector is currently undergoing intensive capacity expansion, with a large batch of planned high-end capacities being put into concentrated operation. The industry is already facing prominent overcapacity pressure, and the market expects overseas exports to digest part of surplus output and ease the domestic supply-demand imbalance. However, market access barriers and surging overseas local supply have greatly undermined the feasibility of export-driven absorption: To shield their domestic steel industries, multiple overseas economies have frequently launched anti-dumping and countervailing (AD/CVD) trade investigations targeting Chinese non-oriented electrical steel. They have drastically lifted market entry costs for Chinese products through hefty punitive tariffs and Technical Barriers to Trade (TBT), directly obstructing export shipments. Foreign steelmakers have accelerated localized capacity deployment in parallel. Relying on local policy incentives and low energy costs, they have built new non-oriented electrical steel production lines to progressively achieve self-sufficiency in high-end silicon steel. This not only reduces their reliance on Chinese imports but also creates head-on competition with Chinese products in the global marketplace. Under the compound impact of mounting domestic and external pressures, the export route for absorbing excess domestic capacity has encountered drastically heightened obstacles, making it far more difficult for the industry to clear surplus production. This compellingly pushes domestic manufacturers to accelerate differentiated product upgrading, extend business downstream to high-value-added new energy industrial chains, explore emerging overseas markets, and set up localized overseas production bases to break through the predicament.

Production has officially resumed at the rail rolling mill operated by JSW Steel's Italian subsidiary in Piombino after being shut down since July 16, 2026, due to consecutive motor failures. The facility, which is a critical supplier for Italy's national railway operator Ferrovie dello Stato, was restarted after temporary weekend repairs were completed by staff. However, local trade unions have criticized the hasty repairs, demanding a comprehensive scheduled maintenance program and new investments to prevent further safety risks and defective output.

On 22 July 2026, Bharat Coking Coal Limited (BCCL) — a subsidiary of Coal India Limited and a "Miniratna" state enterprise — released unaudited results for the first quarter of fiscal 2026-27 (ended 30 June 2026). The company swung from a year-ago profit to a net loss, marking its first quarterly loss since its stock-market debut in January this year. According to the company's regulatory filing and consistent reporting across Indian financial media, raw coal production fell to 6.56 million tonnes in the quarter, down roughly 27.4% from 9.04 Mt a year earlier. Coal offtake declined in parallel to 7.72 Mt, down about 14% (from 8.98 Mt a year ago). The fact that offtake fell less than production suggests the company drew on inventory to sustain dispatches. Revenue from operations was ₹3,587.27 crore, down about 3.6% year-on-year, though still ~9.3% higher than the ₹3,282.95 crore recorded at the end of March 2026. The quarterly loss stemmed from three forces working together — lower volumes, higher unit costs, and rising fixed expenses. On the production side, early and heavy monsoon rainfall, reduced overburden removal, and logistics bottlenecks directly curtailed run-of-mine output. On the cost side, diesel prices climbed sharply at the start of the fiscal year — by some third-party accounts on the order of ₹7.5–8 per litre — pushing up the mining and haulage bills of a largely contractor-operated cost base. The shift in the expense structure is the key story. Total expenses rose about 4.7% to ₹3,826.31 crore from ₹3,654.39 crore a year earlier. Even as employee-benefit expenses (₹1,553.80 crore) and contractual costs (₹917.57 crore) declined year-on-year, other expenses rose about 10.4%, finance costs surged roughly 84%, and depreciation increased about 26.7% — the principal drags on profitability. In other words, with revenue only marginally lower, it was the climb in rigid costs such as finance and depreciation, compounded by weaker fixed-cost absorption from lower volumes, that pushed the company below breakeven. Despite the operational strain this quarter, BCCL continued advancing several projects aimed at medium- and long-term capacity, producing a clear contrast between the weak current-quarter numbers and the longer-term build-out. On product upgrading, the company's newly built Bhojudih washery entered commercial operation on 26 May 2026. With annual throughput of 2 million tonnes and technologies including spiral concentrators, heavy-media cyclones and froth flotation to produce medium-grade washed coking coal, its start-up lifts BCCL's total washing capacity to about 17.35 Mt (including 1.70 Mt operated by Tata Steel). On mining-model innovation, the ASGKCC mine in the Katras area — developed under a Mine Developer and Operator (MDO) revenue-sharing model , began producing during the quarter, with Q1 FY27 output of 11,980 tonnes; BCCL receives 9% of the mine's revenue under the arrangement. The company also completed the surface-compatibility test for longwall mining equipment at Moonidih Colliery, a key milestone ahead of commercial deployment of that mechanised project. On asset optimization, BCCL handed over its older Dugda washery to JSW Steel on 17 June as part of a plan to monetise legacy asset s — none of which is reflected in this quarter's financials. This combination of near-term strain and longer-term capacity accumulation is characteristic of a state-owned coal producer in a capacity-upgrade cycle: mechanisation and beneficiation investments raise depreciation and finance costs up front, with their benefits realised only after volumes ramp. The market's subsequent focus will be on whether output can return to a run-rate above 8 million tonnes per quarter, and whether input costs such as diesel stabilise. Industry Implications: India's Coking-Coal Gap BCCL is India's largest coking-coal producer, and its output swings carry read-through for the domestic steel value chain. Coking coal is an irreplaceable reductant and fuel in the blast-furnace–basic-oxygen-furnace (BF-BOF) route, and India is among the major economies most dependent on imported coking coal. Per government and industry disclosures, roughly 95% of the steel sector's coking-coal requirement is met through imports, which rose from about 51.20 Mt in FY21 to about 57.58 Mt in FY25. In January 2026, India classified coking coal as a "critical and strategic mineral" to accelerate domestic mining, attract private investment, and curb import dependence. Against this backdrop, BCCL's quarterly shortfall is a short-term disruption, but its signal value should not be dismissed: the vulnerability of India's domestic coking-coal supply to monsoon, logistics and cost shocks has resurfaced. Should supply from leading domestic miners remain unsteady, steelmakers will lean more heavily on imported premium hard coking coal from Australia, the US and elsewhere — widening cost-volatility exposure and creating tension with India's "Atmanirbhar" (self-reliance) coal strategy. As producers such as JSW and Tata pursue expansion toward 300 Mt of crude-steel capacity by 2030, India's 2026 coking-coal imports at around 81.6 Mt, every incremental tonne of domestic supply becomes more consequential.

On July 22, 2026, Bharat Coking Coal Limited (BCCL), a Mini Ratna public sector undertaking and subsidiary of Coal India, reported unaudited results for Q1 FY2026-27 (ending June 30, 2026). The company swung from a net profit a year ago to a net loss – its first quarterly loss since listing in January this year. According to the company’s regulatory filings and multiple Indian financial media reports, raw coal production fell to 6.56 million mt in the quarter, down about 27.4% YoY from 9.04 million mt a year earlier. Coal sales (offtake) also pulled back to 7.72 million mt, a decline of about 14% YoY (8.98 million mt a year ago). The smaller drop in sales than in output suggests the company drew down inventory to some extent to maintain deliveries. Revenue from operations stood at Rs 35.87 billion, down about 3.6% YoY but still about 9.3% higher QoQ from Rs 32.83 billion at end-March 2026. The production contraction was not accompanied by weak pricing – the realized price per mt of coal rose about 12% YoY to Rs 4,647 per mt. However, the price improvement was not enough to offset the twin drag from lower output and higher costs: EBITDA plunged about 81% YoY from Rs 3.733 billion to Rs 715 million, with the EBITDA margin narrowing from 5.26% to 1.92%. Profit before tax swung from a profit of Rs 2.474 billion to a loss of Rs 1.031 billion, resulting in a net loss of Rs 681 million, compared with a net profit of Rs 1.769 billion a year earlier. Performance also deteriorated markedly against the previous quarter (Q4 FY26), which recorded a net profit of Rs 273 million. The quarterly loss was the combined result of production, production costs, and finance costs. On the output side, heavy rainfall from an early monsoon, lower overburden removal, and logistics bottlenecks directly squeezed actual mine output. On the cost side, diesel prices rose sharply in early fiscal 2026. SMM noted that early gains were in the range of Rs 7.5–8 per liter, directly inflating contract-based mining and transportation expenses. The shift in the expense structure was particularly critical. Total expenses rose to Rs 38.263 billion from Rs 36.544 billion a year earlier, an increase of about 4.7%. Within this, although employee benefits (Rs 15.538 billion) and contract expenses (Rs 9.176 billion) were lower YoY, other expenses rose about 10.4% YoY, finance costs jumped about 84% YoY, and depreciation increased about 26.7% YoY – the main drivers weighing on profits. In other words, the revenue side was relatively stable; what truly breached the break-even point was the rise in rigid costs such as finance and depreciation, combined with the adverse impact of lower sales on fixed-cost absorption. Despite operational pressure in the quarter, BCCL pushed forward with multiple strategic projects focused on medium and long-term capacity, highlighting a clear divergence between near-term financials and long-term positioning. On product mix upgrading, the new Bhojudih coal washery started commercial operations on May 26, 2026, with an annual processing capacity of 2 million mt. Using spiral separation, dense medium cyclone, and flotation processes to produce medium-grade washed coking coal, its commissioning raised BCCL’s total washing capacity to about 17.35 million mt (including 1.7 million mt operated by Tata Steel). On mining model innovation, the ASGKCC mine in the Katras area, developed under a Mine Developer and Operator (MDO) revenue-sharing model, started producing coal this quarter, with Q1 FY27 production of 11,980 mt, and BCCL receiving 9% of the mine’s revenue as per agreement. In addition, the company completed surface compatibility testing of longwall mining equipment at the Moonidih mine, clearing a key step toward commercial deployment of this mechanized project. On asset optimization, the company handed over the old Dugda washery to JSW Steel on June 17 as part of a plan to revitalize existing assets—though none of these moves were reflected in the quarter’s financials. India’s Coking Coal Self-Sufficiency Weakness BCCL is India’s largest coking coal producer, and its production fluctuations hold indicator significance for the domestic steel industry chain. Coking coal is an irreplaceable reducing agent and energy source for the blast furnace–converter (BF-BOF) route, and India happens to be one of the major economies most reliant on coking coal imports globally. According to Indian government and industry bodies, about 95% of India’s steelmaking coking coal relies on imports, with imports rising from around 51.2 million mt in FY2020-21 to about 57.58 million mt in FY2024-25. In January 2026, India listed coking coal as a critical and strategic mineral to accelerate domestic mining, attract private investment, and reduce import dependency. Against this backdrop, BCCL’s quarterly production cut, while a short-term disruption, when viewed nationally, once again exposed the vulnerability of India’s domestic coking coal supply to monsoon, logistics, and cost shocks. If supply from major domestic miners remains unstable, steel mills will have to rely more on imported premium hard coking coal from places like Australia and the US, increasing their exposure to cost fluctuations and creating tension with India’s Atmanirbhar coal strategy. As steelmakers like JSW and Tata pursue an expansion target of 300 million mt of crude steel capacity by 2030, India's coking coal imports in 2026 are expected to be around 81.6 million mt, making every incremental increase in domestic supply increasingly critical.

JSW Steel expects production and sales to strengthen from Q2 FY27 as the expanded Blast Furnace-3 at Vijayanagar ramps up, while reaffirming an aggressive capacity expansion pipeline spanning Dolvi, Odisha, Utkal and Kadapa. Despite the planned BF-3 shutdown, the company reported record first-quarter steel sales of 6.25 million tonnes, supported by resilient domestic demand and a 46% year-on-year increase in exports.

JSW Steel reported consolidated crude steel production of 6.59 million tonnes for the June quarter, up 3% year-on-year. This includes 6.35 million tonnes from Indian operations and 240,000 tonnes from its Ohio plant. A lengthy maintenance shutdown of Blast Furnace 3 at Vijayanagar limited overall growth. Excluding this, production grew around 15%, driven by full ramp-up of JVML and improved utilization at Dolvi. Domestic operations maintained 94% capacity utilization during the quarter. The quarterly comparison excludes Bhushan Power and Steel, transferred to JSW-JFE Steel in March 2026.