Highlights

• JSW Steel Limited reported combined crude steel production of 30.14 million tonnes in FY26.
• Annual production growth stood at 8% YoY despite shutdown impact at Vijayanagar facility.
• Q4 FY26 production reached 7.49 million tonnes with stable quarterly performance trends.

JSW Steel Limited (NSE:JSWSTEEL) reported combined crude steel production of 30.14 million tonnes for FY26, marking an 8% year-on-year increase. The growth reflects incremental capacity additions and operational adjustments across facilities.

The company’s Indian operations contributed 29.25 million tonnes, while its US operations in Ohio added 0.83 million tonnes. Additionally, 0.06 million tonnes were recorded from JSW Sambalpur Steel Limited following business restructuring.

Capacity Expansion at Salem Unit

The Salem unit underwent capacity upgrades during early 2026. One of its casters was upgraded in January, followed by commissioning of a new ladle furnace and vacuum degasser in February.

After integration of these facilities, the Salem unit’s capacity increased from 1.0 MTPA to 1.15 MTPA, effective March 2026. This expansion contributed to overall production improvement during the year.

Shutdown Impact at Vijayanagar Facility

Blast Furnace–3 (BF-3) at the Vijayanagar plant remained under shutdown from the end of September 2025 for capacity upgradation. This affected crude steel production and capacity utilisation across Indian operations.

Capacity utilisation for FY26 stood at approximately 92% excluding BF-3 capacity and around 87% when including the shutdown unit. The impact of this shutdown was also visible in quarterly comparisons.

Quarterly Production Trends Remain Stable

For Q4 FY26, combined crude steel production stood at 7.49 million tonnes. Indian operations contributed 7.28 million tonnes, while US operations accounted for 0.15 million tonnes.

On a quarter-on-quarter basis, production remained largely stable, while year-on-year comparison showed a marginal decline due to the continued impact of the BF-3 shutdown.

Structural Changes in Subsidiary Operations

The steel business undertaking of Bhushan Power and Steel Limited was transferred to JSW Sambalpur Steel Limited effective March 27, 2026. This restructuring forms part of a joint venture with JFE Steel, Japan.

Production from this entity has been reported separately post-transfer and included in combined production figures for comparability.

Technical Summary

JSW Steel Limited is trading near ₹1,219, up ~0.79%, and has moved above its 50-day SMA (~₹1,204), now acting as a key pivot. The stock shows a strong recovery after recent volatility, with a bullish breakout supported by steady volume.

Momentum is improving, with the 14-day RSI at 57.8, indicating building strength. Immediate support lies at ₹1,120–₹1,160, while resistance is seen at ₹1,260–₹1,280, which could determine the continuation of the uptrend.

Key Risks to Watch

• Shutdowns or delays in capacity upgrades may affect future production volumes.
• Fluctuations in steel demand could impact utilisation levels and output growth.
• Integration risks related to restructuring and joint ventures may affect operations.
• Global commodity price volatility could influence production economics and margins.

Summary

JSW Steel Limited reported FY26 combined crude steel production of 30.14 million tonnes, reflecting 8% YoY growth. Capacity expansion at Salem supported output, while the BF-3 shutdown at Vijayanagar impacted utilisation. Quarterly production remained stable, and restructuring involving JSW Sambalpur Steel added incremental volumes to overall combined production figures.

FAQs

1. What was JSW Steel’s total production in FY26?
   JSW Steel Limited reported combined crude steel production of 30.14 million tonnes, reflecting 8% growth year-on-year.
2. What impacted JSW Steel’s production during FY26?
   The shutdown of Blast Furnace-3 at Vijayanagar affected capacity utilisation and slightly impacted overall production volumes.
3. What changes occurred in JSW Steel’s subsidiary structure?
   The Bhushan Steel business was transferred to JSW Sambalpur Steel Limited as part of a joint venture restructuring.