Tata Steel commissions India’s first scrap-based EAF plant, accelerating green steel transition!
Tata Steel has commissioned India’s first scrap-based Electric Arc Furnace (EAF) facility in Ludhiana, marking a significant milestone in the country’s shift toward low-carbon steel production. Developed with an investment of approximately ₹3,200 crore, the new plant has an annual production capacity of 0.75 million tonnes.
This facility represents a major step in Tata Steel’s sustainability journey, with a targeted carbon emission intensity of less than 0.3 tonnes of CO₂ per tonne of steel produced—substantially lower than conventional blast furnace routes. The project aligns with the company’s long-term ambition of achieving net-zero emissions by 2045 and reflects the broader industry shift toward environmentally responsible manufacturing practices.
The inauguration ceremony was attended by key leaders including N Chandrasekaran and TV Narendran, along with Punjab Chief Minister Bhagwant Singh Mann. Speaking at the event, Chandrasekaran highlighted the growing importance of sustainability in India’s industrial development, emphasizing the need for collaborative efforts to build a resilient and green manufacturing ecosystem.
The Ludhiana EAF facility is designed to operate using 100% steel scrap as its primary raw material, reinforcing circular economy principles. Notably, around 40% of this scrap will be sourced from Tata Steel’s recycling facility in Rohtak, Haryana, ensuring an integrated and efficient supply chain. In addition, nearly half of the plant’s power requirements will be met through renewable energy sources, further reducing its environmental footprint.
According to Narendran, the project represents a strategic shift toward resource-efficient technologies that maintain competitiveness while lowering emissions. The facility demonstrates how steelmakers can adopt alternative production routes to meet both sustainability goals and growing market demand.
The plant will produce construction-grade steel rebar under the Tata Tiscon brand, strengthening the company’s presence in the infrastructure and construction sectors. With increasing investments in infrastructure across northern India, the facility is well positioned to support regional demand while delivering greener steel products.
Beyond manufacturing, Tata Steel has also focused on community development in the Ludhiana region through initiatives led by the Tata Steel Foundation. Over the past three years, the company has implemented programs in education, healthcare, agriculture and women’s empowerment. These include skill development initiatives for students, livelihood programs for women, solar-powered street lighting projects and scholarships for meritorious students.
Globally, Tata Steel is one of the leading steel producers, with an annual crude steel capacity of around 35 million tonnes and operations spanning five continents. The commissioning of the Ludhiana EAF facility reinforces the company’s commitment to sustainable growth and positions it at the forefront of India’s transition toward green steel manufacturing.
Overall, this development not only strengthens Tata Steel’s environmental credentials but also sets a benchmark for the Indian steel industry as it moves toward a more sustainable and circular production model.
