Britain Prioritizes Employment in Tata Steel Negotiations : Minister

Tata, Britain’s biggest steel producer, started closing one of its carbon-intensive blast furnaces on Thursday while the shutdown of its other one is slated for September. (File photo: Reuters)

In the ongoing negotiations with Tata Steel, the United Kingdom’s newly established government is placing a paramount focus on safeguarding employment. Business Minister Jonathan Reynolds emphasized on Sunday the administration's commitment to preventing job losses while negotiating government support for Tata Steel’s transition to lower-carbon technologies.

Tata Steel, the largest steel producer in the UK, commenced the closure of one of its high-carbon-emission blast furnaces on Thursday. The second furnace is scheduled to shut down in September, potentially leading to the loss of up to 2,800 jobs at the Port Talbot site in South Wales.

The new government is required to ratify the £500 million ($635 million) support package previously agreed upon with Tata Steel to facilitate the construction of a low-carbon electric arc furnace. However, unions are advocating for an enhanced agreement with Tata Steel that could mitigate some of the anticipated job losses.

"This is a major priority for us," Reynolds stated during an interview with the BBC. "I am determined to ensure that job guarantees are integral to the ongoing negotiations."

India's Tata Steel Tests Biomass at Ferro-Chrome Plant

India's Tata Steel has carried out a trial using charcoal as a feedstock at its domestic ferro-chrome unit, with it also open to importing the biomass product. It said it finished the trial on 20 July, in which it replaced conventional reductants such as coke in the Athagarh ferro-chrome plant in east India's Odisha state with carbon-neutral biomass charcoal, made from the low-temperature burning of wood in an oxygen-starved atmosphere. The carbon released during the ferro-chrome production process was balanced by carbon absorbed by the trees from which wood for the charcoal was taken, it added.

The trial was part of Tata Steel's sustainability drive to cut emissions from its operations. Athagarh has a ferro-chrome production capacity of 55,000 t/yr. The use of 5pc of biomass in production is expected to lower carbon dioxide (CO2) emissions by 0.08/t of ferro-chrome, Tata Steel said, which is about 6pc of total CO2 emissions from the plant.

The company is carrying out more trials and feasibility studies to stabilize the use of biomass in ferro-chrome production, it said, adding that plans to commercialize biomass use as a feedstock have not been finalized yet. Tata Steel might also consider imports of charcoal if it is commercially and technically feasible.

Tata Steel is also working with Australian resources firm BHP to adopt low-carbon iron and steel production. This includes using biomass and carbon capture and utilization technology, which could cut emissions by up to 30pc for integrated steel mills.

India Launches First Private Military Aircraft Plant in Partnership with Airbus

Tata Advanced Systems

India has officially launched its first private military aircraft manufacturing facility, marking a significant milestone in its defense and aerospace sector. Tata Advanced Systems, in collaboration with Airbus, has unveiled the final assembly line for the Airbus C-295 military transport aircraft in Vadodara, Gujarat. This is a key development under India's “Make in India” initiative, aimed at boosting local defense manufacturing capabilities and reducing dependency on foreign suppliers.

Strategic Milestone for India’s Aerospace Industry

The Tata Aircraft complex, which is the first private plant in India to assemble military aircraft, will produce the Airbus C-295 in collaboration with Airbus Spain. The plant is expected to deliver its first C-295 aircraft by 2026, with more than 85% of the assembly and production of 13,000 components to be completed domestically. Out of the 40 C-295 aircraft planned, 16 will be assembled in Seville, Spain, with six already delivered to the Indian Air Force (IAF).

The C-295 program is part of India's broader efforts to modernize its military equipment. As the largest customer for the Airbus C-295, India plans to purchase a total of 56 aircraft. This move aligns with the Indian government’s ongoing push to encourage private defense manufacturing, a sector that has traditionally been dominated by state-run entities.

Airbus's Expanding Role in India

Airbus, which views India as a critical resource hub, is not only involved in aircraft assembly but is also expanding its footprint in India through the manufacturing of components, engineering development, and maintenance, repair, and operations (MRO) services. The company is investing in various aspects of the Indian aerospace ecosystem, including pilot training and academic partnerships to strengthen local expertise and human resources.

The Tata-Airbus collaboration is a reflection of India's growing role as a key player in the global aerospace and defense industry, with both companies working toward creating a self-sufficient defense manufacturing base within the country.

Jindal Steel Angul capacity expansion reshapes India’s steel landscape

Jindal Steel

India’s latest Jindal Steel Angul capacity expansion signals a new phase in the country’s flat steel growth. The Jindal Steel Angul capacity expansion lifts the site’s output and pushes India further into a high-capacity cycle. As a result, the Jindal Steel Angul capacity expansion also raises questions about future domestic oversupply and export pressure.

Jindal Steel Angul capacity expansion lifts output toward 12mn t/yr

Jindal Steel has commissioned a new 3mn t/yr basic oxygen furnace at its Angul plant in Odisha. The BOF takes the site’s steelmaking capacity from 6mn t/yr to 9mn t/yr, with a target of 12mn t/yr in the 2025-26 fiscal year. The Jindal Steel Angul capacity expansion is anchored by a new 5mn t/yr blast furnace, started last week. Together, these assets support a broad product mix, including hot-rolled coil, galvanised steel, plate and rebar. This positions Angul as one of India’s key integrated hubs for flat and long products.

Indian steel capacity race intensifies across multiple producers

However, Jindal is not expanding alone, as rival Indian steelmakers also push new capacity. JSW Steel is enlarging its Vijayanagar facility in Karnataka, while Tata Steel brought a 5mn t/yr blast furnace online at Kalinganagar in 2024. These projects, combined with the Jindal Steel Angul capacity expansion, are driving a rapid rise in India’s crude steel potential. Domestic demand remains strong in construction, infrastructure and manufacturing, yet capacity growth is outpacing exports. Therefore, market participants are increasingly focused on how new tonnes will be absorbed if external demand falters.

CBAM and weak exports raise risk of domestic stock build-up

Meanwhile, looming changes under the EU’s carbon border adjustment mechanism are already dampening Indian steel export flows. Buyers in Europe are reassessing supply chains and potential carbon cost pass-throughs, which could limit future Indian shipments. As exports dwindle, the Jindal Steel Angul capacity expansion and parallel projects at JSW and Tata could contribute to inventory accumulation in the domestic market. A stock build-up would pressure prices and margins for Indian mills, especially in commoditised hot-rolled and rebar segments. As a result, strategic responses may include more value-added products, new export destinations and accelerated downstream integration.

The Metalnomist Commentary

India’s aggressive build-out, anchored by the Jindal Steel Angul capacity expansion, underlines its ambition to become a global steel powerhouse. Yet policy shifts such as CBAM mean that capacity alone is no longer enough; carbon cost, product mix and market access will decide who wins. For global buyers, India’s rising volumes may offer pricing opportunities, but also higher exposure to trade and climate-policy risk.

US Expands Semiconductor Investments with India Partnership

India Chip

The US government continues to ramp up investments in semiconductor manufacturing both domestically and internationally, with a significant focus on partnerships with allied nations. This week, a major agreement was reached between the US and Indian governments to establish a new semiconductor plant in Kolkata, India. The facility will focus on producing advanced semiconductors, including infrared, gallium nitride (GaN), and silicon carbide (SiC), to support sectors such as national security, next-gen telecommunications, and clean energy.

Strengthening Tech Ties: US-India Collaborations

This venture is a part of a broader collaboration supported by the US Space Force, Bharat Semi, 3rdiTech, and the India Semiconductor Mission. The mission, initiated by India's electronics and IT ministry (MIIT), aims to build a robust semiconductor supply chain, supported by the US Department of Commerce’s International Technology Security and Innovation (ITSI) Fund. The fund itself is a key initiative under the CHIPS and Science Act, designed to bolster US semiconductor production.

In addition to the plant in Kolkata, US-based Analog Devices has also signed a partnership with India's Tata Electronics. Their collaboration focuses on chip production at Tata's planned $11bn manufacturing plant in Gujarat, with a potential $3bn facility for chip assembly and testing in Assam. Furthermore, US manufacturer GlobalFoundries, after acquiring Tagore Technology’s power GaN IP, announced plans to develop a Kolkata Power Centre for GaN technology.

On the domestic front, the US Commerce Department recently awarded Polar Semiconductor up to $123mn to expand its silicon wafer manufacturing in Bloomington, Minnesota. This marks the first allocation under the CHIPS Act for commercial chip production, which has sparked over $400bn in private semiconductor investments and more than $35bn across 16 states.

Octillion Launches Lithium-Ion Battery Factory in Nevada to Support North American EV Market

Octillion Energy

New 1GWh Facility to Strengthen Supply Chain for Automotive and Industrial Energy Storage Applications

Octillion Energy, a China-based battery pack manufacturer, has opened a new battery system facility in Reno, Nevada, through its U.S. subsidiary, Octillion Power Systems. This move marks a strategic expansion into the North American market, aiming to meet the rising demand for lithium-ion battery systems across multiple sectors.

The Reno plant is expected to reach a production capacity of 1 gigawatt-hour (GWh) per year by 2025. The facility will produce high-density lithium-ion battery systems tailored for electric vehicles (EVs), off-highway equipment, marine applications, commercial machinery, and grid energy storage systems. This investment signals Octillion’s intent to localize supply chains amid growing demand and policy support for domestic battery production.

Global Capacity Expands with U.S. Investment

With the addition of the Nevada facility, Octillion Energy’s total global production capacity now stands at 25 GWh annually. The company is already a major supplier of battery packs to leading automakers including Wuling Motors in China and Tata Motors in India. Expanding into the U.S. aligns with Octillion’s strategy to serve global automotive and industrial clients more efficiently.

By establishing operations in Nevada, Octillion positions itself closer to key EV manufacturers and energy storage integrators. This will reduce shipping times, optimize logistics, and ensure better compliance with emerging North American battery sourcing regulations.

India to Invest $393 Million in New Semiconductor Facility

The Indian government has approved a significant investment of Rs33 billion ($393 million) for a new semiconductor manufacturing facility in Sanand, Gujarat. This funding is part of an incentive scheme introduced in December 2021.

The new facility, operated by Kaynes Semicon, is expected to produce 6 million chips per day. It will cater to various sectors, including industrial applications, automotive, electric vehicles, consumer electronics, telecommunications, and mobile phones. The facility will also increase India's demand for key semiconductor materials such as silicon, antimony, and germanium.

Previously, the Indian government had approved three other semiconductor manufacturing units: two by Tata Electronics in Dholera, Gujarat, and Morigaon, Assam, and one by CG Power in Sanand. Additionally, the Union Cabinet approved the country's first semiconductor assembly unit in Sanand in June 2023.

This new facility will be funded under a Rs76 billion scheme aimed at developing semiconductor and display manufacturing in areas of "strategic importance and economic self-reliance," as approved by the Union Cabinet on December 15, 2021.

The four manufacturing units, with a total investment of nearly Rs1.5 trillion, will collectively have a production capacity of about 70 million chips per day, bolstering India's chip-making ecosystem.

Ashok Leyland battery investment targets India’s EV scale-up

HINDUJA Group

Ashok Leyland battery investment signals a decisive push into cell manufacturing. The Ashok Leyland battery investment totals $567mn over 7–10 years. As a result, the Ashok Leyland battery investment aims to localize “next-generation batteries” for vehicles and energy storage.

Domestic batteries first, broader energy systems next

Ashok Leyland will prioritize automotive batteries for its own EVs. The company plans non-automotive batteries later for energy storage systems. However, it has not disclosed plant capacities or commissioning dates. A long-term deal with CALB supports technology and supply. Therefore, the strategy blends in-house demand with external expertise. India encourages local EV supply chains with a lower 15pc import duty. Policy runs for five years under the updated EV import rules.

Competitive landscape and India’s EV gap

India targets 30pc new-vehicle electrification by 2030. Yet EV penetration reached only 7.6pc at end-2024. Meanwhile, Tata’s Agratas plans a 20GWh plant at Sanand. It also plans 40GWh in the UK for export-linked demand. As a result, scale and cost remain the core challenges. Ashok Leyland’s investment helps reduce battery import exposure. It may also stabilize pack pricing for domestic fleets.

The Metalnomist Commentary

Ashok Leyland moves to secure cells as India’s EV curve steepens. Watch for capacity, chemistry choices, and localized supply of cathode, anode, and electrolyte. Execution speed versus peers like Agratas will determine cost leadership.

Jaguar Land Rover’s Production Dips as Aluminium Supply Chain Falters

Jaguar Land Rover’s

Jaguar Land Rover’s (JLR) production and sales for the July-September period declined, attributed to earlier disruptions in its aluminium supply chain, the company disclosed this week. The UK-based automaker, under India's Tata Motors, reported a year-on-year drop of 7% in vehicle production to 86,000 units, and a 10% fall in wholesale volumes, totaling 87,303 units for the second quarter of its financial year. Retail sales also slipped by 3%, reaching 103,108 units.

Supply Chain Challenges in Focus

The setbacks in JLR’s performance stemmed from significant supply disruptions attributed to a major aluminium supplier. Novelis, a US-based aluminium roller, faced operational difficulties due to a temporary shutdown at its Sierre plant in Switzerland after severe flooding in late June. While Novelis announced its recovery and resumed production in September, the interruption in high-grade aluminium supply had already impacted JLR and other original equipment manufacturers (OEMs) reliant on its production capacity.

Adding to the challenge, JLR put a hold on roughly 6,500 vehicles in September, primarily in the UK and Europe, to allow further quality control checks. These vehicles are now anticipated to enter wholesale channels during the second half of JLR’s financial year, supporting a possible rebound in output.

Looking ahead, JLR expressed optimism, forecasting a solid recovery in both production and wholesale volumes as aluminium supplies stabilize. However, the company acknowledged that the broader automotive market faces pressures from lukewarm consumer demand, potentially influencing final sales outcomes.

Safran Expands LEAP Engine Production in India with New Agreements

Safran Aerosystems

Safran signs deals with HAL and TEAL for the production of LEAP engine parts in India.

French aerospace manufacturer Safran Aircraft Engines has expanded its presence in India by signing agreements with Hindustan Aeronautics (HAL) and Titan Engineering and Automation Limited (TEAL) for the production of LEAP engine parts. This move strengthens Safran’s manufacturing footprint in South Asia and aligns with its strategy to localize production and meet the growing demand for aircraft engines in the region.

LEAP Engine Parts Production with HAL and TEAL

Under the agreements, HAL will manufacture nickel ring forgings for the CFM LEAP engine turbine, further strengthening the long-standing relationship between Safran and HAL. This partnership is particularly important, as CFM International — a 50:50 joint venture between Safran Aircraft Engines and GE Aerospace — produces the LEAP engines that power Boeing's 737 MAX and Airbus' A320neo aircraft.

Meanwhile, TEAL, a subsidiary of Titan Engineering and part of the Tata Group, will produce parts for the LEAP engine’s low-pressure turbine. Production is set to begin in 2026, marking another significant step for Safran’s expansion in India’s aerospace sector.

Safran’s Expanding Footprint in India

The agreements highlight Safran's ongoing investment in India, where the company already operates five sites in Hyderabad, Bengaluru, and Goa. In addition, Safran is set to open a sixth site for maintenance, repair, and overhaul (MRO) in Hyderabad later this year. This continued expansion reflects the company’s commitment to bolstering its capabilities and meeting the needs of the growing Indian aerospace industry.

Conclusion

Safran’s partnership with HAL and TEAL for LEAP engine production in India is a significant milestone in the company’s global strategy. By localizing production and fostering long-term partnerships, Safran is positioning itself to remain at the forefront of the aerospace industry in South Asia.

IMFA Ferro-Chrome Expansion Will Reshape India’s Alloy Supply Landscape

IMFA, Ferro-Chrome

IMFA ferro-chrome expansion is set to change the scale of India’s alloy market by the end of 2026. Indian Metals and Ferro Alloys plans to lift total ferro-chrome capacity from 284,000 t/yr to 534,000 t/yr. That jump would make IMFA the country’s largest ferro-chrome producer. As a result, IMFA ferro-chrome expansion is becoming one of the most important capacity stories in India’s stainless steel supply chain.

The core of this growth sits in Odisha. IMFA plans to commission a 100,000 t/yr greenfield expansion at Kalinganagar by June 2026. It also signed agreements to acquire Tata Steel’s ferro-chrome plant at the same industrial location. Therefore, IMFA ferro-chrome expansion is combining organic growth with strategic acquisition.

This matters because India’s domestic alloy demand is rising alongside industrial growth. Management said the company wants to increase exposure to the local market once the new capacity comes online. That means the expansion is not only about scale. It is also about shifting closer to domestic stainless steel demand.

Odisha Ferro-Chrome Plant Growth Strengthens IMFA’s Market Position

The Odisha ferro-chrome plant strategy gives IMFA a stronger industrial platform. Kalinganagar is already one of India’s most important metals clusters. Expanding there offers operational advantages in logistics, infrastructure, and customer access. As a result, the Odisha ferro-chrome plant buildout should support better scale efficiency.

Recent operating data already shows steady momentum. IMFA produced 67,196t of ferro-chrome in the October-December 2025 quarter, slightly above the prior year. Higher realizations and stable operating costs supported that performance. Therefore, the company is entering its expansion phase from a relatively stable operating base.

Sales were slightly lower year on year in the quarter, but that does not weaken the broader story. The more important signal is that IMFA maintained cost discipline while preparing for much larger capacity. Consequently, the Odisha ferro-chrome plant expansion looks commercially timed rather than speculative.

Indian Chrome Ore Supply Gives the Expansion More Credibility

Indian chrome ore supply is a key reason this expansion appears credible. IMFA mined 265,468t of chrome ore in the third quarter of fiscal 2025-26, well above the previous year. That increase improves confidence in feedstock support for larger ferro-chrome operations. Therefore, IMFA ferro-chrome expansion is backed by stronger upstream output, not just downstream ambition.

This feedstock position matters in ferro-alloys because ore availability often determines real production strength. A company can build furnaces, but without reliable chrome ore, capacity remains theoretical. IMFA’s rising mine output helps reduce that risk. Meanwhile, it strengthens the company’s position in a market where raw material security matters.

The company is also widening its business base. IMFA is setting up a grain-based ethanol plant in Odisha as part of diversification. That project is separate from ferro-chrome, but it shows management is thinking beyond one revenue stream. Even so, the alloy expansion remains the more strategically important move for India’s metals market.

The Metalnomist Commentary

IMFA’s plan matters because it combines scale, ore security, and domestic market focus in one expansion cycle. This is not just a capacity increase. It is a stronger bid for leadership in India’s ferro-chrome industry. If execution stays on track, IMFA could become a much more influential alloy supplier by 2026.