Steel Stocks Surge: Jindal Stainless, Jindal Steel, SAIL and Tata Steel Rise Up to 4%

Shares of major steel companies such as Jindal Stainless, Jindal Steel, Tata Steel and Steel Authority of India (SAIL) rose up to 4% on December 30, 2025. The rally came despite a subdued broader market and was supported by strong trading volumes.

Jindal Stainless Leads the Gains

Jindal Stainless jumped nearly 4% to around ₹824, trading close to its 52-week high. The stock saw a sharp rise in volumes, with over 1 million shares changing hands across exchanges. SAIL gained over 3%, while Tata Steel, Jindal Steel and JSW Steel also posted moderate gains.

Expansion Plan Lifts Sentiment

Investor sentiment improved after Jindal Steel announced plans to double its structural steel capacity at its Raigarh plant in Chhattisgarh. The company aims to increase capacity from 1.2 million tonnes per annum to 2.4 million tonnes by mid-2028 to meet rising demand from infrastructure, energy and industrial projects.

Focus on Infrastructure Demand

According to the company, the expanded facility will support sectors such as power, refineries, renewable energy, transmission and high-rise construction. The move is also expected to reduce India’s dependence on imported heavy structural steel sections.

Cost Savings to Support Profitability

Rating agency ICRA noted that cost-saving measures such as slurry pipelines, better rail logistics and development of the Paradip port could help improve operating profit per tonne in the coming years, strengthening companies’ operational profiles.

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Industry Faces Price Pressure

ICRA highlighted that rapid capacity additions have created a temporary oversupply in the steel market. Although steel demand is expected to grow around 8% in FY26, domestic steel prices remain under pressure due to excess supply and weak global conditions.

Conclusion

The rally in steel stocks was driven by optimism around capacity expansion and long-term demand from infrastructure projects. While steel prices remain under pressure in the near term, strategic investments and cost efficiencies continue to support the sector’s long-term outlook.

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