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Tata Steel Targets 15 Million Tonnes From Recycling Over the Next 10–15 Years

Written by: Team Angel OneUpdated on: 16 Jun 2025, 8:05 pm IST
Tata Steel targets 15 million tonnes of green steel production via recycling by 2040, scaling its India capacity to 40 MTPA by 2030.
Tata Steel Targets 15 Million Tonnes From Recycling Over the Next 10–15 Years
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Tata Steel is making significant strides in sustainability with a strong focus on green technology and recycling. The company aims to reshape its steel production model, transitioning from traditional blast furnaces to environmentally friendly methods across India and Europe.

Tata Steel’s Recycling 

Tata Steel's CEO and MD, T V Narendran, announced that the company plans to manufacture 10 to 15 million tonnes of steel via the recycling route over the next 10 to 15 years. This transformation is part of its focus on moving from a linear to a circular economy model, minimising carbon emissions through clean energy and sustainable practices.

Capacity Expansion Plans

As of FY25, Tata Steel has a total steelmaking capacity of 35 million tonnes globally, with 30.92 million tonnes of actual production. In India alone, it already commands over 26 million tonnes of capacity and aims to scale up to 40 million tonnes by 2030. Additionally, it operates a 1.7 million tonnes capacity plant in Thailand.

Greener Processes in Europe

In the UK, Tata Steel is undergoing a major transformation at its 3 MTPA plant in Port Talbot, South Wales. The company is phasing out traditional blast furnaces and switching to scrap-based Electric Arc Furnace (EAF) technology—an initiative aligned with its decarbonisation goals. A similar roadmap is proposed for the Netherlands facility at IJmuiden, which produced 6.75 MTPA of liquid steel in FY25.

Narendran confirmed that by 2035, none of Tata Steel’s European facilities would have operational blast furnaces. This shift is intended to produce the same 10 million tonnes of steel using more energy-efficient and lower-carbon alternatives.

Read More: Sensex Rose Over 500 Points Amid Rising Tension Between Iran and Israel

Domestic Recycling Initiatives

Tata Steel’s efforts to foster green steel production in India are already in action. A recycling plant has been operational near Delhi for a few years now. Moreover, a 0.75-million-tonne facility based on the recycling route is under construction in Ludhiana and is expected to be operational by the end of FY25.

These steps reinforce Tata Steel's commitment to integrating sustainable approaches while meeting growing steel demands in both domestic and international markets.

Incorporating recycled materials reduces dependency on raw iron ore and cuts emissions drastically. Recycling also reduces energy consumption by up to 60% compared to traditional steelmaking processes, offering financial and ecological benefits.

Shift From Blast Furnace to Electric Arc

The move towards electric arc furnaces across regions marks one of Tata Steel’s pivotal shifts. These furnaces rely primarily on scrap metal and electricity, making them more efficient and significantly cleaner. This change is expected to make future steel production more flexible, cost-efficient and aligned with global climate mandates.

Summary of Infrastructure and Capacity

  • India: 26+ MTPA (plan to increase to 40 MTPA by 2030)
  • Thailand: 1.7 MTPA
  • UK (Port Talbot): Transitioning from 3 MTPA blast furnace to EAF
  • Netherlands (IJmuiden): 6.75 MTPA; transition to sustainable routes under discussion
  • FY25 Production: 30.92 million tonnes out of 35 million tonnes capacity globally

Tata Steel Share Price Performance

On June 16, 2025, Tata Steel share price opened at ₹152.01 on NSE, below the previous close of ₹152.13. During the day, it surged to ₹153.69 and dipped to ₹150.84. The stock is trading at ₹153.51 as of 11:46 AM. The stock registered a moderate gain of 0.91%.

Conclusion

With increasing global awareness of environmental footprints, Tata Steel’s long-term focus on recycling and clean technology showcases its leadership in the sector. By scaling up production using low-emission alternatives, the company sets a benchmark in the steel industry’s evolution towards sustainability. The planned transition across key regions, including India, the UK, and the Netherlands, reinforces its commitment to reducing carbon emissions while expanding production capacity.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

Published on: Jun 16, 2025, 2:35 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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