Tata Steel increased its steel production by 12.6% y/y in Q2

Indian steel producer with assets in Europe Tata Steel in April-June 2024 (I quarter 2024/2025 fiscal year) increased consolidated steel production by 12.6% compared to the same period in 2023 – up to 7.96 million tons. This is stated in the preliminary report of the company.

Compared to the previous quarter, steel production by Tata Steel units grew by 1.4%.

During this period, Tata Steel India increased its steel production by 4.6% compared to the second quarter of 2023, and reduced by 2.8% compared to January-March of this year – up to 5.25 million tons. In quarterly comparison, the indicator fell against the background of planned shutdowns of capacities for maintenance.

Tata Steel’s capacity in the Netherlands increased steel production by 83% y/y during the period and 16.2% q/q – up to 1.72 million tons. A sharp increase in production was facilitated by bringing the units to a normal working loading level.

Tata Steel UK produced 0.68 million tonnes of steel in April-June, down 20% y/y and 3% more q/q. On July 4, the last batch of pig iron was produced at blast furnace No. 5 in Port Talbot, and is currently being decommissioned. The company’s division in Thailand produced 0.31 million tons of steel in 3 months. This is 19.2% more y/y, and corresponds to the indicator of the first quarter of the current year.

The consolidated shipment of Tata Steel steel in the second quarter of 2024 amounted to 7.46 million tons, which is 3.9% more compared to the second quarter of 2023, and 5.1% less compared to January-March of this year.

The Indian division shipped 4.94 million tons of steel (+ 3.1% y/y; -8.9% q/q), Dutch – 1.52 million tons (+ 10.9% y/y; + 6.3% q/q), British – 0.69 million tons (-8% y/y; + 0% q/q), Thai – 0.31 million tons (+ 14.8% y/y; -3.1% q/q).

As GMK Center reported earlier, according to Tata Steel CEO T.V. Narendran, the demand for steel in India in the 2024/2025 financial year (ends in March 2025) will grow by at least 8-10% compared to the previous financial year.

In fiscal year 2024/2025, Tata Steel is planning a capital expenditure of approximately $2.04 billion in fiscal year 2024/2025 (started in April this year). At the same time, 75% of the announced amount falls on projects in India, the rest – on enterprises in Europe.