AM/NS India targets import substitution with new value-added steel for appliances

MUMBAI: ArcelorMittal Nippon Steel India (AM/NS India) is expanding its value-added steel portfolio with two new products for the consumer appliance sector aimed at reducing imports.

Value-added steel refers to regular steel that has been further treated or processed to increase strength, durability, or suitability for certain applications. The move is in line with AM/NS India’s strategy to focus on downstream steel, which are higher value products or components used in industries such as automobiles, home appliances and construction.

“Today, our value-added portfolio contributes around 60-65% to revenue. Ideally, we would like this portfolio to cross 70-75% in the next two-three years with all the new launches we have,” said Ranjan Dhar, vice president and director, sales and marketing, ArcelorMittal Nippon Steel India (AM/NS India). Mint.

Current customers include LG Electronics, Samsung Electronics, Whirlpool Corporation, Blue Star Ltd and Voltas Ltd. Dhar said the new products will provide added value to these customers.

The steelmaker has launched two products: AM/NS Vibrance is a premium color-coated steel solution used in refrigerators, washing machines, microwave ovens and water dispensers; AM/NS Optima, on the other hand, is colorless galvanized steel used in AC outdoor units, panels and clean room installations.

Currently, India relies on imports to meet the steel demand of the home appliance sector. Dhar added that AM/NS India plans to substitute these imports at a lower cost.

The Indian consumer durables market is projected to become the fourth largest market in the world by FY27, driven by rising demand for devices with premium finishes and modern designs. India consumes approximately 11.1 million tonnes of coated steel annually and demand is expected to grow 8-10% annually.

Demand for coated steel in the appliance segment is growing faster at around 10% per annum, driven by higher consumer expectations, rapid urbanization, premiumisation, and government initiatives such as the Production Linked Incentive (PLI) programme.

These products are “premium branded steel solutions designed to meet the increasingly design-focused needs of original equipment manufacturers (OEMs) across the device and industrial manufacturing ecosystems,” according to the company.

The launch comes after AM/NS India opened a 0.5 million tonnes per annum continuous galvanizing line for the automotive industry at its Hazira plant in Gujarat in July 2025, aimed at substituting imports.