Proterial to set up India's 1st amorphous electrical steel plant at Sri City in Andhra

Proterial India, a subsidiary of Japan-based Proterial Private Limited, is set to invest Rs 1,350 crore in this facility. The plant will manufacture advanced amorphous metal electrical steel, known as Metglas, and which is used in distribution transformers. Compared to conventional steel, amorphous steel reduces transformer core losses by 20–30 percent and improves energy efficiency.

The use of metglas in electrical transformers will help in curbing transmission and distribution (T&D) losses. India loses 290 billion units of electricity annually due to T&D losses, which are both due to technical inefficiencies and power thefts. Official estimates peg T&D losses at 16.64% -- about 3.55% in transmission and 13.09% in distribution. Use of metglas in transformers can curb these T&D losses and go a long way in strenghthening energy efficiency.

According to state government sources, the company will be announcing details of the project within this week. A senior official, who did not wish to be identified, told ET, “This is a major step towards Make in India. This goes a long way in strengthening the country’s energy efficiency and domestic manufacturing capabilities.”


Proterial India, which was formerly Hitachi Metals, is partnering with Shirdi Sai Electricals to establish the manufacturing facility. According to sources, Shirdi Sai Electricals holds a 26 per cent equity stake and will ensure integrated supply chain support for transformer manufacturers. The facility is expected to generate over 500 direct employment. Proterial is considered a global leader in amorphous metal electrical steel technology and has manufacturing facilities in United States and Japan. It has been supplying to the Indian market over the last 20 years.

The manufacturing facility aligns with the Centre’s push to speciality steel production. In November 2025, the Centre had rolled out the third round of production linked incentive (PLI) scheme for speciality steel, which covered 22 new grades including amorphous steel. Sources said the company will leverage this PLI scheme.