Tata Steel inaugurates first scrap-based Electric Arc Furnace with Rs 3,200 crore investment

Tata Steel inaugurated its first scrap-based Electric Arc Furnace (EAF) facility at Hi-Tech Valley in Ludhiana on Friday, built with an investment of Rs 3,200 crore. The unit has a capacity of 0.75 million tonnes per annum and is designed to achieve CO₂ emissions less than 0.3 tonnes per tonne of steel.

The plant would produce construction-grade steel rebar under the company’s flagship retail brand ‘Tata Tiscon’, which would enable Tata Steel to further augment its market presence in the construction segment.

Tata Steel Chairman N Chandrasekaran and Punjab Chief Minister Bhagwant Singh Mann attended the ceremony along with T V Narendran, CEO & Managing Director, Tata Steel and other senior government officials and Company representatives.


The furnace facility is designed to support low-carbon steelmaking as it will use 100% steel scrap as raw material, sourcing 40% scrap from Tata Steel's recycling plant in Haryana.

“As India accelerates its transition towards a climate-resilient future, sustainability has become a national imperative - one that demands urgent, collective action. Tata Steel’s Ludhiana Electric Arc Furnace reflects Tata Group’s long-term commitment to building a greener, more resilient industrial future,” said N Chandrasekaran, Chairman, Tata Steel.

CEO & MD Narendran noted that the unit reflects how Tata Steel is rethinking capital investment for circular economy - by backing technologies that reduce resource intensity while remaining globally competitive.