AMNS targets 50% solar energy market share with launch of Magnelis

ArcelorMittal Nippon Steel targets to capture 50 per cent market share of steel used in the solar energy segment with the launch of highly corrosion resistant steel Magnelis, the global brand of ArcelorMittal.

AMNS has invested ₹1,000 crore to set up 5 lakh tonne per tonne of Magnelis capacity at its Hazira plant. Made with the coating of zinc,  manganese and aluminium using ArcelorMittal patented technology, Magnelis will be an import substitute as most of the solar projects in India ship in this product for its quality. The company also targets to export this product to solar projects coming up in Saudi Arabia and other West Asian countries.

Dilip Oommen, Chief Executive Officer, AMNS India said the launch of Magnelis in India is the company’s commitment to fulfil the nation’s growing demand for high-performance steel and producing import-substitute steel.

Previously, the high-end value-added steel was imported mainly from Korea, Japan and China, often taking months for delivery.

Ranjan Dhar, Directo, AMNS, said the newly launched product has already proven its performance in global solar projects, contributing to 50 GW of installed capacity.

The domestic supply will cut down delivery time and drastically reduce logistics costs, thus providing domestic customers with a faster and more efficient solution for their infrastructure needs as India is stepping up its nation-building initiatives, he said.

Other end-use sectors of Magnelis include road infrastructure (crash barriers), agriculture infrastructure (grain silos, farm equipment) and construction (pre-engineered building structures).

AMNS India is already in advanced discussions to supply Magnelis to key players in renewable energy and infrastructure sectors, including Adani Green Energy, Reliance Industries and NTPC. Such partnerships will ensure that Magnelis is a cornerstone in building the next generation of renewable projects across the country.

With the premiumisation of the market grows, corporates want to use quality inputs in their projects to ensure cost saving in the long-run, said Dhar.

On growing competition from JSW Steel and Tata Steel in the new energy space, he said AMNS products stands out on assurance of global quality and its prowess in research and development for which customers are willing to pay a premium.

Currently, the solar industry is dependent on imports for 75-80 per cent of their needs and Magnelis will try to bridge the gap, he said.