Growth in Production and Deliveries Across Multiple Regions
Tata Steel, one of India’s leading steel manufacturers, has revealed its provisional production and delivery volumes for the third quarter of fiscal year 2025 (3QFY25). The results underscore a period of growth, particularly in Tata Steel India, which posted a notable increase in both production and deliveries. With a strong focus on operational efficiency and strategic growth, Tata Steel continues to maintain its competitive position in the global steel industry.
Production Volumes
• Tata Steel India:
In 3QFY25, Tata Steel India achieved 5.68 million tons of crude steel production, marking an 8% quarter-over-quarter and 6% year-over-year increase. This growth was largely driven by the commissioning of a new 5 MTPA blast furnace at the company’s Kalinganagar facility in September 2024. The furnace is currently operating at approximately 8,000 tons per day, with the ramp-up to full rated capacity still underway. For the nine months of fiscal year 2025 (9MFY25), Tata Steel India produced 16.22 million tons, reflecting a 5% YoY increase.
• Tata Steel Netherlands:
The company’s Netherlands operations reported 1.76 million tons in liquid steel production for 3QFY25, showing a solid 8% YoY increase. For 9MFY25, production in the region reached 5.12 million tons, more than a 50% increase from the same period last year.
• Tata Steel UK:
Tata Steel UK did not report production figures for the third quarter of FY2025 due to the closure of blast furnaces at the end of Q2. However, liquid steel production figures were recorded in the previous quarter, with an overall production of 1.07 million tons in 9MFY25.
• Tata Steel Thailand:
Tata Steel Thailand’s saleable steel production stood at 0.26 million tons in 3QFY25, slightly lower than the 0.27 million tons in the corresponding period of the previous fiscal year. The Thai facility produced 0.87 million tons during 9MFY25, a modest growth compared to 0.81 million tons in 9MFY24.
Delivery Volumes
• Tata Steel India:
Deliveries in India reached a record-breaking 5.29 million tons, a 4% QoQ and 8% YoY increase. The rise in deliveries was driven by strong domestic market sales and the company’s strategic export presence. Over the first nine months of fiscal 2025, Tata Steel India delivered 15.34 million tons, a 4% YoY growth in domestic deliveries.
Key domestic delivery segments include:
• Automotive & Special Products:
Deliveries were approximately 2.3 million tons, driven by a 3% YoY growth in high-end automotive products. The commissioning of the Continuous Annealing Line at Kalinganagar is expected to boost Tata Steel’s offerings in the automotive sector.
• Branded Products & Retail:
Deliveries for the quarter were around 5.1 million tons, showing a 6% YoY increase. Significant growth came from Tata’s well-established brands like Tata Tiscon (retail) and Tata Steelium (cold rolled), which saw 20% YoY and 7% YoY growth, respectively.
• Industrial Products & Projects:
Deliveries stood at 5.3 million tons, steady on a YoY basis. However, there was a double-digit growth in value-added segments like Engineering and Ready-to-use solutions.
• Tata Steel Aashiyana:
The e-commerce platform for individual homebuilders recorded a 37% YoY increase in revenues, amounting to Rs. 2,154 crores. This growth is attributed to various strategic initiatives enhancing consumer experience.
• Tata Steel Netherlands:
Deliveries in the Netherlands reached 1.53 million tons in 3QFY25, including approximately 0.12 million tons shipped to the UK operations. This represents a 16% YoY increase in deliveries for 9MFY25, supported by improved production volumes.
• Tata Steel UK:
In the UK, deliveries were 0.56 million tons, slightly down from 0.63 million tons in 2QFY25, with a total of 1.87 million tons for 9MFY25. The decrease is attributed to subdued demand dynamics and the closure of blast furnaces in the previous quarter.
• Tata Steel Thailand:
Deliveries from Tata Steel Thailand were 0.28 million tons in 3QFY25, steady compared to the same period in FY2024. The company’s total deliveries for 9MFY25 amounted to 0.87 million tons, slightly up from 0.80 million tons in the prior fiscal year.
Strategic Developments and Investments
Tata Steel continues to focus on key strategic initiatives across its operations. The commissioning of the 5 MTPA blast furnace at Kalinganagar and the Continuous Annealing Line at the same facility are significant milestones aimed at enhancing the company’s product offerings, particularly in the automotive sector. Additionally, the Tata Steel Aashiyana platform’s growth indicates the company’s commitment to e-commerce and consumer-focused services.
In the third quarter of FY2025, Tata Steel's regional production and delivery volumes exhibited notable variation: Tata Steel India led with a robust 5.68 million tons of production and 5.29 million tons of deliveries. Tata Steel Netherlands followed with 1.76 million tons of production and 1.53 million tons of deliveries. Meanwhile, Tata Steel UK reported no production but managed 0.56 million tons in deliveries. Lastly, Tata Steel Thailand produced 0.26 million tons and delivered 0.28 million tons, showcasing steady performance across its regions.
