Event Details

Vardhman Special Steels Limited (BSE: 534392; NSE: VSSL) conducted foundation stone laying ceremony for its state-of-the-art forging facility at Village Mangarh, Kohara, Chandigarh Road, Ludhiana, Punjab on 27th July 2026. The ceremony was attended by Hon'ble Chief Minister of Punjab, S. Bhagwant Singh Mann Ji.

Project Investment and Phasing

The Company has committed total investment of ₹1,116 crore across two phases:

  • Phase 1: Establishment of one forging line with Non-Destructive Testing (NDT) line
  • Phase 2: Addition of second forging line based on customer demand and business growth

Timeline and Commissioning

Commissioning of the first forging line is targeted by March 2028.

Employment Impact

The total project is expected to generate direct employment for more than 300 people.

Technology Partnership and Manufacturing Focus

The project represents strategic partnership with Aichi Steel Corporation, Japan, leveraging their advanced rolling mill forging technology and manufacturing expertise. The facility will manufacture Ring Gears and other precision-forged automotive components for leading OEMs in:

  • Indian markets
  • International markets including Europe, ASEAN region, Africa, and Mexico

Strategic Rationale

The expansion marks:

  • Forward integration into high-value precision-forged automotive components
  • Natural progression of existing steelmaking operations
  • Movement up the automotive value chain through higher value-added products
  • Comprehensive solution offering to automotive OEMs combining special steel manufacturing with precision forging capabilities

Management Commentary

Mr. Sachit Jain, Chairman & Managing Director, stated: "This project represents a transformational milestone for VSSL as we expand from being a leading special steel manufacturer to becoming an integrated supplier of special steels and precision-forged components."

Partner Commentary

Mr. Iwao Shimamoto, President, Kitaeru Company, ASC, commented: "Through the transfer of Aichi Steel's forging know-how, we will jointly establish a manufacturing system founded on safety, superior quality and operational excellence."