JSW USA plans to invest up to $500 million to install a technologically advanced, eco-friendly hot-end facility at its 700-acre campus in Baytown, Texas. The announcement marks the second and larger phase of a plate-mill modernization and expansion project that began in June 2017. The hot end’s electric-arc furnace (EAF) is designed to generate the lowest emissions possible for steel production. According to the company, JSW USA will be the only entity of its kind (for the products it makes in North America) blending scrap with direct-reduced iron (DRI)/hot briquetted iron (HBI).

Once the hot-end project launches, JSW USA is expected to create 500 new high-wage jobs before it becomes operational 18 to 24 months later. The addition of the hot end will make JSW USA the world’s only plate mill with a contiguous large-diameter pipe mill. This will enable the company to produce its own slabs to feed the mills, instead of needing to buy foreign slabs.

This is the first equipment installation and upgrade to the facility since it was built by U.S. Steel in 1968. JSW USA is a wholly owned subsidiary of JSW Group, a $13 billion India-based company.