thyssenkrupp has announced the sale of its Indian subsidiary, thyssenkrupp Electrical Steel India Private Ltd., to a consortium of JSW Steel Limited and JFE Steel Corporation for approximately 440 million euros. The transaction is expected to close within the coming months.

The sale is part of thyssenkrupp's strategic repositioning, as the cost of supplying raw materials from Germany to India weakened its long-term competitiveness in the region. According to Dennis Grimm, Spokesman for the Executive Board of thyssenkrupp Steel, "Setting up local raw material production is not economically viable, and we cannot achieve the same economies of scale as local competitors."

Proceeds from the sale will strengthen the capital base of thyssenkrupp's steel segment and support its ongoing green transformation efforts. While demand for grain-oriented electrical steel remains high amid the global energy transition, thyssenkrupp will focus on growth markets in Europe and North America.

thyssenkrupp Electrical Steel produces high-performance electrical steel used in transformers and generators, critical for renewable energy systems. The company will continue its operations in Germany and France, employing about 1,200 people across both countries.

Source: thyssenkrupp-steel.com