Tata Steel vs JSW Steel: Who Delivered Stronger Production Growth in Q1 FY27?

Synopsis: India’s two largest steelmakers opened FY27 on a strong note, with one retaining the production lead while the other posted faster domestic growth, reflecting different operational strengths and business priorities. 

India’s steel sector began FY27 on a steady note as leading producers reported their first-quarter operational updates amid ongoing capacity expansion and mixed global market conditions. While production remained the key focus, companies also highlighted plant utilisation, domestic demand and operational efficiencies. The latest updates from JSW Steel and Tata Steel provide a comparison of how both companies managed production, deliveries and capacity during the quarter, despite facing different operational challenges.

Production Performance

JSW Steel reported consolidated crude steel production of 6.59 million tonnes (MT) in Q1FY27, compared with 6.48 MT in Q4FY26 and 6.38 MT in Q1FY26, reflecting 2% QoQ and 3% YoY growth. Its Indian operations produced 6.35 MT, up from 6.32 MT in the previous quarter and 6.14 MT a year ago. 

Meanwhile, Tata Steel India’s crude steel production stood at 5.82 MT, lower than 6.22 MT in Q4FY26 due to seasonality but higher than 5.23 MT in Q1FY26, translating into an 11% YoY increase. While JSW retained the lead in absolute production, Tata Steel recorded stronger year-on-year growth in India.

Indian Operations

JSW Steel said production growth was affected by the planned shutdown of Blast Furnace 3 (BF3) at its Vijayanagar plant, which restarted hot metal production on 23 June 2026 after a capacity upgrade. Despite this, Indian production still grew 3% YoY. Excluding the BF3 shutdown impact from last year’s base, the company said volume has increased by around 15% YoY, driven by the full ramp-up of JVML operations and better utilisation at its Dolvi plant. Tata Steel’s Indian operations benefited from higher production at its Jamshedpur and Kalinganagar facilities, supporting the company’s double-digit production growth.

Capacity Utilisation and Operational Efficiency

JSW Steel reported around 94% capacity utilisation across its Indian operations during Q1FY27 after excluding the BF3 capacity that was under shutdown. This indicates that the company continued to operate efficiently despite maintenance-related disruptions. Tata Steel did not disclose a comparable utilisation figure but highlighted improved output from its Indian facilities, reflecting stable plant operations during the quarter.

Deliveries and Domestic Demand

Unlike JSW Steel, Tata Steel also disclosed delivery performance. Deliveries from Tata Steel India stood at 5.17 MT, compared with 6.19 MT in Q4FY26 and 4.75 MT in Q1FY26, registering 11% YoY growth. Domestic deliveries broadly matched production and were supported by a richer product mix and a strong marketing network.

The company’s Automotive & Special Products business achieved its best-ever first-quarter volume of around 0.9 MT, while high-end products grew 20% YoY, supported by the ramp-up of continuous annealing and galvanising lines at Kalinganagar. The Branded Products & Retail business reported best-ever first-quarter volumes of around 1.7 MT, with Tata Tiscon volumes rising 33% YoY and Tata Steelium growing 41% YoY. The Industrial Products & Projects segment delivered around 1.6 MT, while the Tubes and Tinplate businesses also achieved their best-ever first-quarter volumes.

Digital and Value-Added Business

Tata Steel continued to strengthen its value-added businesses during the quarter. Gross Merchandise Value (GMV) from its digital platforms, Tata Steel Aashiyana and DigECA, reached ₹2,200 crore, marking a 61% YoY increase. The company also expanded its presence in emerging sectors such as shipbuilding, containers and data centres, supported by customer additions and new grade approvals.

International Operations

JSW Steel’s US operations produced 0.24 MT, unchanged from Q1FY26, compared with 0.15 MT in the previous quarter. Tata Steel Netherlands produced 1.55 MT of liquid steel against 1.63 MT in Q4FY26 and 1.70 MT in Q1FY26. Deliveries from the Netherlands stood at 1.40 MT, compared with 1.70 MT and 1.50 MT, respectively, impacted by the shutdown of the Direct Sheet Plant in April 2026. Trial runs have since begun ahead of the restart of full operations.

In the UK, Tata Steel delivered 0.48 MT, down from 0.52 MT in Q4FY26 and 0.60 MT a year earlier, while work continues on setting up a 3 MTPA Electric Arc Furnace at Port Talbot. Tata Steel Thailand reported 0.33 MT of both production and deliveries, broadly unchanged from the previous year.

Conclusion: 

Both JSW Steel and Tata Steel delivered a resilient start to FY27, but their strengths differed. JSW Steel retained its leadership in overall production despite the planned shutdown of a key blast furnace, reflecting strong operational efficiency. Tata Steel, meanwhile, recorded faster growth in its India business, supported by higher production, improved deliveries and robust demand across value-added segments. The quarter highlighted JSW’s scale advantage and Tata Steel’s stronger domestic execution.

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