Steel made in India is entering Toyota’s Southeast Asian supply chain through Vardhman Special Steels Ltd.’s partnership with Japan’s Aichi Steel Corp.
Known as VSSL, the Indian company produces automotive-grade special steel used in critical vehicle components.
Since Aichi became a shareholder and technical partner in 2019, its expertise has helped the Indian manufacturer improve safety, quality and production.
“We are successfully serving Toyota’s requirements in the ASEAN region through Aichi Forge,” Chairman and Managing Director Sachit Jain said.
Aichi Forge uses the company’s steel to make forged automotive parts for Toyota in Southeast Asia. Jain added that another Japanese automaker in India approved local production of a steel grade previously imported from Japan.
“We are looking to a future where Aichi Steel and VSSL can together serve global steel customers in India, Japan, ASEAN, Europe and Africa.”
Sachit Jain, Chairman and Managing Director of Vardhman Special Steels
After record production last year, the steelmaker expects to substantially exceed that output this year. Together with Aichi, it has announced a steel plant that will more than triple annual capacity from 250,000 metric tons. The company will also begin making forged components, steel parts shaped under pressure, in fiscal 2028-29.
Aichi has reinforced the partnership through its ownership and on-site expertise. “They have increased their stake in VSSL from 11.4% to 24.9% last year signifying their increased confidence in India and in VSSL,” Jain said.
Six Aichi personnel will work at Vardhman beginning in October, including an executive who will lead forging operations.
Jain envisions transforming Vardhman into a producer with an annual capacity of 1 million metric tons within 10 to 15 years, quadrupling capacity while advancing green steel and the circular economy.
The company would expand beyond automotive markets into railways, defense, wind turbine shafts and bearings, followed by advanced metals for aerospace and nuclear power.
“We are looking to a future where Aichi Steel and VSSL can together serve global steel customers in India, Japan, ASEAN, Europe and Africa,” Jain said.
Mrs. Soumya Jain, daughter of Mr. Sachit Jain, represents the next generation of leadership within the organization. As the Executive Director of the company, she plays a pivotal role in steering its strategic growth and is actively leading the company toward continued success and innovation.
