Tata Steel records muted production of crude steel in Q2 FY22, overall delivery increased to 12% | Business Upturn

Tata Steel records muted production of crude steel in Q2 FY22, overall delivery increased to 12%

The company’s India crude steel production rose 2% at 4.73 million tonnes as against 4.63 million tonnes during the previous quarter (Q1FY22).

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Tata Steel witnessed a muted September quarter (Q2FY22) regarding the overall volume deliveries and crude steel generation, the company stated in a filing on Wednesday.

The company’s India crude steel production rose 2% at 4.73 million tonnes as against 4.63 million tonnes during the previous quarter (Q1FY22). However, when contrasted with the same quarter last year, the steel production increased 3%.

Tata Steel Europe measured a steel production of 2.56 million tonnes equated to 2.67 million tonnes in the last quarter, a slump of 4%. The muted output in the European business was essentially due to brief operational issues at both the Netherlands and UK steelmaking sites.

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Even deliveries were below 7% quarter-on-quarter due to seasonal impressions and a slowdown in automotive steel sales amid microchip shortages.

Tata Steel said its Europe’s deliveries persist on the mark to be substantially higher in FY22 than FY21, with developments seen beyond the engineering, automotive and construction sectors.

The company said, notwithstanding seasonal weakness, overall delivery volumes increased 12% quarter-on-quarter on the back of economic recovery after the second wave of COVID-19.

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Tata Steel Group is among the top global steel companies with 34 million tonnes annual crude steel capacity per annum. It is one of the world’s most geographically diversified steel producers, with operations and commercial proximity worldwide.

On Wednesday, Tata Steel scrip diminished 1.69% at ₹1,294.60 in afternoon trade on NSE.