In a significant boost to industrial development in Punjab, Japanese steel behemoth Aichi Steel Corporation has agreed to significantly expand its existing partnership with Vardhman Special Steels. The move involves a proposed investment of Rs 500 crore and was formalized during Punjab Chief Minister Bhagwant Mann's ongoing visit to Japan.
MoU Signed During CM's Diplomatic Visit
The Memorandum of Understanding (MoU) was signed in Japan in the presence of Chief Minister Bhagwant Mann, who is currently on a 10-day tour of Japan and South Korea. Mann described the occasion as a red-letter day for the state of Punjab, highlighting the deal's importance for the local industrial ecosystem.
Aichi Steel, which is widely recognized as the steel manufacturing arm of the global automobile giant Toyota, already holds a substantial 24.9 per cent stake in Vardhman Special Steels. The company has been a key technology partner, and this expanded collaboration symbolizes the deepening Indo-Japan partnership within Punjab's manufacturing sector.
Feasibility Study for Major Investment
As part of the enhanced agreement, the Japanese steel giant will conduct a detailed study of future factory operations within Punjab. This study will include a comprehensive feasibility assessment for the planned investment of approximately Rs 500 crore. Chief Minister Mann assured the company of the state government's full support and cooperation to ensure the success and expansion of this strategic collaboration.
To further encourage Japanese industrial engagement, CM Mann extended a formal invitation to the leadership of Aichi Steel to participate in the upcoming Progressive Punjab Investors' Summit. This major event is scheduled to be held in Mohali from March 13 to 15, 2026.
Punjab's Push for Global Investment
Mann stated that the summit aims to showcase Punjab's economic progress and reforms. It will serve as a platform to bring together leading industrial players from across the globe and present new opportunities for partnership and collaboration. The Chief Minister expressed strong hope that Japanese investors, in particular, would participate in the summit in a big way, thereby accelerating the state's industrial growth.
The Chief Minister's delegation to Japan and South Korea is a strategic part of the Punjab government's outreach initiative in the run-up to the 2026 investors' summit. The goal is to attract foreign direct investment (FDI) and foster international business ties to revitalize the state's industrial landscape.
