Synergy Advanced Metals has signed four memorandums of understanding (MoUs) under the Production Linked Incentive (PLI) Scheme 1.2, as part of plans to expand its specialty steel manufacturing capacity, company officials said.
The agreements are aimed at strengthening the company’s participation in the government’s PLI 1.2 framework, which incentivises investments in value-added steel production and supports the development of high-end steel grades for automotive, engineering, defence and other critical sectors. The MoUs outline commitments related to capacity augmentation, technology deployment, infrastructure development and downstream integration.
Synergy Advanced Metals said its expansion strategy focuses on increasing output of specialty steel products that command higher technical specifications, quality standards and margin profiles than conventional flat or long steel categories. By leveraging incentives under the PLI Scheme 1.2, the company seeks to improve competitiveness, attract further investment and support long-term demand growth driven by emerging industrial applications.
Officials noted that the MoUs mark a stepping stone toward realising project implementation, with further detailed agreements and execution plans to be finalised following necessary approvals and alignment with scheme guidelines. The commitments reflect confidence in India’s policy framework for promoting domestic manufacturing and value addition in the steel sector.
Under the PLI Scheme 1.2, participating companies are eligible for performance-linked incentives over defined tenures based on incremental production, domestic value addition and employment generation. The programme is designed to encourage technology adoption, quality improvement and integration of specialised steel supply chains that contribute to import substitution and export competitiveness.
Industry analysts said such agreements signal sustained interest by private steel makers to expand into higher-value products, as global steel markets place growing emphasis on specialty grades for automotive, machinery, defence, oil and gas, and renewable energy applications. Expanding capacity under a supportive incentive regime is expected to enhance India’s capabilities in these segments while fostering industrial downstream growth.
Synergy Advanced Metals officials added that the expanded capacity will help meet current and future demand for advanced steel products within the country, reducing reliance on imports and strengthening domestic supply reliability for critical sectors.
The company said it will proceed with project design, resource mobilisation and stakeholder engagement as it transitions from MoU commitments to detailed implementation and commissioning phases.
