The groundbreaking celebration will be attended by Tata Steel and Tata Group’s chairman, Natarajan Chandrasekaran, and chief executive officer T. V. Narendran, Tata Steel UK chief executive officer Rajesh Nair, and various government ministers. 

“Today’s groundbreaking marks not just the beginning of a new electric arc furnace, but a new era for sustainable manufacturing in Britain,” said Chandrasekaran. “At Port Talbot, we are building the foundations of a cleaner, greener future, supporting jobs, driving innovation, and demonstrating our commitment to responsible industry leadership.”

The event will include breaking the ground with spades to mark the start of construction for the U.K.’s largest low-carbon steelmaking facility. The project is part of a £1.25 billion transformation to low-CO2 steelmaking, supplemented by a £500 million investment from the U.K. government.

“This government is committed to a bright future for our steel industry, which is why we provided £500 million of funding to make this project possible. Our modern Industrial Strategy will set out how we’ll back the sector even further to drive growth and create well-paid jobs across the country, as part of our Plan for Change,” said U.K. business secretary Jonathan Reynolds. 

The company estimates the new EAF will reduce Port Talbot’s carbon emissions by about 90% — 5 million metric tons — annually. Supporting about 5,000 jobs, the facility is expected to produce 3 million metric tons of steel per year. In addition to the EAF, the project will include new ladle metallurgy facilities, infrastructure upgrades and partnerships with technology providers such as Tenova, ABB and Clecim. 

“The start of the construction phase is good news for Port Talbot and neighboring communities, and I’m especially pleased that Tata has committed to employing local contractors and local workers where it can,” said U.K. first minister Eluned Morgan. 

The new EAF is set to be commissioned at the end of 2027, the company said.