Lakshmi Mittal, an Indian-origin entrepreneur, is currently known as one of the world’s steel kings. His leadership in the steel industry has transformed him into one of the richest people in the world. However, Mittal’s success story did not begin in India; it started in Indonesia. Early in his career, Mittal laid the foundation for his steel business through the establishment of PT Ispat Indonesia, which became the starting point for his company’s global expansion, now known as ArcelorMittal.
Born in Rajgarh, India, in 1950, Lakshmi Mittal came from a modest family involved in the steel business. His interest in the steel industry grew from a young age, and after completing his education in India, Mittal decided to pursue a career in steel. However, he was not content with the local market in India and chose to expand his business internationally.
In 1976, Mittal established PT Ispat Indonesia in Cilegon, Banten. Initially, the company was just a steel mill relying on limited investment and capital. However, through perseverance and a long-term vision, PT Ispat Indonesia rapidly grew to become one of the largest steel producers in Indonesia. This marked the beginning of Mittal’s journey, eventually earning him the title of the world’s steel magnate.
As PT Ispat Indonesia developed, Mittal recognized the tremendous potential to expand his business into global markets. With his ability to devise strategic plans and execute them effectively, he succeeded in transforming PT Ispat Indonesia into a globally recognized steel producer. Within a few years, Mittal began building a widespread distribution network, aiming to dominate the markets in developing countries and major industrial nations.
An important milestone in Mittal’s business journey came in 1997 when he successfully acquired the large European steel company, Ispat International, which had previously been owned by Mittal. This acquisition marked Mittal’s first significant step in strengthening his position in the global market. In 2006, Ispat International officially changed its name to ArcelorMittal after merging with Arcelor, Europe’s largest steel company. This acquisition gave Mittal control over one of the largest steel companies in the world, and ArcelorMittal now holds the largest steel production capacity, serving global markets.
In the past three years, ArcelorMittal has continued to grow with a series of strategic acquisitions that further solidify its position as the global leader in the steel industry. In 2021, ArcelorMittal acquired Essar Steel India Limited, a major move that strengthened its presence in the Indian market. The transaction, valued at around USD 5.9 billion, made ArcelorMittal one of the dominant players in the Indian steel market. This acquisition also provided ArcelorMittal with access to one of the largest steel markets in the world and opened doors for further expansion in the Asian region.
Furthermore, in 2022, ArcelorMittal acquired a steel plant in Kazakhstan by acquiring a majority stake in the local company, Temirtau Steel. This transaction added to ArcelorMittal’s production capacity in Central Asia and further strengthened the company’s position in the global market. As a result, ArcelorMittal now operates in more than 60 countries worldwide, making it the undisputed market leader in the steel industry.
Beyond major acquisitions, ArcelorMittal under Mittal’s leadership has also focused on innovation and sustainability. The company has made significant investments in environmentally friendly technologies to reduce carbon emissions in the steel production process. In 2023, ArcelorMittal announced plans to reduce carbon emissions by 35% by 2030 and committed to achieving carbon neutrality by 2050. This initiative positions ArcelorMittal as a pioneer in developing a greener and more sustainable steel industry.
In addition to acquisitions and innovation, Lakshmi Mittal is also known for his ability to navigate major challenges. During the 2008 global financial crisis, when many steel companies struggled, ArcelorMittal managed to survive and even thrive. Mittal implemented efficiency and rationalization policies across its global operations, allowing ArcelorMittal to maintain stable financial performance despite significant pressure on the steel market.
As ArcelorMittal continues to grow, Mittal is also active in philanthropy. Through the Lakshmi Mittal and Family Foundation, Mittal has supported various social initiatives in India and in countries where ArcelorMittal operates. The foundation focuses on education, healthcare, and poverty alleviation, aiming to improve the quality of life for communities surrounding the company’s industrial areas.
At the age of 74, Mittal remains one of the wealthiest people in the world, with an estimated net worth exceeding USD 20 billion. He continues to lead ArcelorMittal with a sharp and bold vision, maintaining the company’s position at the pinnacle of the global steel industry. Mittal’s journey from a young entrepreneur starting a steel business in Indonesia to becoming a global steel magnate is a testament to his extraordinary ability to adapt, innovate, and lead a global company to success.
Mittal’s success is driven not only by his willingness to take significant risks but also by his ability to spot opportunities in difficult situations. By leveraging the latest technologies, optimizing production processes, and making strategic acquisitions, Mittal has transformed ArcelorMittal into an undisputed leader in the steel industry.
ArcelorMittal, led by Mittal, continues to be one of the largest and most valuable companies in the world, and the steel industry it dominates continues to evolve, keeping pace with changing times and the increasingly complex demands of the market. In the future, ArcelorMittal is expected to play a key role in supporting global infrastructure development, with a focus on sustainability and environmentally friendly technologies.