India Lloyds Engineering Embarks On Sustainable Steel Tech
India’s industrial engineering landscape may be on the cusp of a sustainable shift as Lloyds Engineering Works Ltd announced it will manufacture and market advanced acid‑less steel pickling systems under a global licensing agreement with US‑based The Material Works Ltd (TMW). The pact gives Lloyds the rights to design, build and sell Eco Pickled Surface (EPS) Generation 4 equipment — technology that eliminates the need for acid in steel surface treatment — across most regions outside specified US and Asian territories.
Steel pickling is a critical process in preparing flat‑rolled steel for downstream manufacturing. Traditionally, this uses strong acids such as hydrochloric or sulphuric acid to strip scale and rust from metal surfaces, generating hazardous effluents and high disposal costs. The EPS Gen 4 system uses a mechanical‑chemical approach that avoids those acids, reducing effluent and associated environmental risk. The deal, structured as a licensing arrangement rather than a joint venture or acquisition, allows Lloyds Engineering to make unlimited units of the EPS Gen 4 cells, subject to annual cash payments and agreed “earn‑out” terms with TMW. TMW will continue to provide design enhancements, technical support, and training to support deployment.
For the Indian steel and heavy engineering sectors, the arrangement has several implications. First, it marks one of the earliest commercial pathways for acid‑free pickling technology to be manufactured domestically, aligning with broader industry goals around resource efficiency and lower environmental impact in metal processing. Second, it underscores a growing trend of Indian engineering firms integrating advanced foreign technologies to compete in global markets. Industry observers see this as particularly relevant as steel buyers and fabricators in India demand cleaner production methods that reduce occupational hazards and lower plant emissions without compromising quality. Analysts also point out that technological adoption can enhance “Make in India” credentials for exports of specialised industrial equipment.
Financially, Lloyds Engineering Works has shown stable performance. In its recent quarterly results, the company reported elevated profit and revenue growth year‑on‑year, which provides a firmer balance‑sheet base to invest in advanced manufacturing capabilities linked to the new licensing agreement. Despite these positives, market watchers advise cautious optimism. The steel pickling industry remains cost‑sensitive, and adoption of new technologies depends on capital expenditure cycles within steel mills and fabrication yards. Most Indian steel producers still rely on conventional acid systems, driven by price pressures and familiarity with legacy technologies. Commercial uptake of EPS systems will therefore hinge on demonstrating lifecycle cost savings, reduced downtime and stricter environmental compliance benefits over time.
For policymakers, this development signals an opportunity to champion cleaner industrial practices through targeted incentives and standards that reward low‑effluent processes. Smarter regulations for surface treatment waste, coupled with incentives for technology adoption, could accelerate broader shifts away from acid‑dependent methods.In the near term, Lloyds’ licensing deal offers a blueprint for how Indian engineering firms can leverage global innovations to meet both domestic sustainability goals and competitive industrial demand.
