New Delhi: JSW Steel on Friday said it has commenced the construction of a 2 million steel plant project in Andhra Pradesh at an investment of over Rs 16,350 crore.The project will be set up in two phases through its 100 per cent subsidiary JSW Rayalaseema Steel Ltd, JSW Steel said in a statement.Also Read: Andhra Pradesh CM Chandrababu Naidu launches JSW's Rs 16,350 crore steel plant in KadapaJSW Steel said it has begun work on the Rayalaseema steel project in Andhra Pradesh.The first phase, with a planned investment of Rs 4,500 crore, would be a 1-MTPA integrated steel plant to manufacture low-carbon-emission steel products.The company said the second phase, with an additional planned investment of up to Rs 11,850 crore, will expand capacity to 2 MTPA, taking the total project investment up to Rs 16,350 crore.Also Read: India initiates anti-dumping investigation into steel imports from China, Japan, RussiaThe project will be based on Electric Arc Furnace (EAF) technology using recycled scrap and high-grade direct reduced iron (DRI) as raw material inputs, to manufacture structural steel.Part of JSW Group, JSW Steel has a combined crude steel capacity of 37.9 million tonne per annum (MTPA), including 4.5 MTPA through the JSW JFE Steel JV.