POSCO Japan to Build New Steel Service Center in Kyushu

POSCO Japan’s Kitakyushu based steel processing subsidiary, POSCO-JKPC builds new plant to process automotive flat steel in Kanda, Fukuoka after the firm secured around 30,000 square meters of land. The plant with leveler and slitter will start operation in summer 2009. The firm provides sheet steel processing service for Nissan Motor’s plant and parts makers around Kyushu for Daihatsu Motor. JKPC already operates coil processing plant with leveler machine in Kitakyushu. The plant with around 20,000 tonnes of monthly processing capacity provides sheet steel mainly for construction market. The firm tries to follow the higher demand for automobile in Kyushu by the new plant when the automobile output increases to more than 1 million units per year. POSCO provides more than 3,000 tonnes of hot, cold and coated sheet for Nissan’s Kyushu plant with processing support by Nissan Trading’s plant. JKPC tries to process the POSCO’s sheet steel for automakers by building new plant, for which the construction will starts in the year. The new plant is near Nissan’s Kyushu plant and is expected to have monthly 5,000-6,000 tonnes of processing capacity. The plant can make use of the circumstance including major users’ operations and infrastructure including port facilities with major berth.