Nippon Steel Launches Sheet Steel Process JV in Yawata Works

Nippon Steel announced on Monday the firm launches steel service center joint venture in April with Metal One Corporation, Nippon Steel Trading and other 3 companies. They try to improve the processing, quality control and delivery for automobile industry around Yawata works of Nippon Steel. The joint venture with 12,000 tonnes of monthly processing capacity starts operation in January 2008. Nippon Steel has 15% interest in the joint venture with 7.5% share each by Metal One and Nippon Steel Trading. Tokyo based major coil center, Isuzu Corporation has 40% interest in the venture with 30% share by Kitakyushu based 2 processors. The venture with a large slitter in plant in Yawata works can process high tensile steel sheet with more than 80 kilogram per square millimeters. Automobile output increases in northern Kyushu area with expansion by Toyota Motor, Nissan Motor and Daihatsu Motor. The output is expected to reach annual 1.5 million units from 1 million units in fiscal 2006. With higher output, automotive parts makers also expand the local operations.