Nippon Steel Launches Thai CH Wire Process Plant

Nippon Steel held opening ceremony for Nippon Steel Bar and CH Wire (Thailand) on Monday. The processing company tries to serve local transplants of Japanese automakers. Nippon Steel tries to improve the supply network in Japan, China and Thailand.

Japanese parts makers have many transplants in Thailand, which is the largest automobile production base in Southeast Asia. Thai transplants of automakers procure bolt and nut from local suppliers. Nippon Steel supplied cold heading wire for the transplants through local joint venture, T.S.K. Wire. However, Nippon Steel decided to improve the supply base when the automobile and motorcycle output increase in Thailand.

Nippon Steel built the new plant with 77 employees and with annual 40,000 tonnes of output capacity, which is more than triple than before, for around 1.85 billion yen. The firm transfers the production at T.S.K. Wire with 12,000 tonnes per year to new plant. Nippon Steel already launched Chinese CH wire processing plant in 2006.