JFE Steel’s West Japan Works to Inches Up Raw Steel Output

JFE Steel’s West Japan works targets more than 21.6 million tonnes of raw steel output in fiscal 2008 starting April when the works should produce 21.5 million tonnes, which was the original target for 3-year plan through fiscal 2008, one year ahead. The works increases the ferrous scrap purchase from market to 1 million tonnes level in fiscal 2008 to reduce carbon dioxide emission. The works adds continuous caster in Fukuyama area for 23 million tonnes of raw steel output along with shift to high valued products for next 3-year plan from fiscal 2009. The works held presentation for the 3-year plan progress at Fukuyama and Kurashiki areas. The top manager of the works, Hiroshi Nomura said the works tries to add around 100,000 tonnes on the original raw steel output target for fiscal 2008 compared with estimated 21.55 million tonnes in fiscal 2007 and 16.12 million tonnes of output in April-December 2007. The works tries to expand the output without major facility expansion through improvement efficiency. With the effort, the raw steel output increases by 1.1 million tonnes in fiscal 2007 from fiscal 2006. The works now improves reheat furnace of no.2 hot strip mill and sheet steel transport system. The works is expected to increase the raw steel output by around 10% in next 3-year plan by adding continuous caster to clear bottleneck. The woks will investment for the facility as soon as possible. The works reduces the carbon dioxide emission by reducing pig iron rate or by increasing scrap rate for the raw steel output. The works reduces the pig iron rate by more than 2% in fiscal 2008 after the rate already decreased by near 2% to 90%. The works increases the scrap purchase from market to 1 million tonnes per year. The works’ galvanizing steel output reached 2 million tonnes level while the works expands the high performance products from new plate making process at Fukuyama and new refining process at no.1 steel making shop of Kurashiki. The works cleared around 80% of the high valued products rate target at 30% of the sales for fiscal 2008 and expects the clearance in fiscal 2008. The works also increases the productivity per head by 13% in fiscal 2007.