SWCC Starts Operation of New Winding Wire Plant in Mie

SWCC Showa Holdings explained the capital expenditure plan for fiscal 2007 ending March 2008 on Tuesday. The firm explained a new factory of winding wire started operation inside SWCC’s Mie works, Mie Prefecture, Japan in the first half of fiscal 2007 ended September which was established with capex at 2 billion yen. The firm also referred to the formal decision to construct another insulating line for ultra-high-voltage power cable in Aichi plant, Aichi Prefecture, Japan with capex at 1 billion yen. SWCC plans total domestic capex of 4.8 billion yen through fiscal 2007.SWCC constructed a new factory and introduced new productive equipment for winding wire at Mie works in 1H. The firm renewed a vertical insulating furnace while doubled output capacity of enamel-coated rectangular wire. As to ultra-high-voltage power cable, the firm approved relocation of a horizontal continuous vulcanization (HCV) line from Kumagaya plant, Saitama Prefecture, Japan to Aichi plant. The HVC line is scheduled to start operation by summer 2008 in Aichi.Winding wire demand has maintained strong for automobiles and transformers. SWCC could not meet the strong demand sufficiently since fiscal 2005. The demand also became strong for high quality winding wire. SWCC established the new factory to prevent pollutions in productive processes.Ultra-high-voltage power cable demand is strong for overseas power companies in Middle East and Southeast Asia. There are 5 insulating lines in Aichi plant now, 2 of which are vertical continuous vulcanization (VCV) lines for ultra-high-voltage cables. Output capacity of a HCV line is expected to almost equal to a VCV line.