Suzuki Metal Industry Increases the Production Capacity of Special Steel Wire

Suzuki Metal Industry which is Nippon Steel’s subsidiary and Japanese major special steel wire maker keeps higher production of the steel wire products such as oil temper wire for valve spring or suspension spring for automobile at about 60,000 tonnes per month after August compared with the same period of last year. The firm expects to increase the production by a few % in July compared with the same month in 2006. The firm will expand the production in 2007 from 2006 with good domestic demand.The firm introduced the high-frequency induction heating furnace and drawing equipment in Narashino works at the ended of March 2007 and increased the production capacity by 300 tonnes per month for oil temper steel wire for valve spring in order to the response of the request from users with higher output of automobile. Moreover, the firm introduced the high-frequency induction heating furnace and drawing equipment in the subsidiary, Muroran Suzuki, in June and increased the capacity for oil temper steel wire by 500 tonnes per month.Nippon Steel, material supplier to Suzuki Metal Industry, raised the selling price of special steel wire rod by 10,000 yen per tonnes from the shipment in July when sub materials price for nickel or lead or energy cost are increasing.Consequently, Suzuki Metal Industry increased the selling price of oil temper steel wire for spring by over 16,000 yen per tonne and is negotiating with users. Noboru Sugiura, the president of Suzuki Metal Industry, said that the firm will request the understanding for price hike to users for stable supply of special wire products.