Sumitomo Metals (Kokura) to Improve Competitiveness

Sumitomo Metals (Kokura) announced on Wednesday the firm refreshes the facility to remain in competition in the special steel industry under the long-term vision to fiscal 2010 ending March 2011. The firm made the vision and action plan for fiscal 2006-2008 after restructuring to survive between fiscal 2000 and 2005. The firm invests 20 billion yen to refresh steel making process including additional refining facilities and dephosphorizing facilities. The firm also improves the products mix focusing on carbon steel for machine structural use, alloy steel, free cutting steel and bearing steel. The firm increases the sales of special steel to 92% of total sales in fiscal 2008 from 89% in fiscal 2005. The firm is integrated steel maker to make special steel after spin off from Sumitomo Metal Industries in April 2000. The firm with a blast furnace produced more than 1.45 million tonnes of raw steel in fiscal 2005 shipping carbon mechanical structural steel, alloy steel, free cutting steel and bearing steel mainly. The firm tries to improve the business of the 4 items and doesn’t expand the business to other items including tool steel. The firm focuses on existing items and invests for strategic areas.