Hokkaido Steel Wire Completes Oil Tempered Wire Expansion

Japanese oil tempered steel wire maker, Hokkaido Steel Wire increased the production capacity to 700 tonnes per month, which is 100 tonnes higher than original plan. The firm had been working toward the expansion since the establishment in June 2006. The firm aims to increase the production at full capacity by end of March 2011. Sumitomo Steel Wire group’s production capacity increased to 1,300 tonnes while the parent company’s capacity stays 600 tonnes at plant around Osaka. Mr. Masayuki Ono, president of Hokkaido Steel Wire announced on Thursday.

Hokkaido Steel Wire finished heat treatment capacity expansion in August. The firm increases the capacity more than original plan due to the increase in product yield rate and line speed improvement.

Sumitomo Steel Wire decided to establish Hokkaido Steel Wire to increase the production of oil tempered wire for valve spring to meet growing automobile demand in overseas. The subsidiary, which was established in site of Nippon Steel’s Muroran works, started the operation at 300 tonnes of monthly output capacity. The lead time of the subsidiary is around 5 days compared with about a half month for Sumitomo Steel Wire. The subsidiary’s production lot is small at 400 kilograms while wire rod lot is about 2 tonnes.