Sumitomo Corp Establishes Processing Bases of Tool Steel in Tianjin

Sumitomo Corporation establishes a processing and sales base for tool steels applied to molds in Tianjin, China. The firm aims to build up tool steels’ sales for automobile in North China including Tianjin, Beijing and Dalian. The firm opens a new plant in Tianjin and starts the operation in early June. The firm will become to operate three tool steel business bases in China, following existent sites in Shanghai and Foshan. The annual sales are expected at 800 million yen by 2015. Sumitomo Corp examines establishment of the next business site in inland regions of China since mold demand is increasing in inland areas as well as in coastal areas.

The new plant’s floor space is 2,500 square meters with cutting machines and 15-20 employees initially. The investment is about 100 million yen. Daido Steel, Japanese largest special steel maker, supplies tool steels for molds. The new plant is scheduled to introduce a heat treat furnace and additional facilities for better product quality in early 2011 with supports from Daido Steel. The new plant partially covers stock function for a sales base in Dalian.

Sumitomo Corp established a coil center in Tianjin in 1995 to process and sell steel sheet for press workers. The coil center and the tool steel’s new plant will accelerate the sales for local steel and mold industries in cooperation with Daido Steel.