Tungaloy to Build New Inserts Chip Plant

Tungaloy Corporation, Japanese major cemented carbide tool maker, builds a new plant to manufacture inserts chip in Iwaki plant, Fukushima, announced on Wednesday. Iwaki plant’ chip production capacity increases to more than 4.5 million units from 3 million units.

The new plant, which has two floors and a total floor space of 15,500 square meters, is scheduled to be completed in October 2010 and starts operation from the end of 2010 or the beginning of 2011. The capital expenditure is estimated at about 4 billion yen for the building and at about 6 billion yen for the introduction of production facilities from press to coating.

The sophisticated plant with automated facilities manufactures large-lot products for overseas market while existing plant manufactures small-lot products for domestic market. Iwaki plant is the only production site, which manufactures inserts chip among domestic plants of Tungaloy. The firm moves headquarter from Tokyo to Iwaki plant on April 1, 2010.