Yodogawa Steel Works Expands Sheet Processing Business in China

Yodogawa Steel Works will expand sheet processing business in China. A sheet processing center of Sheng Yu Steel, the firm’s subsidiary, started commercial operation in Dong Guan in April 2009. Sheng Yu Steel will raise an equity in the processing center. A metal roof and siding maker, Yodogawa Building Material of Sheng Yu Steel’s subsidiary, is examining employee expansion when order receipts are increasing from Japanese and Taiwanese companies.

Sheng Yu Steel established the coil center in Dong Guan and started the operation mainly for surface treated steel sheet in November 2008. The coil center gained the first commercial order in February 2009. The center’s shipment is increasing from April and reached 2,000 tonnes per shift in July.

The coil center is trying to increase order receipts mainly for hot dip galvanizing sheet for personal computers from Chinese market. Meanwhile, the orders are also expected to increase for galvanized steel sheet from liquid crystal televisions in China.

The coil center’s capital is US$ 3.7 million, controlled by Taiwanese companies including Sheng Yu Steel with 55% shares and Taiwanese companies in China with 45% shares. Sheng Yu Steel examines to raise the investment ratio for independent operation.

Yodogawa Building Material is selling metal roof and siding to Japanese and Taiwanese companies in China, increasing award volume. Yodogawa Steel Works will send staffs to Yodogawa Building Material from Japan and Taiwan. Yodogawa Building Metal increases employees from current 5 to 8 and will expand business of sales, designing and engineering services.