Tokyo Rope MFG Reduces Wire Rope Export due to Wire Rod Shortage

Tokyo Rope MFG, Japanese biggest wire rope maker, will reduce export when wire rod is lacking with strong demand and export profit is decreasing by higher yen rate. The firm will concentrate the supply to domestic market. Wire rope demand is strong for manufacturing industry. The demand for elevator is expected to keep good situation thanks to many big project though the demand reduces which hit a peak in 2007 due to exchange for building. Meanwhile, wire rod is lacking when the material of Japanese integrated steel makers is hardly off and Japanese integrated steel makers’ output decreases by reinforcement work of wire rod mill. Japanese wire rope shipment was about 91,000 tonnes in 2007, was 12,000 tonnes for export.The firm will increase the output of the elevator rope factory in Vietnam at 180 tonnes per month of full operation in the last half of 2008 when Chinese elevator market is expected to grow every year. The firm plans to increase the factory’s output to 360 tonnes per month until 2009, which to increase to 500 tonnes in 2010. The firm expects Chinese elevator rope market would increase to 1,600 tonnes by about 7% in 2008 from 2007, increase to 1,700 tonnes by about 6% in 2009 from 2008 and increase to 1,800 tonnes in 2010.