Sumitomo Metals to Expand Automobile Flat Steel Sales

Sumitomo Metal Industries expands the for automobile rate to 60% of in steel sheet sales for fiscal 2008 starting April 2008 from 57% in fiscal 2007 and 53% in fiscal 2006. The firm tries to increase the high valued steel sales with the high valued products line and technology to follow growing automobile output at home and abroad. Sumitomo Metals started operations of new no.3 continuous galvanizing line at Kashima works in December 2006 and new pickling line in September 2007. With the new capacity, the firm expands the supply for the strategic area of automobile industry. Japanese automakers increase the consumption of high tensile steel to 40-50% of total automotive flat steel in order to reduce vehicle weight for better fuel consumption. Sumitomo Metals serves for the trend by providing high tensile steel along with the application technologies including tailored blank and hydro forming. The firm offers high tensile hot, cold and coated steel series with less than 980 mega pascal of strength and high tensile steel with more than 980 mega pascal for hot press process. The firm also provides surface treatment technology including inorganic lubricant treatment on galvanizing steel, GA-V for better formability.