Showa Denko to Expand Hard Disc Output Capacity by 2 million units

Showa Denko announced on Thursday the firm expands the hard disc output capacity by 2 million units to 15.75 million units per month in the year for total 8 billion yen. The firm adds new production facilities at the subsidiary Showa Denko HD Trace Corporation in Taiwan. The firm also improves productivity at other production sites to expand the capacity by 2 million units at Chiba, Singapore and Taiwan. The firm completed 3.05 million units expansion to 13.75 million units in April. However, the firm decided additional expansion when the firm cannot meet all of demand from users even after the expansion. The firm is constructing no.4 hard disc plant in Singapore to meet higher demand longer term. The firm plans to finish the work of the one of the world largest hard disc plant in November starting mass production in first quarter of 2007. The firm adds production lines gradually at the new plant expanding the total capacity to 24 million units per month by the end of 2008. The firm has the world largest hard disc supplier for the market without internal consumption. The firm tries to expand the business through 90 billion yen of capital expenditure in 3 years under the mid-term plan.