Nisshin Steel to Seek High-Valued Products under New 3-Year Plan

Nisshin Steel tries to seek original high-value products market under the new business plan started in April. Mr. Hideo Suzuki, who accepted president of the firm in April, said he is to realize the tasks for the plan for future Nisshin Steel.The firm targets 70 billion yen of recurring profit for fiscal 2008 ending March 2009 compared with estimated record profit of 63 billion yen for fiscal 2005. Mr. Suzuki said the firm tries to improve the products mix for the target. The firm will increase sales of strategic products including special steel and special coated steel from current 42% to 47% in fiscal 2008. Mr. Suzuki said he tries to find the way to increase the rate to 50% by developing new products.The firm increases the capital expenditure to 2.2 times under the plan compared with that in past 3 years. Mr. Suzuki said the firm expends 18 billion yen for special steel to expand automotive high carbon steel and to add cold rolling mill at Sakai works. He said the firm also expends 8 billion yen to increase chrome series stainless steel and to develop original stainless products. Mr. Suzuki said the firm seeks better alliance with Nippon Metal Industry and Nippon Steel & Sumikin Stainless Steel. He also considers new stainless cold rolling line in India to utilize stainless hot rolled coil from Columbus Stainless, which is a group company of the partner of Acerinox of Spain.