Kanai Builds Japan-China-Taiwan Productive Network for Nail and Screw

Tokyo based architectural metal hardware maker, Kanai organized Japan-China-Taiwan trilateral production network. The latest base was established in Zhejiang Province, China. Pregiden of Kanai Mr. Ryota Kanai, explained the firm can reduce business risks by operative diversification. Kanai targets consolidated net sales growth to 20-25 billion yen in medium term. The company’s consolidated net sales amounted 14.2 billion yen for January-December 2010 and the non-consolidated net sales represented 13.3 billion yen.

Kanai established a wholly-owned subsidiary in Zhejiang in February 2011 with capital fund of 10 million RMB (approximately 120 million yen). The plant started operation in April, which partially succeeded production facilities and employees from Fuji Nittei’s previous Shanghai plant. Fuji Nittei is Osaka based screw and nail maker that was wholly acquired by Kanai in October 2010.

The plant’s present output is approximately 250 tonnes per month with 80 employees, covering wide nail and screw items from JIS products to specialized products. Kanai plans to raise the plant’s production to 400-500 tonnes per month in CY2012.

Kanai Group produces nails and screws at KN Murata Industry, Kanai’s group company in Osaka, and Taikyu, another group company in Taiwan. Kanai Group’s production of architectural metal hardware currently totals 3,000-3,500 tonnes per month.

Kanai supplies architectural metal hardware mainly for Japanese residents. The company tries to widen nail and screw item lineup and to hold 30% market shares in Japan.