Japanese nonferrous metal industry makers try to diversify the operation after they had damage on their major plants from Thai flood. Fujikura said on Monday the firm diversifies the plants of flexible printed circuit and connector. Furukawa Electric announced on Tuesday the firm shifts a part of production from damaged subsidiary, Furukawa FITEL (Thailand) to Chinese operation.
Fujikura with world No.2 market share in flexible printed circuit had damage on Thai upstream operation. The downstream operation cannot increase the production due to idle of upstream operation. The firm decided to build new plants in Vietnam and in highland area of Thailand to diversify the operation. The firm also diversifies connector production after the subsidiary, DDK (Thailand) was damaged. Fujikura resumes operation of DDK (Thailand) and expands plants in China and Vietnam. Fujikura plants to production share at 45% in Thailand, 45% in Shanghai and 10% in Vietnam while the share was 70% in Thailand and 30% in Shanghai. Furukawa Electric idles Furukawa FITEL (Thailand), which makes semiconductor laser and optical parts, and shifts the production to other 6 plants. Furukawa Electric keeps production of optical parts at Dongguan plant for diversification while Furukawa FITEL (Thailand) resumes operation in March. Fujikura builds water barrier at Ayutthaya plant and shifts the production facility to second floor at plant in Nava Nakorn. Furukawa FITEL (Thailand) also shifts the production facility to second floor. Furukawa-Sky Aluminum announced on Tuesday the firm shifts flood damaged coil center operation to new flat rolling plant and resumes the operation in early 2014. The coil center stopped operation after the flood.Japan Steel Scrap Composite Prices (Sangyo Press)
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