Shinkansai Steel to Reduce Management Cost for Ferrous Scrap

Shinkansai Steel, Osaka based electric furnace steel maker, decided to integrate ferrous scrap procurement at Hoshida works from Metal One Structural Steel & Resource, the firm’s group company, on and after March 1, according to one small ferrous scrap dealer. Metal One Structural Steel & Resource purchases ferrous scrap and stocks at Hoshida works. Shinkansai Steel buys ferrous scrap from the stocks along with the works’ operative condition. Hoshida works can reduce inventory and finance loads related to ferrous scrap.

Shinkansai Steel produces flat bar and square steel at Hoshida works and Sakai works. Hoshida works produces small-middle size products at around 15,000 tonnes per month.

Hoshida works has purchased ferrous scrap from several dealers including Metal One Structural Steel & Resource. The firm judged radical reform to enhance competitive power and decided to entrust material stock business to Metal One Structural Steel & Resource.

Sakai works continues scrap procurement from several dealers as before.