Hitachi Metals Aims Global Sales of 700 Billion Yen in F2015

Hitachi Metals’ president Hiroyuki Fujii said the firm aims to become a global company along its new 3-year management plan started in April 2010 and tries to regain record level sales and profits in fiscal 2015. The firm firstly expects for financial rebound in fiscal 2010, said Mr. Fujii. The firm targets net sales of 600 billion yen with operating profit of 65 billion yen in fiscal 2012. The long-term sales target is 700 billion yen in fiscal 2015, as high as peak 701.1 billion yen in fiscal 2007.

Mr. Fujii said the firm focuses on Asian market because growing trend has shifted to Asia from Europe and USA. Hitachi Metals eyes establishment of sales bases and tie-up with local companies as well as application of local staffs. Mr. Fujii said Hitachi Metals should produce high performance products that overseas makers can’t provide and, at the same time, cost competitive products of middle grade. He said the firm leaves mother plants in Japan while shifts common grade products and processing or assembly processes to overseas such as China, Thailand or Philippine.

Key ward of research and development is environment, said Mr. Fujii. He explained the firm develops new materials which can contribute to downsizing and weight saving for automotive components and cladding products for batteries. Mr. Fujii said the firm aims to reinforce capital expenditure planned at 84 billion yen for fiscal 2010-2012 by the sales increase to 700 billion yen.

As to material procurement policy, Mr. Fujii said the firm is trying to diversify rare metal supply sources such for neodymium or dysprosium and developing manufacturing methods for smaller but higher performance magnets even with less rare earth additives.