J-Power Systems to Keep Full Capacity Operation for High Voltage Cable

J-Power Systems (JPS), which is high voltage electric cable making 50/50 joint venture of Hitachi Cable and Sumitomo Electric Industries, keeps full capacity operation for products with more than 60 kilovolt of voltage to serve offshore power supply infrastructure. The vertical continuous vulcanizer is scheduled to keep 24 hours a day and 7dais a week operation through end of March 2010.

The operation for products with less than 60 kilovolt is low level and especially the operation for products with 6.6 kilovolt is 50-60% of the capacity.

The production schedule is almost full for vertical continuous vulcanizers at the plants in Osaka and Ibaraki through March 2010. The production lines keep high level production for order backlog to major power distribution network projects.

The firm operates the catenary continuous vulcanizer, which makes 6.6-60 kilovolt products mainly for domestic cable network, at 85-90% of the capacity. The firm expects the production could keep the level in the second half of fiscal 2009 ending March 2010 but the power companies reduce the order for power cable by around 20% from the original plans. The firm tries to expand the order receipt to keep the operation level.

The production is very slow for products with 6.6 kilovolt, which is for interior wiring, due to very slow domestic construction activity including manufacturers’ plant building. The demand is expected to keep slow through the year ending March 2010.

The firm concerns operation for high voltage products line in and after April 2010 with thin order backlog for offshore projects while the firm expects some order for major domestic power network. The firm tries to secure the order under severe competition with the rivals under slower demand.