Japan’s NISC to shut down cold-rolling, pickling operations

Nippon Steel & Sumikin Coated Sheet Corp (NISC) will close its cold-rolling and pickling facilities as part of a restructuring programme aimed at stopping a slide in profitability.

Paragraph entered by Atlantic migration, in order for SteelFirst articles to display correctly on Metal Bulletin.

“Although we have posted profits for the past three years, our margins have also decreased and we need to reverse this trend,” the company said.

The shutdowns would affect facilities at NISC’s Amagasaki plant in western Japan, and the Funabashi plant in Tokyo.

The wholly owned subsidiary of Nippon Steel & Sumitomo Metal Corp (NSSMC) said the Amagasaki plant would take cold rolled coil from its parent group’s Hirohata works instead.

Similarly, NISC’s Funabashi plant in Tokyo will take CRC from NSSMC’s Kimitsu works.

Production levels at the two plants are currently at about 50,000 tpm.

NISC said that it would focus investment on its overseas business. To date these include a joint venture with BlueScope Steel to supply coated sheet to the Southeast Asian markets, and a 60,000 tpy Vietnamese coated sheet production centre.

It will also upgrade its colour sheet lines at home to expand its range of products.

NISC estimates the restructuring will save it ¥1.5 billion ($15 million) annually.

In the fiscal year ended March 31, the company saw its sales revenues decline by 2.9% to ¥80.1 billion ($804 million) and its pre-tax profit slide to ¥601 million ($6 million), from ¥1.56 billion ($15.6 million) in the previous year.

What to read next
Chromite prices rose further in the two weeks to Tuesday May 31 on support from cost pressures and logistical issues in South Africa
UG2/MG chrome ore prices experienced major declines in the week to Tuesday July 12, dropping by $15 per tonne week on week, as the market saw the beginnings of a break in the continuing stalemate of recent weeks
The European charge and high-carbon ferro-chrome benchmark for the third quarter of 2022 has slumped by 16.7% from the previous quarter’s settlement to $1.80 per lb
Executives at major flat-rolled steel producers in the United States discussed three common themes during their companies’ earnings calls for the second quarter of 2022, sharing views on a potential recession, affects from recent government policy changes and trends in steel raw materials
Following a consultation period and market feedback, Fastmarkets will switch its Houston ferrous scrap price series to a consumer buying assessment on January 1, 2023, from its current methodology as a dealer selling assessment.
Austrian aluminium producer AMAG and German automotive manufacturer Audi have developed a recycled aluminium material for vehicle wheels to be put into series production, it was announced on Wednesday, August 3.
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.