In Asia, North
America and Europe, Kobe Steel is growing its wire rod and bar business.
Kobe Steel and Europe's Lucchini Group have begun technical exchanges
on specialty steel wire rod and bar used in automotive applications.
The exchanges in production technology range from steelmaking to product
shipment. The exchanges are anticipated to lead to a technical alliance
that would make available the same high quality products of the two
companies worldwide.
Kobe Steel has a number of investments and technology agreements in
other countries. In Thailand, Kobe CH Wire (Thailand) Co., Ltd. processes
CHQ wire rod for automotive fasteners. In China, Nanjing Baori Wire
Products Mfg. Co., Ltd. also processes wire rod used in making auto
parts. Republic Technologies International LLC in the United States
benefits from our participation and technology.
R&D Agreement with U.S.Steel for Automotive Steel
Sheet
Kobe Steel and
U.S. Steel formed a cooperative agreement for research and development
in automotive steel sheet technology. The alliance is expected to
enhance the technical presence and capabilities of the two companies
among automakers worldwide. It responds to the expanding demand for
new and improved steel sheet products and technologies for innovative
automotive applications.
To date, Kobe Steel has transferred 60 kg class high strength steel
technology to its joint venture PRO-TEC and U.S. Steel. As a result,
PRO-TEC is the leading American producer of this variety of steel.
The new alliance with U.S. Steel goes beyond a single product. It
enables the implementation of technological deve-lopments in quality-critical
automotive applications on a broader and more cost-effective basis.
New areas of joint R&D may include ultra high strength steel sheet,
hydroforming, tailored blanks and sheet process simulations.
PRO-TEC Achieves New Record
In March 1990,
Kobe Steel and U.S. Steel formed an equal partnership joint venture
called PRO-TEC Coating Company to supply hot dip galvanized steel
sheet to the U.S. auto industry and Japanese auto transplants. Located
in Leipsic, Ohio, the facility, with an annual capacity of 600,000
short tons, came on stream in Janary 1993. In 1997, PRO-TEC made a
world record of over 670,000 short tons of prime-grade coated steel
sheet. With demand continuing to grow, PRO-TEC added a second line,
with an annual capacity of 400,000 short tons, which began operation
in autumn 1998. With a combined capacity of 1 million short tons per
year, PRO-TEC is among the top producers, in both quantity and quality,
of coated steel sheet in the U.S. market. In 1999, PRO-TEC was in
full production and in 2000 it produced over 1 million short tons.
Producing 60 kg class high strength steel has enabled
PRO-TEC to ship a growing amount to Japanese auto transplants. In
2000, about 16% of PRO-TEC's products went to the transplants.
In 2001, that amount is expected to rise to 25%.
Wirerope Company Formed in Kobe Steel Group
Kobe Steel, Tesac
Corporation, Nissho Iwai Corporation and Shinko Wire Company, Ltd.
formed a wirerope company called Tesac Wirerope Co., Ltd. in April
2001, from Tesac's rope and wire division. Tesac's high
quality wirerope is used in elevators and ropeways. Tesac has commissioned
the upstream production of the wirerope to Shinko Wire, a Kobe Steel
affiliate. The joint venture contributes to the competitiveness of
the Kobe Steel Group.
The Kobe Steel Group is a global enterprise with businesses in metals, machinery, natural resources and engineering, construction machinery, and environmental solutions.
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