ACQUISITION: Nippon Steel Forms Joint Auto Fastener Company

Jason Sandefur

Increased demand prompted Nippon Steel to forge a joint cold headed steel wire venture for automotive fasteners in Suzhou, Jiangsu, China, Japan Metal Daily reported. Nippon will partner with such wire manufacturers as Mitsubishi Metal Industry, Miyazaki Seiko, Sanyu, Toyota Tsusho and Metal One. Operation is slated for early next year.
“Manufacturing industries, such as automobiles, shipbuilding and industrial machinery, continue to sustain strong demand mainly due to thriving exports,” Nippon Steel commented in its report on results for the first quarter of fiscal 2006. “In steel product exports, the worldwide demand for steel remains steady, supported by favorable demand from East Asia, which serves as Nippon Steel”s main market.”
Nippon Steel revenue rose 4.2% to 942.8 million yen during the first quarter, which closed June 30. Q1 operating profit dipped 18% to 119.6 million yen. \ �2006 FastenerNews.com