Japan-based Nippon Steel Corporation has announced that it is investing approximately JPY 213 billion ($1.55 billion) in its Setouchi Works and Kyushu Works to increase non-oriented electrical steel sheets production capacity and product quality.
According to the statement, the demand for eco-friendly cars is also expected to rise going forward, due to stricter regulations on automobile carbon emissions and average fuel consumption. Amid this trend, demand for high-efficiency, high-grade materials of non-oriented electrical steel sheets, which is used for iron cores of motors, is also expected to dramatically increase.
The investments will be fully effective by the first half of the fiscal year 2027, with non-oriented electrical steel sheet manufacturing capacity for eco-friendly cars expected to become about five times the current capacity.