Nippon Steel to stop strip casting at Hikari works

Nippon Steel to stop strip casting at Hikari works

Japan steel mill Nippon Steel has recently announced that it has decided to halt commercial operations of strip caster unit at its Hikari works, located in Yamaguchi region of the country. The company plans to use the mill for technical development. According to statement made by the officials of the company, Nippon Steel does not need to use Hikari works for commercial purpose since the company made a joint venture with Sumitomo Metal Industries (SMI). Hikari strip caster, of whose construction about Yen 11 billion ($100 million) was invested, has not been able to operate at full capacity since it was built in 1998. It is reported that, due to complex technology, the mill could not operate at more than its 50% capacity. The officials state that, strip casting is an efficient and cost-efficient method of producing thin stainless plate directly from the steel melt, on the other hand they admit that, Nippon Steel is not ready to operate the system yet.