Japanese steelmaker Nippon Steel & Sumitomo Metal Corp. (NSSMC) has announced that Nippon Steel Pipe India Private Limited (NPI) has commenced commercial production in June this year at its automotive steel pipe business in India. The installment of pipe-making and cold-drawing equipment was completed by the end of 2012 on schedule. The plant will produce structural steel pipes and tubes for automotive applications with a monthly production capacity of 2,000 mt.
Nippon Steel Pipe India Private Limited (NPI) owned by NSSMC and its Thailand-based subsidiary Siam Nippon Steel Pipe Co., Ltd. (SNP) was established in January 2012.
Additionally, Nippon Steel Pipe México (NPM) has completed the construction and commissioning of all its plant facilities and started its commercial operation on schedule in late May this year. The automotive pipe plant has a monthly output capacity of 2,000 mt.
Mexico has risen to eighth in the world in terms of automobile production, turning out 3 million units in 2012. With Japanese automakers' commencement of production or the expansion of production capacities in Mexico, car production in the country is expected to continue to show a sharp increase in the future. In response to such increase, a rapid expansion in demand is also expected for middle- to high-grade steel pipes/tubes.
NSSMC said that it will continue to develop and expand overseas operations aggressively in order to respond globally to demand for automotive steel pipe/tube.