Tokyo Steel to invest in ship steel production

Tokyo Steel to invest in ship steel production

A decline in the sales of construction products prompted Japanese steel producer Tokyo Steel Manufacturing Co to announce plans to invest Yen 25 billion ($239 million) in the company's shipbuilding steel product line. In order to stay competitive in the market, Tokyo Steel reduced its production of building steel in order to focus on production of higher-end steel. Tokyo Steel intends to establish a new production line that will produce steel plates to be used in shipbuilding. The new line, with an annual capacity of 600'000 tons of steel plates, is scheduled to be completed by January 2007.