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Kobe Steel to Expand Titanium Capacity

Kobe Steel, Ltd. announced plans to increase its production capacity of titanium alloys for the aerospace sector and commercially pure titanium for general industry. The plan calls for construction of a new ring rolling mill as well as the installation of heat treatment and inspection equipment for large forged products at its Takasago Works in Takasago in western Japan. In addition, Kobe Special Tube Co., Ltd., a 100% owned subsidiary of Kobe Steel, has already completed a titanium welded tube line in Shimonoseki, Yamaguchi Prefecture, also in western Japan.
 
New Ring-Rolling Mill — Capable of high-precision rolling, the new ring rolling mill will enable Kobe Steel to utilize near-net-shape ring rolling and achieve a considerable reduction in forging weight. The company anticipates this will help it to reduce costs and increase orders for rings used in jet engines as the company doubles its ring rolling capacity. The current ring rolling mill, which is 20 years old, will be shut down after the new mill receives certification.
 
Heat Treatment and Inspection Equipment— Kobe Steel will use the heat treatment and inspection equipment being installed as part of the expansion for large forgings to be manufactured by Japan Aeroforge, Ltd., a joint venture with Hitachi Metals, Ltd. and other partners. According to the company, this equipment, scheduled to start up in April 2013, will help it to expand sales to domestic heavy industry manufacturers of large titanium forgings.

In the future, Japan Aeroforge hopes to provide overseas aircraft manufacturers with forgings. The new heat treatment and inspection equipment is aimed at meeting processing capacity, as well as specifications from aircraft manufacturers. Production capacity will increase three-fold.

Titanium billets made at the Takasago Works will be supplied to Japan Aeroforge for die forging. The semifinished forgings will then be returned to Takasago for heat treatment and inspection before being shipped to customers.
 
Expansion of Titanium Welded Tube Line — Also as part of the expansion, Kobe Special Tube added a new line at Japan's largest titanium welded tube plant, at Kobe Special Tube Co., Ltd. The added capacity, which started up in August 2011, will help the company meet growing demand for welded tube for power plants in emerging countries as well as desalination plants in the Middle East.

The new line also will enable Kobe Steel Tube to gain more orders by providing the additional capacity necessary for large projects. Integrated production — from ingot melting to welded tube manufacturing — enables the Kobe Steel Group to supply high-quality titanium welded tube and allowed the company to increase production capacity by 25 to 30%.

To bolster the annealing capacity of the base material for the new welded tube line at Kobe Special Tube, Kobe Steel also increased the capacity of its vacuum annealing equipment for sheet at its Kakogawa Works in Kakogawa Hyogo Prefecture. This new line went into operation in December 2010.
 
Driven by Increasing Demand for Titanium — The company noted that investments for the current expansion are anticipated to total 7.5 billion yen, of which 1.5 billion yen is allocated for the joint venture Japan Aeroforge, Ltd. The expansion will help the company support anticipated growth in titanium demand over the medium- to long-term future. Demand growth is fueled in part by strong worldwide demand for civilian aircraft and infrastructure demand in emerging countries, such as for power generation and desalination plants. Japan's total shipments of titanium mill products reached 19,358 tonnes in 2011 (ended December 2011), the second-highest yearly volume since 2008. Of this amount, a record 13,245 tonnes were exported.
 
Last September, Kobe Steel developed precoated titanium sheet and high heat transfer titanium sheet for use in plate heat exchangers. Expanding its production capacity and strengthening its ability to meet user needs, Kobe Steel's Titanium Division plays an important role in contributing to the company's medium- to long-term business vision, KOBELCO VISION "G."
 
Kobe Steel pioneered the production and commercial application of titanium in Japan, beginning in 1949 when it became the first company to begin research on this lightweight material. Kobe Steel is Japan's only integrated producer of titanium mill products with operations ranging from melting to mill product manufacturing. The company supplies numerous titanium products to a wide variety of industries.