Nippon Steel, Japan's largest steel producer by production capacity, and Nakayama Steel Works, another steel producer, plan to build a new 1.2 million-ton electric arc furnace (EDP) steel mill in western Osaka Prefecture, planning to begin commercial operation after 2030.
Nippon Steel plans to build a new steel mill with an electric arc furnace (chipboard) in western Osaka Prefecture. On November 26, Nakayama Steel Works and Nakayama Steel Works agreed to establish a joint venture by March 2026. Nippon Steel's share in the joint venture will be 49%, while Nakayama Steel Works will own the remainder.
The joint venture will build a new steel workshop for the production of slabs of electric steel, investing up to 105.5 billion yen ($675 million), and lease it to the Nakayama Steel Works in Funamachi in Osaka. Nakayama Steel Works will produce steel sheets and sell some of Nippon Steel's products.
Nippon Steel is seeking to increase competitiveness by expanding the supply of high-demand goods such as hot-rolled steel through a partnership with Nakayama Steel Works, amid an expected reduction in domestic demand. as for the steel.
Nippon Steel has also made a final investment decision on its 870 billion yen EAF expansion project, which aims to launch full-scale production by March 2030. According to the investment plan, Nippon Steel will build three new electric motor production plants, including expansion and modification.
