Latest news with #electricarcfurnaces
Japan Times
3 days ago
- Business
- Japan Times
Nippon Steel plans $6 billion investment in its Japanese mills
Nippon Steel, the Japanese company embroiled in a lengthy battle to buy U.S. Steel, said it plans to spend ¥869 billion ($6 billion) at home to expand output from cleaner furnaces. The investments in electric arc furnaces — which use scrap metal as a raw material — will be spread across three of the steelmakers' mills, and as much as 29% of the funding will come from the government, Nippon Steel said in a statement. The spending in Japan comes at a critical juncture for the firm's 17-month push to acquire the American steelmaker, with U.S. President Donald Trump poised to speak about the deal during a visit to a U.S. Steel plant later on Friday. While Trump offered his backing for the acquisition last week, key details about the final structure and conditions of any deal remained unclear. The president said there would be a "partnership' that would invest $14 billion in U.S. steelmaking. Nippon Steel said it would build a new electric arc furnace at its Kyushu works, while expanding and restarting capacity at two other sites. Total capacity from the new investments would be 2.9 million metric tons a year, it said. Steelmakers worldwide are trying to pivot to less carbon-intensive production methods — including electric arc furnaces — sometimes with support from governments that are pushing to decarbonize heavy industries.
Wall Street Journal
3 days ago
- Business
- Wall Street Journal
Nippon Steel to Invest $6 Billion to Cut Carbon Emissions
Nippon Steel 5401 0.68%increase; green up pointing triangle plans to invest $6 billion to increase production of steel using electric arc furnaces in a bid to reduce carbon emissions. The Japanese steelmaker said Friday that it would invest 868.7 billion yen, equivalent to $6.02 billion, to establish three electric furnaces in Japan and that it expects the Japanese government to provide up to ¥251.4 billion in support. Nippon Steel said the investment will increase production capacity by about 2.9 million tons a year, with operations scheduled to commence by the fiscal year starting April 2029. The company said the conversion to electric arc furnaces from blast furnaces for steelmaking will significantly reduce CO2 emissions. Electric arc furnaces melt steel scrap to make new steel products, while in a conventional blast furnace, coke made from coal is used for smelting iron ore. The conversion to electric arc furnaces, though, will require substantial capital investment and lead to higher costs of raw materials and electricity, the company said. Nippon Steel recently received conditional approval from President Trump to take control of U.S. Steel under what he described as a partnership. Trump's announcement last week signaled that the Tokyo-based company could eventually enter the American steel market and make the big investments envisioned when it reached a $14.1 billion deal to take over U.S. Steel. Write to Kosaku Narioka at
Bloomberg
3 days ago
- Business
- Bloomberg
Nippon Steel Plans $6 Billion Investment in Its Japanese Mills
Nippon Steel Corp., the Japanese company embroiled in lengthy battle to buy US Steel Corp., said it plans to spend 869 billion yen ($6 billion) at home to expand output from cleaner furnaces. The investments in electric arc furnaces — which use scrap metal as a raw material — will be spread across three of the steelmakers' mills, and as much as 29% of the funding will come from the Japanese government, Nippon Steel said in a statement.
