shinco singapore

Transcription

shinco singapore
Ongoing globalization and diversifying customer needs
are rapidly changing the business environment.
How do we conduct our business so that products
get to customers? How do we make connections
between technology and society to create new value?
We at Shinsho Corporation have a distinct advantage: as part of the Kobe Steel Group, we view the
world from the perspective of a global manufacturer
dedicated to high quality production. We create perfect
designs that will add value to your business.
Corporate
Philosophy
“ Integrity ” is Shinsho Corporation’s company motto.
We are committed toward securing prosperity for our clients and
shareholders through the creation of new values.
Core Values
1. To build the world of tomorrow as the core trading company of the Kobe Steel Group both
in name and reality.
2. To accept challenges of the future, and meet them with flexible solutions that help better society.
3. To obtain complete customer satisfaction by judging wisely and acting promptly.
4. To seek fair action and a reasonable profit, while strictly conducting ourselves in an ethical manner.
5. To utilize our full capabilities to maximize corporate growth and promote a harmonious environment
for all individuals and their relations.
CONTENTS
01
CORPORATE PHILOSOPHY AND ACTION GUIDELINES
03
PRESIDENT’S MESSAGE
07
CORPORATE PROFILE
[ Organization and Divisional Consolidated Sales Results ]
08
GROUP SYNERGY
09
CORPORATE HISTORY
11
GLOBAL NETWORK
13
BUSINESS DIVISIONS
[ Overview, Business Strategy, Topics, Global Operations, Products, Main Customers, Main Suppliers ]
13
IRON & STEEL
17
FERROUS RAW MATERIALS
21
NONFERROUS METALS
25
MACHINERY & ELECTRONICS
29
WELDING
33
GLOBAL STRATEGY
35
CHINA, TAIWAN AND KOREA
37
SOUTHEAST ASIA AND AUSTRALIA
39
NORTH AND CENTRAL AMERICA
41
INDIA, UNITED ARAB EMIRATES AND GERMANY
43
ESG REPORT
[ Corporate Governance, Compliance, Environmental Policy, Security Trade Control System, Credit Control, Oversea Training Programs ]
PRESIDENT’S
MESSAGE
Our Goals as
the Kobe Steel Group’s
Core Trading Company
President and CEO
Ikuhiro Yamaguchi
03
Three Strategies for Achieving
Our Long-Term Management Vision
The Ability to Advance Globally
Is the Key
Shinsho has adopted a long-term management vision
The traditional functions that help a trading company
targeting 2020, with three strategies aimed at making
grow include the ability to provide information and
us the core trading company of the Kobe Steel Group:
credit. To this must now be added the ability to operate
1) Accelerate global business, 2) Stronger trading
globally. Accordingly, Shinsho has placed particular
company functions, and 3) Enhance business founda-
emphasis on developing operations in four regions and
tion. While implementing these strategies quickly to
countries: China, North and Central America, India and
achieve our vision, it is also important for us as a
ASEAN countries.
trading company to understand how we can help our
client companies achieve their own business visions.
In China, we’ve been developing the market primarily
through our subsidiary Kobelco Trading (Shanghai)
As globalization continues, more companies are
pursuing operations abroad. Shinsho can act as an
advance guard for their forays overseas, while also
providing them with back-up support. This is precisely
Long-Term Management Vision
where Shinsho has a crucial role to play.
All employees from top management to our newest
recruits must work together and keep their eyes on the
Vision
goal if we are to fulfill our mission. To that end, we will
make in-company information more open, promote
frank discussion, make fair decisions, and promote
speedy action to energize our organization.
Aim to be a global trading company
Our Strength Is in Responding
Sensitively to Customer Needs
from the Perspective of
High-Quality Manufacturing
As a trading company affiliated with a global manufacturer, Shinsho has the advantage of a business
at the core of KOBELCO (Kobe Steel Group)
Overall Strategy
Accelerate
global business
●Expand and enhance global locations
●Utilize global locations to expand
supply of raw materials, materials and
machinery, and combined product
sales
●Overseas trading ratio: 50%
Stronger
trading company
functions
●Expand business operations type
business
●Stronger proposal type business
●Core trading company of Kobe Steel
Group
●Initiatives in growth fields
Enhance
business
foundation
●Obtain & develop human resources
●Stronger financial base
●Enhance management system
perspective based on high-quality manufacturing,
which makes it possible for us to respond sensitively to
customer needs while providing services all over the
world. This advantage is based on our close connection to the various companies that comprise the Kobe
Steel Group. It’s important for us to accurately grasp
the needs of our customers and provide tailored
solutions that include aftercare service, while supporting their businesses with the wealth of specialized
manufacturing expertise that is available to us. In this
way we create an effective supply chain of services that
supports every aspect of customer operations.
Imagining where we want to be in 10 years, and formulating a
long-term strategic vision that will get us there.
04
Goals for Fiscal 2020 by the Numbers
Sales:
≥ ¥1,350 billion
Ordinary income:
Change in Sales /Ordinary Income
Iron & Steel
Ferrous Raw Materials
Machinery & Electronics
840.9
870.4
Stockholders’ equit y
100
390.0
10.0
80
7.5
60
5.0
40
20.0%
15.2%
320.0
284.5
24.0%
20%
9.0
299.1
16.4%
5.3
16.0%
12.0%
40.0
8.0%
59.7
36.9
209.6
2.5
220.0
69.3
40.1
82.0 140.0
50.0
FY
2014
FY
2015
( target )
FY
20
4.0%
85.0
0
2013
78.0
330.0
0
FY
42.5
35.4
370.0
306.0
328.5
178.1
16.3%
500.0
6.7
500
Equit y Ratio
( Unit : ¥ billion )
15.0
13.0
1,000
1,000
≥ 20 %
Ordinary Income
1,350
1,500
Equity ratio:
Change in Stockholders’ Equity/Equity Ratio
Nonferrous Metals
Welding
( Unit : ¥ billion )
≥ ¥13 billion
2020
0
FY
2013
FY
2014
( target )
FY
2015
( target )
FY
2020
( target )
※Figures for all segments are non-consolidated.
Co., Ltd., which functions as a trading company. We’ve
of steel plate used in the manufacture of construction
also undertaken joint ventures with customers in
machinery.
China, including a wire material processing plant. In the
Singapore is fast becoming the base of operations
future, we will place priority on pursuing more joint
for management companies in both the ASEAN region
ventures and expanding sales of products geared
and India. Currently, it is home to eight of our subsidiar-
toward Japanese automakers.
ies engaged in management activities. To establish a
In the region of North and Central America, our main
stronger foundation for those activities, we are focus-
focus is on Mexico. Auto production in North America
ing on strengthening our management and sales
continues to grow thanks to brisk car sales in the
systems and cultivating global human resources.
United States. In Mexico in particular, the production of
Through the concentration of management functions,
small vehicles aimed at the US market is expanding
we can promote demand in the auto industry within the
rapidly, and we expect that more automakers and auto
region, improve our sales functions, and promote the
parts manufacturers will establish themselves there. To
iron scrap business, including trilateral trading, which
ensure that Shinsho can supply materials locally in a
promises future growth.
timely fashion, we have founded Kobelco CH Wire
Also, we can meet customer needs more quickly by
Mexicana, S.A.de C.V., a factory that specializes in the
using Singapore as a clearinghouse for information
processing of cold heading wire material, which is
concerning client companies who have multiple bases
scheduled to begin operation at the end of 2015.
of operation in ASEAN countries and India. Future
Our trading activities in India are carried out by
Kobelco Trading India Private Limited, and we also
have a steel plate processing plant called Kobelco
Plate Processing India Private Limited that recently
began full-scale operation. We will continue to develop
the Indian market, with an emphasis on expanding sales
05
plans call for the transfer of our financial functions to
Singapore, as well.
Pursuing Business Operations and
Proposal Type Business
In
strengthening
our
functionality
as
a
Nurturing Global Human Resources
to Enhance Business Foundation
trading
T he nurturing of human resources is the most impor-
company, we will be investing our capital and human
tant element in our efforts to strengthen our managerial
resources in ways that accord with the overseas
base. To further accelerate our overseas business
business development of our customers. In the past
development, we are hurrying to cultivate global
four or five years, Shinsho has rapidly increased its
personnel. We’ve introduced a system that requires all
overseas subsidiaries as well as distribution, process-
new Japanese employees to have experience working
ing and manufacturing bases. Focusing on the
outside Japan and business training within 10 years of
automotive and energy sectors, we currently are
entering the company, and we are actively hiring
invested in diversified overseas enterprises, including
non-Japanese. For local personnel working in our
partial investments in the overseas operations of client
overseas subsidiaries and offices, we have programs
companies. We will use these bases to collect localized
that dispatch them to Japan for training so that they
information. We maintain close ties with client corpora-
have the same technical and specialized knowledge as
tions and manufacturers, and have access to a wide
their Japanese colleagues and can respond equally
range of information as well as a physical presence
well to market needs.
throughout the world. Using these advantages, we will
The most important elements in our business are a
shift from our former intermediary, commission-based
passion for work and a sense of responsibility. With
business model to business operations and proposal
persistence and a steadfast commitment to the future
type business.
and to the business development of our customers, we
will forge ahead, enlarging our presence on the world
stage.
President and CEO
Ikuhiro Yamaguchi
Born in Nagasaki Prefecture, Mr. Yamaguchi entered Kobe
Steel, Ltd. in 1975, after graduating from the Faculty of
Economics at Kobe University. After occupying such positions
as Head of the Iron & Steel Export Department and Head of the
Steel Sheet Sales Department, he became an operating officer
in 2004, an managing director in 2007, a senior managing
director in 2009, and a vice president in 2010. He assumed his
present position in June 2014.
06
CORPORATE PROFILE
As the core trading company for the Kobe Steel Group, Shinsho Corporation operates five divisions:
Iron & Steel, Ferrous Raw Materials, Nonferrous Metals,Machinery & Electronics, and Welding. We
are dedicated to being a business partner that supports high-quality manufacturing.
Company Information (as of March 31, 2015)
Name
Shinsho Corporation
Established
November 12, 1946
Paid-in Capital
¥5,650.28 million
President and CEO
Ikuhiro Yamaguchi
Head Offices
[Osaka] Yodoyabashi Square, 6-18, Kitahama 2-Chome, Chuo-ku, Osaka 541-8557, Japan
[ Tokyo] Eitaro Bldg., 2-5, Nihonbashi 1-Chome, Chuo-ku, Tokyo 103-8261, Japan
Employees
[Consolidated] 1,309 [Non-Consolidated] 439
Average Age of Employees
39 years 2 months
Offices
Head Offices 2, Branch Offices 3, Branches 6, Offices 3, Overseas Representative Offices 2
Consolidated Subsidiaries
30
Equity Method Affiliated Companies
19
Net Sales
870,407 million
Fiscal Year
From April 1 to March 31 of the following year
Main Business Lines
Import/export and trading of products such as iron and steel, raw materials, nonferrous metals,
machinery, information industry and welding
Major Financial Institutions of
the Borrowed Money
Mizuho Bank, Ltd., Sumitomo Mitsui Banking Corporation,
The Bank of Tokyo-Mitsubishi UFJ, Ltd.,
Mitsubishi UFJ Trust and Banking Corporation
Certified Public Accountants
KPMG AZSA LLC
Listing of Shares
Tokyo Stock Exchange (1st Section)
Organization
Segment Sales
4.3%
Welding
Board of Directors
Audit & Supervisory Board
7.5%
Machiner y & Electronics
Audit & Supervisory
Board Member
President and CEO
22.7%
Nonferrous metals
Management Committee
32.4%
Iron & Steel
Segment
Component
Distribution
(FY2014)
※The segment component
distribution does not include
Corporate Planning
Iron & Steel
33.1%
reports and other cancelledout sales and internal transac-
Ferrous Raw Materials
tions that do not belong to any
one segment.
Personnel Department
Ferrous Raw Materials
Sales
Segment profit
(unit: millions of yen)
(unit: millions of yen)
Iron & Steel
299,146
3,536
Ferrous Raw Materials
306,001
507
Nonferrous Metals
209,691
1,381
Machinery & Electronics
69,309
740
Welding
40,172
478
369
46
Segment
Audit Department
Nonferrous Metals
General Affairs Department
Machinery & Electronics
Credit & Legal Department
Other
Adjusted amount
Finance Department
07
Welding
Total
54,283
21
870,407
6,575
GROUP SYNERGY
Because of our close connection to manufacturing, Shinsho has the unique ability to offer manufacturing
proposals to customers. Using our integrated strength as the core trading company of the Kobe Steel
Group, we contribute to the business growth of our customers and to the creation of a prosperous society.
Realizing an Effective Supply Chain Covering All Phases of Business
Customer Fields
●Automobiles ●Ships ●Iron & steel ●Nonferrous metals ●Construction ●Machine tools ●Electronic components
●Semiconductors ●Home appliances ●Precision machinery ●Plant engineering ●Food ●Paper & pulp
●Electrical power ●Aeronautics and space ●Oil and chemicals Etc.
We maintain close contact with our customers to get an accurate picture of their needs. Then,
taking advantage of our strengths as a manufacturer-affiliated trading company, we provide
tailored solutions that include after service.
With expertise and an ability to make proposals
based on a manufacturing perspective, we provide
customers with guidance for business growth.
MARKETING
Sharing customer needs
Taking advantage of our physical presence in operating centers around the world, we help customers
discover latent needs and create new business
opportunities.
GLOBALIZATION
Using our global network, we develop business
projects that are tailored to specific countries and
regions.
MANAGEMENT
The trading experience we have gained on a global
scale enables us to conduct business smoothly.
Iron & Steel
Ferrous Raw Materials
・ Suppor ting customer busine sse s with a thorough,
specialized knowledge of high-quality manufacturing
・ Establishing our own material processing centers as part
of a comprehensive support system that includes manufacturing functions
・ Working jointly with manufacturing customers to develop
products that meet emerging needs
・ Creating new business opportunities by taking advantage
of our quick access to information about the latest developments within the Kobe Steel Group
・ Using high value-added products and cutting-edge
technologies to make proposals for business ventures
that result in market dominance
・ A global supply system that handles products of uniform
high quality everywhere in the world
・ Discovering and attentively serving local needs by pursuing a business model oriented toward operations.
・ A th o ro u g h c o m m i tm e nt to r i s k m a n a g e m e nt th at
provides customers with peace of mind
・Support for the acceleration of imports and exports
・ Enhancement of specialized knowledge through personal
interaction with the Kobe Steel Group
・ Nurturing human resources who can effectively conduct
global business
Nonferrous Metals
Machinery & Electronics
Welding
Using the collective strength of the Kobe Steel Group to meet diverse needs
SPECIALTY
“Only One” Products and Technologies
Iron & Steel
Business
Aluminum
&
Copper
Business
Machinery
Business
Engineering
Business
Welding
Business
Kobelco
Eco-Solutions
Kobelco
Construction
Machinery
Kobelco
Cranes
Kobelco
Research
Institute
Other
Businesses
08
CORPORATE HISTORY
An Ambitious Spirit Founded on Long Experience as a Manufacturer-Affiliated Trading Company
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“ T h e t im e i s c o m i n g w h e n t r a d i n g
companies will lead manufacturers.
Manufacturers will need direct connections with their own specialized trading
companies if they want to follow their
own course.” This idea, conceived by
Chohei Asada, the sixth president of
Kobe Steel, gave birth to Taihei Corporation (precursor to Shinsho Corporation),
the first manufacturer-affiliated trading
company in postwar Japan.
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I n 19 6 0 , t h e 14 t h y e a r a f t e r t h e
company was founded, its name was
changed from Taihei C orporation to
S hinsh o C o r p o r at io n. T h e C hine s e
character “shin” is the first character for
the name of Kobe, and thus symbolizes
Kobe Steel. The character “sho” means
“trade.” The new name reflected the
company’s ambition to become the core
trading company of the Kobe S teel
Group.
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S hinsho began f ull-s c ale over sea s
expansion in the late sixties and established The Shinsho American Corporation in 1966. Sales for the first fiscal
year of operation reached $1.19 million.
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Shinsho Corporation’s history goes back to November 1946 with the founding of its precursor company Taihei Corporation. Established to handle
Kobe Steel products, Taihei was Japan’s first postwar trading company exclusively affiliated with a manufacturer. At the time, many Japanese manufacturers had lost their production facilities in World War II, and distribution functions were paralyzed. Company founders passionately believed that
trading companies exclusively affiliated with manufacturers would provide crucial support to the manufacturing sector, and strove to supply the market
with high-quality products. This spirit of high-quality manufacturing has been transmitted for more than 60 years. Today, Shinsho Corporation
remains committed to the cause of high-quality manufacturing and, in partnership with Kobe Steel and the Kobe Steel Group, pursues business
opportunities by proposing projects to client companies. In today’s quickly changing world, new demand must be discovered and developed. Never
forgetting the aspirations of our founders, Shinsho will continue to develop as a trusted corporation that contributes to the wellbeing of society.
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e c o n o m y g r e w, S h i n s h o ex p a n d e d
operations in China, the world’s most
populous nation. In 1972, we created a
n e w C h i n a Tr a d e D e p a r t m e n t t h a t
gathered information and conducted
surveys.
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Kobelco Trading (Shanghai) Co., Ltd. is a
wholly owned subsidiar y of Shinsho
Corporation that has trading, exporting,
Thai Escorp Ltd. was established in
19 8 8, at a time when T hailand was
experiencing rapid development. The
company has achieved notable results in
such fields as welding material supply,
as well as copper tube and aluminum
material supply to Japanese-owned air
conditioner manufacturers.
and importing rights in Shanghai. It was
established to accommodate the market
expansion that has accompanied China’s
rapid economic growth.
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10
GLOBAL NETWORK
The world market continues to change from day to day, with diversifying needs. We at Shinsho
Corporation conduct global business operations that are tailored to local customer needs throughout the world.
GERMANY
JAPAN
CHINA / KOREA / TAIWAN
UAE
UNITED STATES OF AMERICA
INDIA
SOUTHEAST ASIA
AUSTRALIA
1
Tokyo Head Office
4
Asia Chemical Engineering Co., Ltd.
2
Matsubo Corporation
4
Shinsho Business Support Co., Ltd.
Osaka
Tokyo
2
JAPAN
Osaka
Kobelco Tsutsunaka Trading Co., Ltd.
5
Nagoya Branch Office
Tokyo
4
3
7
1 2
5
3
Osaka Head Office
6
Kobe Branch Office
4
Shinsho Steel Products Corporation
7
Kyushu Branch Office
Fukuoka
Osaka
6
4
Shinsho Non-Ferrous Metals Corp.
Osaka
2
CHINA,
TAIWAN
AND
KOREA
1
1
Kobelco Trading (Shanghai)
Co., Ltd.[Dalian Office]
6
Ondo Shinsho Precision
Technology Corporation
11
2
Kobelco Trading (Shanghai)
Co., Ltd.[Beijing Branch]
7
Kobe Special Steel Wire
Products (Pinghu) Co. Ltd.
12
Beijing Representative
Office
8
Shanghai Shinsho Trading
Co., Ltd.
12
4
Kobelco Precision Parts
(Suzhou) Co., Ltd.
8
Kobelco Trading (Shanghai) 13 Allmet Co., Ltd.
Co., Ltd.[Shanghai Head Office] [Seoul suburbs]
4
Suzhou Shinko-Shoji
Material Co., Ltd.
9
Kobelco Trading (Shanghai)
Co., Ltd.[Chengdu Branch]
14
Shinsho Osaka Seiko
(Nantong) Corporation
10
Kobelco Trading (Shanghai)
Co., Ltd.[Guangzhou Branch]
15
3
4
3
13
5
7
8
15
10
11
14
5
11
Shinsho Korea Co., Ltd.
[Seoul suburbs]
12
6
9
VSC Shinsho Company
Limited
KTN Co., Ltd.
[Seoul suburbs]
Taiwan Shinsho Corporation
Taipei Office, Hsinchu Office,
Taoyuan Office
Kobelco Trading (Shanghai)
Co., Ltd.[Wuhan Office]
● Domestic operating location ● Domestic subsidiary ● Overseas representative office ● Overseas subsidiary ● Overseas affiliate
※As of July, 2015
1
Shinsho (Philippines) Corporation
8
2
2
6
5
SOUTHEAST
ASIA
AND
AUSTRALIA
7
8
3
4
9
Shinko Shoji Singapore Pte. Ltd.
Kobelco Trading Vietnam Co., Ltd.
10
PT. Futabadenshi Indonesia
11
PT. Shinsho K’mac Precision
Parts Indonesia
[Ho Chi Minh City Head Office]
4
Vina Washin Aluminum Co., Ltd
[Ho Chi Minh City]
9
12
Kobelco Trading Vietnam Co., Ltd.
[Hanoi Office]
1
3
Naito Asia Sdn. Bhd.
[Kuala Lumpur]
[Manila]
5
10
11
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Anatanakorn Branch
5
[Jakarta]
Thai Escorp Ltd.
TES E&M Service Co., Ltd.
12
13
[Bangkok]
6
Ondo Shinsho (Thailand) Co., Ltd.
Kobelco Trading Australia Pty Ltd
[Brisbane Office]
14
Kobelco Trading Australia Pty Ltd
[Sydney Head Office]
13
7
14
PT. Kobelco Trading Indonesia
[Jakarta]
Shinsho (Malaysia) Sdn. Bhd.
[Kuala Lumpur Head Office, Penang Office]
1
Shinsho American Corporation
6
Aiken Wire Processing, L.L.C.
[Detroit Head Office]
1
NORTH
AND
CENTRAL
AMERICA
1
Grand Blanc Processing, L.L.C.
7
Aiken Precision Technologies, L.L.C.
2
Shinsho K’mac Precision Parts, L.L.C.
8
Shinsho Mexico S.A. de C.V.
3
Dexter Fastener Technologies, Inc.
8
Kobelco CH Wire Mexicana, S.A. de C.V.
4
SST Forming Roll, Inc.
8
SC Tech de Mexico, S.A. de C.V.
2
3
5
4
6
7
8
5
9
Shinsho-Meihoku Wire, Inc.
9
Shinsho American Corporation
[Los Angeles Branch]
6
Shinsho American Corporation
[South Carolina Branch]
1
5
Kobelco Trading India Private Limited
[New Delhi Head Office]
2
Kobelco Trading India Private Limited
[Chennai Office]
INDIA,
UNITED ARAB
EMIRATES
AND
GERMANY
2
Kobelco Plate Processing India Private Limited
[Chennai]
3
Shinsho K’mac Precision Parts (India) Private Limited
1
4
4
3
Middle East Representative Office
[Dubai]
2
5
Shinsho Europe GmbH
[Dusseldorf]
12
IRON
&
STEEL
Our Global Network Enables Us
to Lead the Way
Shinsho’s Iron & Steel Division utilizes the Kobe Steel
Group’s global network to satisfy customer requirements in
all phases of their business, from overseas start-ups to
stable product supply. We offer not only localized market
information but also the kind of technical and production
expertise that only a trading company affiliated with a
manufacturer can provide. By tapping into the vast and
varied sources of the Kobe Steel Group, we can supply the
ideal products to meet diverse customer needs.
13
OUR STRATEGY
Providing Support for Overseas Business
Development Right from the Start
One of Shinsho’s greatest strengths is the high value-added
“Only One” products manufactured by Kobe Steel, which are
backed by a wide array of purchasing sources through which
we can reliably supply the steel products our customers need
anywhere in the world. We are currently establishing joint
ventures in North and Central America, China and Southeast
Asia so that we can supply Japanese-owned automakers and
Accelerating Overseas Business
auto parts manufacturers operating abroad with products of
the same high quality as those bought in Japan.
One of our most important missions is to support client
companies as they set up their own business operations
abroad. We provide parts makers and other companies who
Growth While Satisfying
Japanese Domestic Demand
are looking to expand abroad with information we’ve gathered
from our own overseas operating bases as well as from other
members of the Kobe Steel Group, with whom we maintain
close ties. In this way we become a true partner in our customers’ enterprises by advising them about siting and plant
construction and providing them with information about the
purchase of equipment and furnishings.
Active Expansion into Fields and
Regions of Growth
Mexico has become a major focal point as a base for manufacturing and exporting products to North and South America.
Auto part manufacturers in particular are expected to continue
setting up Mexican operations in large numbers, and Shinsho is
ready to support them with local subsidiaries that import and
export steel products and gather information on new developments as they happen. We have also established a secondary
wire processing facility that will further expand business opportunities.
Similarly, we have opened a new factory in the suburbs of
Chennai, India that processes steel plate used to manufacture
construction machinery. Infrastructure is being built at a rapid
pace in India, and this has increased demand for construction
machinery. Our new plant will enable use to reliably supply
construction machinery manufacturers with high-quality steel
plate at a reasonable cost.
Taking advantage of technical expertise and information that
only a trading company closely affiliated with a manufacturer
can provide, we help our client companies pursue their
businesses in fields and regions that promise future growth.
Kobelco Plate Processing India Private Limited
14
A New Secondary Wire Processing Plant Anticipates Increased
Car Production in Mexico
TOPICS
1
In September 2014, Shinsho and several other investors established a
MEXICO
joint venture in Santa Fe Industrial Park in Mexico called Kobelco CH Wire
Nissan
Guanajuato
Aguascalientes
San Luis Potosi
Guanajuato
Santa Fe Industrial Park
Silao Santiago de Querétaro
Honda
Mazda
Nissan
Manzanillo
heading (CH) steel wire.
Automotive production in Mexico is expected to grow steadily, creating
an anticipated need for a local supply of CH wire as Japanese automakers
continue to expand their Mexican operations. KCHM will manufacture CH
Honda
Mexico City
Port
Mexicana, S.A. de C.V. (KCHM), which will manufacture and sell cold
wire used to make automotive fasteners and cold-forged parts, which it
will supply primarily to Japanese-owned automotive parts manufacturers
operating in the area.
Location of Kobelco CH Wire Mexicana S.A. de C.V.
TOPICS
2
Satisfying Growing Demand Through A Joint Venture
That Manufactures Automotive Parts
More than 20 million vehicles are now sold in China annually, making it the
largest automotive market in the world. Against this background, Shinsho
has established two joint ventures in Nantong, China that manufacture
automotive parts. Ondo Shinsho Precision Technology Corporation
primarily manufactures and sells parts used in automotive differential gear
Ondo Shinsho Precision Technology
Corporation
units. The forgings, special steel round bar, and cut-processed materials
Nantong
used to make those parts are supplied by Shinsho Osaka Seiko (Nantong)
Corporation.
Because automotive demand is also expected rise in Thailand and
Shinsho Osaka Seiko (Nantong)
Corporation
Indonesia, Shinsho is establishing other joint ventures in those countries
that will quickly serve the needs of Japanese automakers and related
companies who are expanding operations there.
Global Operating Locations
● Domestic subsidiary ● Overseas representative office ● Overseas subsidiary ● Overseas affiliate
※ As of July, 2015
Ondo Shinsho Precision Technology Corporation
Shinsho Osaka Seiko (Nantong) Corporation
Shanghai Shinsho Trading Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Shanghai Head Office]
Kobe Special Steel Wire Products (Pinghu) Co. Ltd.
VSC Shinsho Company Limited
Shinsho Europe GmbH
[Dusseldorf]
Kobelco Plate Processing India Private Limited
[Chennai]
Shinsho Korea Co., Ltd.
[Seoul suburbs]
Allmet Co., Ltd.
[Seoul suburbs]
Shinsho Steel Products Corporation
[Osaka]
Kobelco Trading India Private Limited
[New Delhi Head Office]
Thai Escorp Ltd.
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Anatanakorn Branch
TES E&M Service Co., Ltd.
[Bangkok]
Ondo Shinsho (Thailand) Co., Ltd.
Shinsho (Malaysia) Sdn. Bhd.
[Kuala Lumpur Head Office, Penang Office]
15
Shinsho K’mac Precision Parts, L.L.C.
Shinsho American Corporation
[Detroit Head Office]
Grand Blanc Processing, L.L.C.
Shinsho-Meihoku Wire, Inc.
Shinsho K'mac Precision Parts(India) Private Limited
Middle East Representative Office
[Dubai]
Dexter Fastener Technologies, Inc.
SST Forming Roll, Inc.
Taiwan Shinsho Corporation
[Taipei Office, Hsinchu Office, Taoyuan Office]
Kobelco Trading (Shanghai) Co., Ltd.
[Guangzhou Branch]
Kobelco Trading Vietnam Co., Ltd.
[Ho Chi Minh City Head Office, Hanoi Office]
PT. Futabadenshi Indonesia
PT. Shinsho K’mac Precision Parts Indonesia
[Jakarta]
PT. Kobelco Trading Indonesia
[Jakarta]
Shinsho American Corporation
[South Carolina Branch]
Aiken Wire Processing, L.L.C.
Aiken Precision Technologies, L.L.C.
Shinsho American Corporation
[Los Angeles Branch]
Shinsho Mexico S.A. de C.V.
Kobelco CH Wire Mexicana, S.A. de C.V.
Shinko Shoji Singapore Pte. Ltd.
(Plus 22 joint ventures not listed)
Main Products Handled by the Iron & Steel Division
Wire Rods and Bars
Steel Plates
Steel Sheets
KOBELCO wire rods and bars are used in the automotive
industry and other fields. Working with secondary processors, Shinsho provides customers with a reliable supply of
high value-added wire rod and bar products.
K n ow n fo r i t s u p e r b p ro c e s s a b i l i t y a n d we l d a b i l i t y,
KOBELCO steel plates provide the foundation for a wide
range of industries.
Kobe Steel was a pioneer in the production of
high-strength steel sheet, another product that Shinsho
supplies.
Half-finished Steel
Products
Special Steel
Products
Construction
Materials
Castings and
Forgings
Titanium
Steel Powders
Applications for titanium are expanding in many fields.
Kobe Steel was the first in Japan to develop titanium for
commercial use. Shinsho supplies KOBELCO titanium
products to meet diverse customer needs.
We provide a steady supply of various KOBELCO steel alloy
powders, which are highly regarded overseas as material
for making automotive and other sintered parts.
Ingots, blooms, billets, slabs
Carbon Steel
Products
Carbon and alloyed steel for structural use in machiner y,
stainless steel, heat-resistant steel, tool steel, spring steel,
bearing steel, free-cutting steel, high tensile-strength steel,
high manganese steel, special alloys
Wire Rod Products
Columns, tie rods, steel pipe piles, guard cables, guard rails,
gratings, anti-sway bars, high-tension bolts, stud dowels, steel
fibers, high-strength shear reinforcement, geogrids, other
general construction and civil engineering materials, safety
fences for walkways, mesh to prevent falling rocks
Engine crankshafts, stern frames, propellers, turbine shafts
and blades, various rolls, die steel
Main Customers
O&K Company Limited
Casting Materials and
Cast Products
Steel wires for cold forging, hard steel wires, PC steel wires,
wire ropes, spring wires, stainless steel wires, annealed steel
wires, nails, thin wires, wire mesh, barbed wires, polished steel
bars, screws, bolts, nuts, binding wire, cold-forged products
Titanium material (powder), pure titanium, titanium alloys,
secondary titanium products, titanium building materials and
seamless pipes, welded pipes, sheets, bars
Pig irons for casting, auxiliary materials for casting, iron scrap,
cast and forged products, steel powders
Main Suppliers
KS Summit Steel Co., Ltd.
Osaka Seiko, Ltd.
Shimabun Corporation
Meihoku Kogyo Co., Ltd.
Nakajima Sangyo Co., Ltd.
Mitsui Engineering and
Shipbuilding Co., Ltd.
Titanium and
Nickel Alloys
Wire rods, hard steel wire rods, bars in coil, steel plates,
hot-rolled steel strip, cold-rolled steel strip, surface treated
steel sheets, colored steel sheets, steel pipes, round reinforcement bars, deformed bars, section steel
Maruichi Steel Tube Ltd.
Yodogawa Steel Works, Ltd.※
Sanwa Tekko Co., Ltd.
Tsuneishi Shipbuilding Co., Ltd.※
Futaba Corporation※
Shinko Wire Company, Ltd.
Fukuda
Saga Tekkohsho Co., Ltd.※
Futaba Industrial Co., Ltd.
Sakai Steel Sheets Works, Ltd
Ondo Corporation※
Name
Main Products Supplied
Kobe Steel, Ltd.
Wire rods, steel plates and sheets, steel castings and forgings, titanium, steel powders, etc.
Kobe Special Tube Co., Ltd.
Seamless stainless steel tubes, precision pipettes, special tubes
Shinko Kenzai Ltd.
Guard fences, steel gratings, soundproof wall products,
disaster prevention products, landscape products, marine and structural materials
Shinko Wire Company, Ltd.
Special steel wire products, wire rope products, engineering-related products
Tesac Shinko Wirerope Co., Ltd.
Wire rope and related products, secondary wire material products
Shinko Bolt, Ltd.
Various types of bolts for use in construction and civil engineering
Nippon Koshuha Steel Co., Ltd.
High-grade special steels and special alloys
Shinko Kohan Kako, Ltd.
Fused steel plates
Osaka Steel Co., Ltd.
Billets, steel materials, and processed steel products
Kanto Steel Ltd.
Billets, steel materials, and processed steel products
Kyoei Steel Ltd.
Billets, steel materials, and processed steel products
Maruichi Steel Tube Ltd.
Steel tubes and processes products
Nisshin Steel Co., Ltd.
Steel sheets and plates, stainless steel sheets and plates
Nippon Yakin Kogyo Co., Ltd.
Stainless steel, nickel and nickel alloy sheets and plates
※ Includes overseas group companies.
16
FERROUS
RAW
MATERIALS
We Supply the Energy
That Moves Society
The Ferrous Raw Materials Division handles a wide range of
resources needed by society and provides our customers with
business support. We supply the coal and iron ore that go into
blast furnaces and iron slag that is melted in electric furnaces. Keeping the environment in mind, we also focus on
recycling slag, waste plastic, and other materials to make
RPF (Refuse Paper and Plastic Fuel) that can be burned
instead of coal.
17
OUR STRATEGY
Earning Customer Trust Through
Reliable Product Supply
The
Ferrous
Raw
Materials
Division
indirectly
supports
economic growth in Japan and throughout the world by supplying the iron ore and coal needed to operate blast furnaces, and
the iron scrap needed for electric furnaces.
Slag is one of the byproducts of the steelmaking process. It
can be combined with recycled waste plastic and other materials to make RPF (Refuse Paper and Plastic Fuel) that can be
Using Our Physical Presence in
used as a coal replacement. We expect the market for RPF to
grow as the world tries to conserve limited fossil fuels and
reduce CO ² emissions.
The strength of the Ferrous Raw Materials Division lies in its
physical presence in many locations around the world. While
Locations Throughout the World
to Help Guide Client Businesses
maintaining close ties with purchasing departments within Kobe
Steel’s Iron & Steel Business as well as iron and steel manufacturing departments, we often visit production sites to get a
first-hand view of what is needed. Seeking out materials that are
ideally suited to our clients, we ensure them a stable supply
through appropriate, fine-tuned service that earns their trust.
Meeting Customer Needs While
Expanding Markets and Operations
Although the Ferrous Raw Materials Division has grown alongside Japanese steelmakers, the market has changed dramatically in recent years. Japanese manufacturers are increasingly
shifting their production facilities abroad, and new steelmakers
are starting up overseas, further increasing the scale of the
industry. To meet customer needs, Shinsho must serve the
international market. Therefore, the Ferrous Raw Materials
Division is expanding its bases of operation in such locations as
Australia, the U.S., China and Singapore to accommodate
localized demand, while building systems to ensure our customers have a stable supply. As part of that effort, we work closely
with our clients and are building our own raw material processing facilities.
By expanding our own operations, we create demand and
provide a reliable supply of materials. Adopting a long-term
perspective that looks five to ten years ahead, we provide the
support our customers need to expand their business by
analyzing market trends using massive amounts of high-quality
information.
Ore vessel
18
TOPICS
1
Investment in the Moranbah North Coal Mine in Australia
Coal is an indispensable material for the production of iron and steel, which is a
mainstay of Japan. In 1996, the Ferrous Raw Materials Division became a joint
venture partner in the Moranbah North Coal Mine Project in Australia, from which
it provides a steady supply of coking coal to Japan and other major steel producing countries throughout the world. While accurately grasping the raw material
needs of Kobe Steel and working in partnership with that company, the Division
will continue to seek out other investment opportunities in the field of ferrous raw
materials.
Moranbah North Coal Mine Project
TOPICS
2
Further Expansion of Environmental Business Aimed
at Realizing a Recycling Society
We are expanding our environmental business in the ferrous raw material field to
help realize a society that’s based on recycling. One way we do this is by selling
iron scrap from demolition sites to steelmakers who use electric furnaces.
Recognizing this use of cold steel resources as a growth field, we are currently
expanding operations by engaging in trilateral trading between Japan and ASEAN
countries such as Vietnam and Indonesia. We are also expanding our recycling
business by handling RPF (Refuse Paper and Plastic Fuel), which can be burned
instead of coal in the steelmaking process, as well as the slag that’s a byproduct
of the steelmaking process, which can be used as a constituent in cement.
Iron scrap
Global Operating Locations
● Overseas representative office ● Overseas subsidiary
※As of July, 2015
Kobelco Trading (Shanghai) Co., Ltd.
[Beijing Branch]
Kobelco Trading (Shanghai) Co., Ltd.
[Shanghai Head Office]
Kobelco Trading Vietnam Co., Ltd.
[Ho Chi Minh City Head Office, Hanoi Office]
Shinsho American Corporation
[Detroit Head Office]
Shinsho Europe GmbH
[Dusseldorf]
Kobelco Trading India Private Limited
[New Delhi Head Office]
Middle East Representative Office
[Dubai]
Kobelco Trading India Private Limited
[Chennai Office]
Thai Escorp Ltd.
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Anatanakorn Branch
Shinko Shoji Singapore Pte. Ltd.
PT. Kobelco Trading Indonesia
[Jakarta]
19
Shinsho American Corporation
[Los Angeles Branch]
Kobelco Trading Australia Pty Ltd
[Brisbane Office]
Kobelco Trading Australia Pty Ltd
[Sydney Head Office]
Main Products Handled by the Ferrous Raw Materials Division
Ferrous Raw Materials
Slag
Titanium Materials
Shinsho provides Kobe Steel with a reliable supply of iron
ore, coking coal, limestone and other materials used in the
steelmaking process.
Wo r k i n g i n c o o p e r a t i o n w i t h Ko b e S te e l a n d ot h e r
steelmakers, Shinsho provides a stable supply of slag in
Japan and around the world.
Shinsho supplies titanium sponge and scrap as a resource
for such applications as the aerospace industry and water
desalination plants.
Coal for Boilers
Alloy Steel
Coke Breeze
Shinsho supplies the coal and auxiliary materials used by
Shinko Kobe Power Station, which generates up to 70% of
the electric power used by the city of Kobe.
There are many different types of alloy steel with a wide
variety of characteristics. Shinsho has access to many
sources of alloy steel in Japan and abroad.
Coke breeze consists of small particles of coke that are a
byproduct of the coke-making process. Shinsho supplies it
to steelmakers who use electric furnaces as well as to alloy
steel manufacturers.
Materials for
Making Iron
and Steel
Coal, iron ore, coke, pig iron for steelmaking, hot briquetted
iron (HBI), iron scrap, stainless steel scrap, titaniferous ore,
limestone, dolomite, alloy iron, zinc, electrodes, refractories,
petroleum products, other auxiliary materials
Others
Main Customers
Kobe Steel, Ltd.
Kyoei Steel Ltd.
Osaka Steel Co., Ltd.
Nippon Koshuha Steel Co., Ltd.
Kanto Steel Ltd.
Kubota Corporation
Titanium sponge, coke breeze, slag products, slag powder for
blast furnaces, cement, Refuse Paper and Plastic Fuel (RPF),
secondary cement products, iron sand, plastics, chemical
products, titanium scrap, new materials, other auxiliary materials
Main Suppliers
Nippon Denko Co., Ltd.
Osaka Special Alloy Co., Ltd.
Kmew Co., Ltd.
Sumitomo Osaka Cement Co., Ltd.
Nippon Paper Lumber Co., Ltd.
Name
Main Products Supplied
Kobe Steel, Ltd.
Cold iron materials (pig iron, ore)
Shinko Slag Co., Ltd.
Slag products, coke breeze
Glencore International AG
Coal
Peabody Coaltrade International Limited
Coal
Nittetsu Mining Co., Ltd.
Limestone
Sumitomo Osaka Cement Co., Ltd.
Limestone
Taiheiyo Cement Corporation
Limestone
Ube Industries, Ltd.
Limestone
Santhad Group Co., Ltd.
Dolomite
Kanna Shoten Co., Ltd.
Cold iron materials (metal charge, iron scrap)
Matsumoto Sangyo Co., Ltd.
Iron scrap
Osaka Titanium Technologies Co., Ltd.
Titanium sponge
Daio paper Corporation
20
NON
FERROUS
METALS
Providing a Stable Supply of
High-Quality Products
That Support the Next Generation
The Nonferrous Metals Division constantly monitors global
developments and stays in the forefront by satisfying emerging needs. The main products we handle are aluminum and
copper, but aluminum in particular has recently been in the
spotlight. To reduce the burden humankind places on the
environment, there has been a worldwide trend toward using
aluminum to make automotive vehicles more lightweight and
energy efficient.
21
OUR STRATEGY
We Complete
a Supply Chain That Satisfies
Customers’ Exacting Requirements
Aluminum has become essential in the transportation industry
as a means of lightening the weight and improving the energy
efficiency of automotive vehicles, rolling stock and planes.
Making vehicles lighter is one way to reduce greenhouse gas
emissions, and aluminum parts contribute to that goal. To date,
We Meet Customer Needs
the shift to aluminum has been seen primarily in Japan, North
America and Europe, but because climate change is an issue
that transcends national boundaries, it is fast becoming a global
with High Value-Added
trend that includes newly developed countries.
Demand for copper is also on the rise, reflecting an increase
in hybrid vehicles and automotive electronics, as well as the
global dissemination of portable IT terminals that require
connectors that are both strong and flexible. With our deep
Products Processed
at Our Own Localized Plants
knowledge of various metal alloys, we serve as a crucial bridge
between materials manufacturers and end users. To better
serve diversifying customer needs.
Shinsho has established an aluminum processing plant in
China that enables us to go beyond simply finding suppliers and
selling materials; now we can actually process the material
ourselves to meet specific customer requirements. In this way
we act as an important link in our client companies’ supply
chain.
Our Strength Lies in Our Technical Expertise
as a Member of the Kobe Steel Group
We at Shinsho fully understand the technical characteristics of
the value-added aluminum and copper products we sell. Taking
advantage of the technical resources we enjoy as a member of
the Kobe Steel Group, we can go the extra mile to ensure that
our customers get exactly what they need. Our processing
facilities located in various locations throughout the world
handle not just KOBELCO products but materials produced by
other manufacturers in Japan and abroad. We are familiar with
the characteristics of materials made by many different companies, which allows us to select and process the products that
precisely match customer specifications. With a focus on
operating locations in China and Southeast Asia, we have laid
out a fine-tuned network that supplies products with the same
high quality as those produced in Japan, giving customers the
peace of mind that only comes from a trading company that is
closely associated with quality manufacturing.
Slitter line at Suzhou Shinko-Shoji Material Co., Ltd.,
an aluminum processing plant in China.
22
TOPICS
1
An Aluminum Extrusion and Processing Joint Venture Established
in Vietnam with an Integrated Production System That Includes Melting,
Casting and Final Processing
Vina Washin Aluminum Co., Ltd is located in My Phuoc Industrial Park north of Ho Chi
Minh City in Binh Duong Province, Vietnam. It is an integrated production facility
engaged in melting, casting and processing operations with an output of aluminum
extrusions and processed products.
Until recently, there were no manufacturers in the ASEAN region that could produce
the special alloys needed for precision equipment and motorcycle/automobile parts,
making it necessary to import them from Japan. This joint venture takes advantage of the
expertise of our partner company Washin Kogyo Co., Ltd., which has long experience
extruding aluminum in an integrated production system. By introducing this system to
Vina Washin Aluminum Co., Ltd
Vietnam, it becomes possible for us to provide a local supply of high-quality,
high-strength aluminum parts that improve the production efficiency of our customers
and stabilize their supply chains.
TOPICS
2
Bolstering Our Domestic Distribution System for Nonferrous Metals
Shinsho acquired Kobelco Tsutsunaka Trading Co., Ltd. when the latter was established
through an incorporation-type company split carried out by Tsutsunaka Metal Industry
Co., Ltd. It became a Shinsho subsidiary and started operating in July 2014. Also, on
May 1, 2015, Kobelco Tsutsunaka Trading acquired Korea Tsutsunaka & Namekawa
Aluminum Co., Ltd. from Tsutsunaka Metal and renamed it KTN Co., Ltd.
Tsutsunaka Metal Industry was a commission agent with a long history dealing in
Kobelco Tsutsunaka Trading Co., Ltd.
nonferrous metals, materials and finished goods primarily within Japan. It had many
excellent customers in fields that Shinsho was particularly interested in, including
automobiles, liquid crystals and semiconductor devices. This made it an ideal partner for
generating a synergistic effect.
KTN cuts, processes, and wholesales high-precision aluminum plate. As Shinsho’s
first nonferrous processing and sales facility to operate in Korea, it contributes to a more
efficient supply chain for overseas customers.
KTN Co., Ltd.
Global Operating Locations
● Domestic subsidiary ● Overseas representative office ● Overseas subsidiary ● Overseas affiliate
※As of July, 2015
Kobelco Precision Parts (Suzhou) Co., Ltd.
Suzhou Shinko-Shoji Material Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Chengdu Branch]
Kobelco Trading (Shanghai) Co., Ltd.
[Guangzhou Branch]
Shinsho Europe GmbH
[Dusseldorf]
Kobelco Trading India Private Limited
[New Delhi Head Office]
Middle East Representative Office
[Dubai]
Kobelco Trading India Private Limited
[Chennai Office]
Thai Escorp Ltd.
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Anatanakorn Branch
Naito Asia Sdn. Bhd.
[Kuala Lumpur]
Shinsho (Malaysia) Sdn. Bhd.
[Kuala Lumpur Head Office, Penang Office]
Shinko Shoji Singapore Pte. Ltd.
23
Kobelco Trading (Shanghai) Co., Ltd.
[Beijing Branch]
Shanghai Shinsho Trading Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Shanghai Head Office]
Kobelco Trading (Shanghai) Co., Ltd.
[Dalian Office]
Shinsho Korea Co., Ltd.
[Seoul suburbs]
Shinsho American Corporation
[Detroit Head Office]
KTN Co., Ltd.
[Seoul suburbs]
Shinsho Non-Ferrous Metals Corp.
[Osaka]
Kobelco Tsutsunaka Trading Co., Ltd.
[Tokyo]
Taiwan Shinsho Corporation
[Taipei Office, Hsinchu Office, Taoyuan Office]
Shinsho American Corporation
[Los Angeles Branch]
Shinsho (Philippines) Corporation
[Manila]
Kobelco Trading Vietnam Co., Ltd.
[Ho Chi Minh City Head Office, Hanoi Office]
Vina Washin Aluminum Co., Ltd
[Ho Chi Minh City]
PT. Kobelco Trading Indonesia
[Jakarta]
(Plus 4 joint ventures not listed)
Main Products Handled by the Nonferrous Metals Division
Aluminum Sheets
Leadframes
Copper Sheets and Strips for Electronic Applications
Shinsho handles high-grade aluminum sheet made by
Kobe Steel, one of the world’ s top aluminum manufacturers. With activities ranging from in-house processing to
sales, we seek out new ways for aluminum material to meet
the growing demands of the auto industry.
Leadframes are indispensable for semiconductors. We
supply semiconductor makers with high quality KOBELCO
leadframes produced through an integrated system that
covers every phase of the manufacturing process, from
raw materials to final product.
Kobe Steel produces high-quality copper alloy sheets and
strips tailored to automotive terminals and connectors,
leadframes that support smaller, higher density integrated
circuits, and other applications. Shinsho supplies these
materials in a wide range of industrial fields.
Photoconductor Drums
High-performance Deformed Heat Exchanger Tubes
With the dissemination of color laser printers, demand for
aluminum photoconductor drums is growing year by year.
Engaged in both manufacturing and sales, we supply
high-grade drum material to secondary processors, as well
as components to printer manufacturers.
Kobe Steel manufactures various types of copper tube with
its world-leading thin-wall technology. By supplying
p ro d u c ts fo r u s e i n a i r c o n d i ti o n e r s a n d oth e r h e at
exchange applications as well as heating pipes, we contribute to the creation of a comfortable living environment.
Aluminum and aluminum alloys in the forms of plate, bar,
shapes, pipe, rod, wire and foil
Aluminum Products
Cast Products
Precision aluminum and magnesium cast products
Main Customers
Kobe Steel, Ltd.※
Panasonic Corporation※
Inaba Denki Sangyo Co., Ltd.※
Sanken Electric Co., Ltd.
Sumitomo Wiring Systems, Ltd.※
Fujisaki Kinzoku Co., Ltd.
Furukawa Electric Co., Ltd.
Pacific Engineering Corporation※
SWCC Showa Cable Systems Co., Ltd.
Amagasaki Pipe Corporation※
Hitachi Appliances, Inc.
Hoei Metal Co., Ltd.
TS Inc.
Kawasaki Heavy Industries, Ltd.
Fuji Heavy Industries Ltd.
Mitsubishi Electric Corporation※
Copper and copper alloy in the forms of sheet, bar, pipe, rod
and wire; copper and copper alloy tube for heat exchange
applications
Processed Aluminum
and Copper Products
Par ts, products and half-finished products that primarily
consist of aluminum or copper
Copper, aluminum, zinc, magnesium, ingots, recycled ingots,
general scrap
Aluminum and
Copper Material
Yazaki Corporation※
Copper Products
Fuji Springs Co., Inc.
Sanoh Industrial Co., Ltd.※
Main Suppliers
Name
Main Products Supplied
Kobe Steel, Ltd.
Aluminum and copper sheets and bars, etc.
Kobelco & Materials Copper Tube, Ltd.
Copper tubes for air conditioning (inner grooved, smooth bore, deformed heat
exchanging tube); copper tubes for construction and hot water supply (smooth
bore, resin insulated)
Shinko Leadmikk Co., Ltd.
Leadframes, stampings
Shinko Metal Products Co., Ltd.
Condensate pipes, mold tubes for continuous steel casting
Shinko Engineering Co., Ltd.
Mobile power vehicles, winch mechanisms
Kobelco Research Institute, Inc.
Experimental research, target materials
Shinko North Co., Ltd.
Various types of processed aluminum products
Shinko Aluminum Wire Co., Ltd.
Aluminum alloy wires and rods, processed products made from aluminum wires and rods
Shinko Kenzai Ltd.
Products used in road building and civil engineering, structural materials
Kobe Electronics Material (Thailand) Co., Ltd.
Grooved and smooth bore copper tubes for air conditioning and other applications
Kobelco & Materials Copper Tube (Malaysia) Sdn. Bhd.
Copper tubes and secondary processing products
Kobelco & Materials Copper Tube (Thailand) Co., Ltd.
Inner-grooved and smooth bore copper tubes for air conditioning and other applications
Singapore Kobe Pte. Ltd.
Slitter-processed copper bars, leadframes
Kobe Aluminum Automotive Products, LLC
Forged aluminum parts for automobile suspensions
※Includes overseas group companies.
24
MACHINERY
&
ELECTRONICS
Matching High-Grade Technologies
with Market Needs to Generate
New Business
Focusing on industrial machinery and electronic equipment and
materials, we supply high-quality products and services by
matching leading-edge technologies from the Kobe Steel Group
and other companies with market requirements. We are also
exploiting networks across China, Southeast Asia and elsewhere
to promote our business worldwide.
25
OUR STRATEGY
Reliable Overseas Networks
Are Our Strength
In the Machinery & Electronics Division we handle products from
Kobe Steel Group companies and a wide range of other manufacturers in the machinery and electronics/IT fields. Our role is
to match these manufacturers’ advanced technologies with user
requirements across the world.
We also offer a worldwide procurement service to supply steel
works and other industrial plants with equipment and materials
Using Our Global Networks for a
sourced from Japan and overseas. We have affiliated companies and overseas offices in China, Taiwan, South Korea,
Southeast Asia, Dubai, Europe and America, and by linking
them we are currently developing trilateral business tie-ups and
expanding our import and export business.
Flexible Response to Customer
Requirements Both in Japan
In addition we use our networks overseas for ventures to
support Japanese customers locating manufacturing overseas,
in joint investments in production sites and in funding for new
and Overseas
projects. The Division’s overseas business already accounts for
more than 50% of the total, and the pace of globalization is
expected to accelerate in the future.
Optimizing Use of Personnel, Equipment,
Financial Resources and IT for All-Round
Customer Support
The Machinery & Electronics Division provides customers with
start-to-finish service.
For Japanese customers planning to set up production
outside Japan, we offer comprehensive service that provides
support not only in sourcing and installing plant and equipment,
but also addresses issues such as regulatory systems and
import/export licenses, and offers after-service, once equipment has been installed, that covers maintenance, supply of
parts, and plant overhaul.
Depending on requirements we can also provide assistance
with financial planning for production start-ups, for an all-round
package of support making optimum use of human resources,
hardware, finance and information. As we consolidate this
support function, we plan to strengthen our overseas networks
in India, Vietnam, Indonesia and elsewhere, aiming to give our
customers complete and full-fledged service.
Steam Star, screw-type compact steam generator
26
TOPICS
1
Bringing Specialized European Machinery and Equipment
to Meet Diverse Needs
Matsubo Corporation, a Group company, imports quality machinery and
equipment sourced mainly from North America and Europe, for delivery
to wide-ranging industrial sectors that include pharmaceuticals, foodstuffs, chemicals, paper-making and liquefied crystal displays. We have
created a complete service for customer peace of mind, from preliminary
provision of technical and product information before deliver y to an
after-service including maintenance, modifications and upgrading.
Also, through the tie-ups we have with local companies overseas we
are focusing on exporting from Japan and other ways of expanding our
global business.
PI tablet double-sided printer
TOPICS
2
A Full Line-Up in Environment and Energy Fields
In the steam energy field we have a full product line-up to meet wideranging customer requirements. The MSEG (screw-type compact steam
generator) makes ef ficient use of excess steam vented into the atmosphere at industrial plants, to generate electricity and help reduce CO ² .
Other major products include the MSRC screw-type compact steam
compressor and ‘Microbinary’, a high-efficiency compact binary generating system. We are also aiming for business growth in the solar battery
field, in part through increased sales of silicon processing equipment to
Taiwan and China.
`Microbinary´ binary power generator
Global Operating Locations
● Domestic subsidiary ● Overseas representative office ● Overseas subsidiary
※As of July, 2015
Kobelco Trading (Shanghai) Co., Ltd.
[Beijing Branch]
Kobelco Precision Parts (Suzhou) Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Chengdu Branch]
Kobelco Trading (Shanghai) Co., Ltd.
[Guangzhou Branch]
Shinsho Europe GmbH
[Dusseldorf]
Kobelco Trading India Private Limited
[New Delhi Head Office]
Middle East Representative Office
[Dubai]
Kobelco Trading India Private Limited
[Chennai Office]
Thai Escorp. Ltd.
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Amata Nakorn Branch
TES E&M Service Co., Ltd.
[Bangkok]
Shinsho (Malaysia) Sdn. Bhd.
[KualaLumpur Head Office, Penang Office]
Shanghai Shinsho Trading Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Shanghai Head Office]
Kobelco Trading (Shanghai) Co., Ltd.
[Dalian Office]
Shinsho Korea Co., Ltd.
[Seoul suburbs]
Shinsho American Corporation
[Detroit Head Office]
Matsubo Corporation
[Tokyo]
Asia Chemical Engineering Co., Ltd.
[Osaka]
Taiwan Shinsho Corporation
[Taipei Office, Hsinchu Office, Taoyuan Office]
Shinsho American Corporation
[South Carolina Branch]
Aiken Wire Processing, L.L.C.
Shinsho American Corporation
[Los Angeles Branch]
Kobelco Trading Vietnam Co., Ltd.
[Ho Chi Minh Head Office, Hanoi Office]
P.T. Kobelco Trading Indonesia
[Jakarta]
Shinko Shoji Singapore Pte. Ltd.
(Plus 12 joint ventures not listed)
27
Main Products Handled by the Machinery & Electronics Division
Steam Star
Rotating machinery; compressors
Standard compressors
Meeting demands to save energy, the world’ s first screwtype micro steam generator delivers high-efficiency power
generation not achievable with a turbine generator.
Turbo, screw and reciprocating machinery for wide-ranging
applications including gas, air and steam-related installations.
An energy-saving line-up centered on screw-type equipment for air compressors and freezers that includes
centrifugal and scroll models.
Tire and rubber machinery
Arc ion plating ( AIP) plant
Target materials
A broad line-up of tire and rubber machiner y used for
vehicles, construction machinery etc., that includes rubber
kneading and tire vulcanizing machiner y, and testing
equipment.
Equipment acclaimed both in Japan and overseas that
includes AIP plant and roll coaters (roll-to-roll coating) for
newly developed and high-function materials and other
advanced applications.
Our aluminum alloy target material based on spray-foaming
technology achieves high consistency and fine crystallization, and is popular as a coating material for wiring for LCD
panels.
( screw-t ype micro steam generator)
Chemicals, food
processing equipment
Iron and steel,
non-ferrous metal
related equipment
Electronic and
IT equipment
Processing, kneading and forming ; reacting, mixing and
drying; pipe-laying work
Steelmaking, rolling plant, forming and processing, transportation, installation and maintenance
Environment and
energy-related
equipment
General industrial
equipment
Air and gas-related, steam-related, electrical-related, waterrelated
High-function products, brakes and clutches, vacuum and
sintering furnaces, industrial furnaces, weighing equipment,
filling and packaging equipment, crushing balls, motors, reduction gears, bearings, fabricated products
Sputtering target materials, FPD-related, hard disk-related,
semiconductor-related, solar batteries
Main Customers
Main Suppliers
Kobe Steel, Ltd.※
Bridgestone Corporation ※
Kobelco Construction Machinery Co., Ltd.※
Sumitomo Rubber Industries, Ltd.※
Kobelco Cranes Co., Ltd.※
Mitsubishi Electric Corporation
Tokuyama Corporation
Kyoei Steel Ltd.
Shin-Etsu Chemical Co., Ltd.
Shenzhen China Star Optoelectronics
Technology Co., Ltd.
Denki Kagaku Kogyo Kabushiki Kaisha
Hiyama e-Film (Suzhou) Mfg. Co., Ltd.
Air Water Inc.
AUO Crystal Corp. (Taiwan)
Taiyo Nippon Sanso Corporation
Samsung Electronics Co., Ltd. (South Korea)
Sumitomo Electric Industries, Ltd.※
OCI Materials Co., Ltd. (South Korea)
Denso Corporation※
PT Multistrada Arah Sarana Tbk (Indonesia)
Name
Main Products Supplied
Kobe Steel, Ltd.
T i r e a n d r u b b e r m o l d i n g , v u l c a n i z i n g , te s t i n g
m a c h i n e s; e x t r u d e r s , m i x e r s , p l a s t i c s e q u i p m e n t, l a r g e c o m p r e s s o r s , s t e a m g e n e r a to r s ,
cold energy equipment, rolling equipment
Kobelco Eco-Solutions Co., Ltd.
Water treatment plants, water purification plants,
cooling towers
Kobelco Compressors Corporation
Standard compressors, freezers
Sinfonia Technology Co., Ltd.
Vibrator y equipment, clutches and brakes,
industrial motors
Shinko Engineering Co., Ltd.
Power generating plants, co-generation systems,
conductors and testing devices
Kobelco Research Institute Inc.
Target materials, wafer inspection equipment
Yiyang Yishen Rubber Machinery Co., Ltd.
Tire and rubber machiner y
Shimadzu Mectem, Inc.
Heat treatment furnaces
※Includes overseas group companies
28
WELDING
High Quality Welding
The Welding Division at Shinsho Corporation supports a diverse
range of manufacturing industries. In particular in recent years,
we have been active in fulfilling welding requirements in projects in Thailand and other ASEAN countries, China and other
locations overseas. In addition to welding materials we supply
equipment such as welding robot systems and automated
welding plant in comprehensive proposals for our customers.
29
OUR STRATEGY
A Preeminent Lead in Value-Added
Business Through Technical Prowess
The Welding Division supplies welding materials used on site in
industries such as shipbuilding and construction, construction
m a c h i n e r y a n d ve h i c l e m a n u f a c tu r i n g, a n d at g e n e r ati n g
stations and chemical e ngine ering plants. We also supply
welding-related equipment such as welding robot systems. A
characteristic feature of our business is our comprehensive
approach putting together welding materials with automated
Selected by Customers for
systems for a complete advanced package.
Shinsho’s greatest strength lies in our affiliation with Kobe
High Value-Added Manufacturing
Steel, one of Japan’ s leading companies. We supply some
800 welding-related branded items produced by Kobe Steel,
and with our detailed technical support and capability to meet
Support
customers’ requirements, we are in a preeminent position in
the high value-added business. The Welding Division of Shinsho Corporation directs efforts to technical projects in which
we can rapidly assess needs with the necessar y technical
know-how that has grown out of manufacturing, and offer realistic proposals matched to the application.
Winning Customers’ Trust and
Developing Overseas Business
One foreseeable trend in the Japanese market is the growth in
demand for construction for the 2020 Tokyo Olympic Games
and related growth in demand for welding for steel frame
construction. Fulfilling these requirements will be vital for the
expansion of the Welding Division. Overseas, we see greater
importance in the future in our long-term relations with customers to whom we supply welding equipment and robots, and
provide maintenance.
Shinsho currently places priority on setting up maintenance
networks for our overseas locations. In Thailand, for example,
we have a maintenance department set up within Thai Escorp Ltd.
and we are building trust with our customers through regular
checks and repairs of their equipment. We plan to extend such
activities in the future, not just throughout the Asian region but
also to North, Central and South America.
Advanced welding technology utilized in construction of
giant structures such as Tokyo Sky Tree
30
TOPICS
Developing New Business in Line with
North American Growth in the Auto and
Construction Machinery Industries
In line with the North American expansion of Japanese auto and construction machinery business,
the Welding Division is actively promoting its welding-related equipment. As part of this, we have
set up a manufacturing and marketing company, SC Tech de Mexico, S.A. de C.V. in Mexico making
welding equipment units for Japanese auto body and auto parts manufacturers.
Global Operating Locations
● Overseas representative office ● Overseas subsidiary
※As of July, 2015
Kobelco Trading (Shanghai) Co., Ltd.
[Chengdu Branch]
Kobelco Trading (Shanghai) Co., Ltd.
[Guangzhou Branch]
Beijing Representative Office
Kobelco Trading (Shanghai) Co., Ltd.
[Beijing Branch]
Shanghai Shinsho Trading Co., Ltd.
Kobelco Trading (Shanghai) Co., Ltd.
[Shanghai Head Office]
Shinsho Europe GmbH
[Dusseldorf]
Kobelco Trading India Private Limited
[New Delhi Head Office]
Middle East Representative Office
[Dubai]
Shinsho Trading India Private Limited
[Chennai Office]
Thai Escorp. Ltd.
Bangkok Head Office, Bo Win Branch,
Ayutthaya Branch, Amata Nakorn Branch
TES E&M Service Co., Ltd.
[Bangkok]
Shinsho (Malaysia) Sdn. Bhd.
[Kuala Lumpur Head Office, Penang Office]
31
Kobelco Trading (Shanghai) Co., Ltd.
[Dalian Office]
Shinsho American Corporation
[Detroit Head Office]
Shinsho Korea Co., Ltd
[Seoul suburbs]
Taiwan Shinsho Corporation
Taipei Office, Hsinchu Office,
Taoyuan Office
Shinsho (Philippines) Corporation
[Manila]
Kobelco Trading (Shanghai) Co., Ltd.
[Wuhan Office]
Kobelco Trading Vietnam Co., Ltd.
[Ho Chi Minh City Head Office, Hanoi Office]
P.T. Kobelco Trading Indonesia
[Jakarta]
Shinko Shoji Singapore Pte. Ltd.
Shinsho American Corporation
[South Carolina Branch]
Aiken Wire Processing, L.L.C.
Shinsho Mexico S.A. de C.V.
SC Tech de Mexico, S.A. de C.V.
Shinsho American Corporation
[Los Angeles Branch]
Main Products Handled by the Welding Division
Welding materials
Welding equipment
Kobe Steel welding materials we supply cover some 800
different branded items, from shielded metal arc welding
rods to wire and flux for automated or semi-automated
welding, and are widely acclaimed as technically sophisticated products suited to all welding needs.
Welding equipment generates the arc necessary for welding. We
handle many different types including shielded metal arc welding and
CO ² arc welding kits.
Welding Robot Systems
Laser welding equipment
Welding raw materials
Welding robot systems offer personnel-free welding for
steel frame construction, bridge beams, construction
machinery and others. The fast and stable-quality welding
our systems offer can meet the most complex user requirements.
Laser equipment for cutting and welding. This is a noted
new welding method and the market is expected to grow.
Raw materials such as minerals, various metals, alloys etc.
needed to manufacture welding materials are procured
worldwide.
Welding materials
Materials for
production
Shielded metal arc welding rods, solid wires, flux-cored wires,
submerged arc welding wires and fluxes, inert gas wires, and
ancillary materials for welding use
Welding-related
equipment
Alloys, metal powders, mining products, ilmenite, hoop materials (mild, stainless steel), plastics and plastic products, special
steel wires, spools for welding wire, polypropylene, paper and
cardboard products, packing materials
Welding robots & FA systems, arc welders, low frequency
resistance welders, laser welding equipment, laser cutting
equipment, plasma cut ting machines, gas cut ters, stud
welders, high pressure gas containers, low-energy automated
welding equipment and peripheral devices, dryers, transporters, equipment and materials for brazing, dust collectors
Main Industrial Fields
Steel frames
Construction machinery
Chemical engineering installations
Shipbuilding
Bridges
Automotive
Chemical engineering
Welding materials
Steel frames
Construction machiner y
Heav y electrical
Fabrication
Others
32
GLOBAL
STRATEGY
Responding fast to requirements
worldwide.
There is still much we can do.
Accelerating
Our Global Business
Shinsho Corporation Group’s long-term
management vision is to grow into a global
trading enterprise at the center of the Kobe
Steel Group, fulfilling local requirements
appropriately in different parts of the world.
We have three targets as we expand our
overseas presence: to expand and enhance
global locations, boost overseas trading
ratio, and strengthen trading company
functions.
33
Strategies and Targets for Business Overseas - Long-Term Management Vision
EUROPE
MIDDLE E AST
(¥billion)
○Expand business with
European companies in
Middle East and Asia, centering on Shinsho Europe,
(Düsseldorf Germany).
(¥billion)
50
35
25
7
○Develop new business opportunities in Middle East region
and Asia centering on machiner y and equipment, with
Dubai representative office as
the basic point.
0
○Expand locations of Kobelco
Trading (Shanghai).
○Expand transactions by expanding and enhancing locations of
wire products processing, steel
sheets coil center, aluminum coil
center, tire machinery manufacturing, and welding material
manufacturing.
○Investigation of entering into thick
aluminum plate/informationrelated processing business.
AUSTRALIA & OCEANIA
○Expand raw materials business
with Shinsho Australia as the
basic point ( Interest investment in iron ore and coal).
15
2009
ASIA
250
215
200
150
100
38
0
2009
○Expand business in Vietnam
and Indonesia (transforming
Ho Chi Minh /Jakar ta of fices
into local corporations).
○Stronger partnerships between
locations in Thailand, Malaysia,
Singapore, Philippines,
Indonesia, Taiwan, and Korea.
2020
(¥billion)
230
250
200
150
100
105
50
0
2020
NORTH AMERICA
○Expand and enhance business
investment type business
centering on automotive wire
products.
○Develop new business in
machinery/IT and nonferrous
metals units.
○Expand raw material business
centering on new iron sources.
25
2020
(¥billion)
50
30
0
2009
CHINA
50
2009
2020
INDIA
(¥billion)
150
105
100
50
37
0
2009
2020
(¥billion)
180
200
150
○Develop and reinforce infrastructure of Kobe Steel Group for
branching out into India.
(Investigation of transforming
New Delhi representative office
into a local corporation, establishment of offices in Kobe Steel
G roup’ s manufacturing
locations such as Chennai.)
75
50
50
25
6
0
2009
2020
BR A ZIL
○Location for development of
new businesses such as
resources and energy.
120
(¥billion)
future bases
100,
50
0
2009
2020
34
GLOBAL STRATEGY
1
Shinsho Osaka Seiko (Nantong) Corporation
Aiming for greater cost merits
CHINA
TAIWAN
KOREA
Product processing here is followed by further processing at Ondo
Shinsho Precision Technology for shipping automakers in Japan and
Thailand. We utilize a system specific to China to minimize customs
duties and reduce costs.
○Established: January 2013
○Main activities: Cutting and chamfering,
cold forging proce ssing
and shaving processing for
round stick of specialt y
steel and impor t /expor t
and trade of these products
2
China, Taiwan and South
Korea are Asia’s focal points
of the global economy.
We are taking on new challenges to identif y local
requirements and service
customers.
Shanghai Shinsho Trading Co., Ltd.
Cornerstone for Shinsho Corporation’s trade in China
We play a major functional role in arranging bonded and brokered
trading business meeting Chinese regulations. Located in the Jinqiao
Export Processing Zone, designated a free trade model zone, we
ex p e c t f u r th e r g row th i n c o o p e r ati o n w i th Ko b e l c o Tr a d i n g
(Shanghai) based on the years of trust we have built up locally.
○Established: April 1998
○Main activities: I n te r n a t i o n a l t r a d e a n d
consulting of trade, proxy
ser vices for B to B in
bonded district, commercial simple processing
3
Kobelco Trading (Shanghai) Co., Ltd.
Using Chinese market to drive
Shinsho Corporation’s global business
With trading rights for imports and sales activities within China, we
cover all of Shinsho’s five business fields. We are developing
business in China using the know-how we have built up as the
central trading arm of the Kobe Steel Group. We aim to be a ‘functional trading company’ placing particular emphasis on IT, distribution and maintenance functions.
○Established: September 2006
○Locations: Shanghai Head Office, Beijing
Branch, Guangzhou Branch,
Chengdu Branch, Dalian
Office, Wuhan Office
○Main activities:
Import/export and trade of products and
semimanufactures of iron and steel, raw
materials, nonferrous metals, and
electronics, machines, apparatus,
facilities and related parts, materials of
welding. Commission substitution,
import/export duties mentioned above,
maintenances of machines, apparatus
and facilities, and other related services
4
Ondo Shinsho Precision Technology Corporation
○Established: February 2012
○Main activities: Manufacture and sales of differential gears, engines,
transmissions and pedal assemblies for vehicle use
Subsidiary
35
Affiliated company
Overseas representative office
5
Taiwan Shinsho Corporation
9
Suzhou Shinko-Shoji Material Co., Ltd.
Building networks to
fulfill sophisticated requirements
Supplying high-value products
meeting customers’ exacting requirements
Dealing in high value-added products, we are working to identify
high-quality low-cost vendors. Utilizing our acknowledged strength in
communications, Taiwan Shinsho is building cooperative networks
between vendor companies and working to provide solutions for
sophisticated technical issues.
Set up as China’s one and only specialist aluminum coil center, we
supply a range of precision-processed aluminum materials matching
customize d consumer re quire ments, and of fe r wide-ranging
customer support.
○Established: July 2006
○Main activities: Slit shirring processing and
sales of aluminum rolling
materials
○Established: November 1992
○Locations: Taipei Office, Hsinchu Office,
Taoyuan Office
○Main activities:
Import/export and trade of iron and steel,
nonferrous metals, machines, information
device s and ele ctronic mate r ials and
welding-related equipment
10
Kobelco Precision Parts (Suzhou) Co., Ltd.
Promoting new business in cutting and
sales of aluminum plate
Specializing in small-quantity production of a wide range of goods,
we prioritize customer needs and supply high value-added products.
With a new venture business in stocking, cutting and sales of aluminum plate, we plan in the future to move further into source materials,
in addition to processing. We also plan to strengthen our production
capacity.
6
Beijing
○Established: December 2010
○Main activities: Manufacturing aluminum
component for liquid
cr ystal and solar panel
production device, bonding of target materials, and
cutting processing of the
aluminum plate and sale of
products
Seoul
11
12
13
1
9
4
10
7
Chengdu
2
3
Shanghai
Chongqing
11
Taipei
5
8
6
Shinsho Korea Co., Ltd.
Supporting customers in wide-ranging business
Our wide-ranging business covers all five of Shinsho’s divisions, and
we are developing considerable potential through cross-connections
to create new initiatives. Our future objectives focus on high valueadded business as we seek to boost sales of target materials.
○Established: January 2005
○Main activities:
Impor t /expor t and trade of electronic
materials, nonferrous metals, steel plate,
car component (castings), raw materials,
welding materials, Kenny coat coating,
facilities and component for chemical
plant
Beijing Representative Office
○Opened: March 1980
7
Kobe Special Steel Wire Products (Pinghu) Co., Ltd.
12
KTN Co., Ltd.
○Established: May 2015
○Main activities:
Cutting, processing and wholesales of
high-precision aluminum plates
○Established: November 2007
○Main activities: Manufacture and sales of cold heading (CH) and bearing
steel wire
8
VSC Shinsho Company Limited
○Established: July 1993
○Main activities: Funding and management of China coil center, import/
export and trade of steel, nonferrous metals and machinery
13
Allmet Co., Ltd.
○Established: August 2002
○Main activities: Sales of titanium materials, processing and sales of
products of titanium and other special metals
36
1
GLOBAL STRATEGY
SOUTHEAST
ASIA
AUSTRALIA
Shinsho (Philippines) Corporation
From our core business of nonferrous metals
and welding materials to new
product development
The strength of Shinsho in the Philippines lies in being able to
import and market to the export-processing zone free of tax.
Currently we specialize in sales of aluminum can stock, sheet
copper for semiconductors and welding materials for the
shipbuilding industry. In the future we aim to increase our
business handling ferrous raw materials and steel products
and take on new projects.
Hanoi
○Established: August 2005
○Main activities:
Import/export and trade of nonferrous metals and welding products
Chiang Mai
2
Bangkok
3
13
Ho Chi Minh City
The economies of Southeast
Asia are growing fast. With
the expansion of their affluent
middle classes the region is
of even greater importance
and markets are getting more
extensive. Development and
stable provision of raw materials from Australia is another
important mission for us.
Shinsho Corporation’s group
ne t wor k ex tends w idely
across Southeast Asia and
Australia.
4
2
Thai Escorp Ltd.
12
Kuala Lumpur
5
Founded in 1988, we continue to grow as
a long standing enterprise well rooted
in the region
Thai Escorp addresses diverse requirements in four business
sectors: steel and ferrous raw materials, nonferrous metals,
machinery and electronics, and welding materials. Our objective
is to boost auto and air-conditioning related business that is
forecast as a growth area in Thailand, and to increase machinery business projects for Japanese corporate customers.
○Established: May 1988
○Locations:
Bangkok Head Of fice, Bo Win
Branch, Ayut thaya Branch,
Amata Nakorn Branch
○Main activites:
Import/export and trade of iron
and steel, raw materials, nonferrous metals, machines and
welding products
3
TES E&M Service Co., Ltd.
○Established: March 2007
○Main activities: Contract of the construction and maintenance
services for machines
4
Kobelco Trading Vietnam Co., Ltd.
Vina Washin Aluminum Co., Ltd
set up to target the ASE AN region
In addition to steel products, we are developing business in
other fields including nonferrous metals and machinery. We
recently invested in a joint venture with Washin Kogyo Group
and set up Vina Washin Aluminum for aluminum extrusion
processing. We are supplying high quality, high strength
aluminum products to regional markets.
○Established: June 2011
○Locations:
Ho Chi Minh Head Office, Hanoi
Office
○Main activities:
Import/export and trade of iron
and steel, raw materials, nonferrous metals, machines, electronic
materials and devices, and
welding materials, consulting
services mentioned above
Subsidiary
37
Affiliated company
9
Singapore
7
11
Jakarta
10
8
5
Shinsho (Malaysia) Sdn. Bhd.
7
Shinko Shoji Singapore Pte. Ltd.
Heightened functions as a trading enterprise
for robust support of customers’ businesses
Demonstrating our all-round strengths
as a manufacturer and trading enterprise
The OPC drum business is our main type of nonferrous metal
business in Malaysia. Working closely with customers and
suppliers we offer stable, localized provision of the best materials for price and quality, on the basis of a quick reading of
market data. We are also shifting from distribution to project
investment, building up a financing arm as we strengthen
trading company functions.
Shinko Shoji Singapore’s marketing activities demonstrate its
comprehensive strength in wide-ranging segments, including
nonferrous metals, welding materials, ferrous raw materials
and steel. Notable in recent years has been the development
of exports and trilateral trading in nonferrous metal products,
welding materials and ferrous scrap to the Philippines,
Vietnam and Indonesia.
○Established: September 1987
○Locations:
Kuala Lumpur Head Of fice,
Penang Branch
○Main activities
Import/export and trade of iron
and steel, nonferrous metals,
machines, electronic materials
and devices, and welding
products
○Established: September 1989
○Main activities:
Import/export and trade of iron
and steel, raw materials, nonferrous metals, machines and
welding products
1
Manila
8
PT. Kobelco Trading Indonesia
Setting up six joint ventures
with auto parts makers
The company’s strengths are its personnel and product
knowledge fostered over 20 years of corporate history. By
setting up joint ventures with auto par ts makers we can
guarantee stable product supply, and in the future we aim to
develop follow-up services in each of our business fields and
further develop our stock-holding function.
○Established: May 2011
○Main activities:
Import/export and trade of iron
and steel, raw materials, nonferrous metals, machines, electronic
materials and devices, and
welding materials
Brisbane
Sydney
Canberra 6
Melbourne
9
○Established: November 1998
○Main activities: Processing aluminum tubes for photoreceptor drums
10
6
Kobelco Trading Australia Pty Ltd
Extending our territory and
focusing on trilateral business
Ferrous raw materials, coal for power generation, and cold
steel source for steelmakers who use electric furnaces are
business growth areas. Supplying raw materials to Kobe
Steel, we are extending our territory to steam coal and iron
ore for IPP (independent power producer) business. We are
also promoting trilateral business in ferrous scrap among
ASEAN countries.
○Established: November 1996
○Locations:
Sydney Head Office, Brisbane
Branch
○Main activities:
Investment in production and
marketing for high grade raw coal,
import/export and trade of steel,
ferrous raw materials, nonferrous
metals, machinery etc
Naito Asia Sdn. Bhd.
PT. Futabadenshi Indonesia
○Established: February 2013
○Main activities: M a nu fac tu re a nd s a l e s of produc ts for m eta l
molding parts
11
PT. Shinsho K’ mac Precision Parts Indonesia
○Established: October 2012
○Main activities: Import/export and trade of auto parts
12
Vina Washin Aluminum Co., Ltd
○Established: August 2013
○Main activities: Manufacture and sales of aluminum tubes, bars,
extrusions and fabricated products
13
Ondo Shinsho (Thailand) Co., Ltd.
○Established: February 2013
○Main activities: Manufacture and sales of transmission parts for
transportation equipment
38
GLOBAL STRATEGY
1
Shinsho American Corporation
Building supply chains in raw materials
NORTH &
CENTRAL
AMERICA
The US economy continues to
see slow but steady growth.
Auto sales are holding up well
and Mexico continues to
grow as a production base for
compact cars for the U S
market. Shinsho Corporation
maintains a network of bases
in North and Central America.
We are building supply chains in the automobile industry, from sales of
source materials to secondary processing and sales, and also parts manufacture and sales. Our product quality is widely acclaimed in the industry.
We are planning to widen our activities, including moving into the energy
field.
○Established: August 1966
○Locations:
Detroit Head Office, Los Angeles
Branch, South Carolina Branch
○Main activities:
Impor t /expor t and trade of
products of iron and steel, raw
materials, nonferrous metals and
electronic machine parts
2
Aiken Wire Processing, L.L.C.
○Established: July 2015
○Main activities:
Wire drawing for bearing steel
Los Angeles
4
Guanajuato
3
5
Mexico City
Subsidiary
39
Affiliated company
3
Shinsho Mexico S.A. de C.V.
6
Grand Blanc Processing, L.L.C.
Production base for compact cars
for the American markets
Meeting growing demand
from Japanese auto parts makers
Shinsho Mexico’ s strength lies in our ability to supply wire material
and steel rods for auto manufacturing at excellent quality and price
for on-time delivery. We are also able to market a broad selection of
steel materials from Kobe Steel and other manufacturers around the
world, including the US, Mexico and China.
With Shinsho American Corporation as its main investor, Grand Blanc
Processing undertakes secondary processing of steel wire and wire
products, with order books currently swelling for fastener-use materials for auto parts makers. We are actively addressing expanding
needs through cooperation with the Kobe Steel Group as production
facilities are increased.
○Established: April 2013
○Main activities:
Import/export and trade of
iron and steel products
○Established: September 1995
○Main activities:
Second processing of the
wire rod products
7
Shinsho-Meihoku Wire, Inc.
North American node contributes to
just-in-time production
Shinsho-Meihoku Wire is largely a warehousing business handling
materials for auto production. We stock and deliver materials traded
by Shinsho American Corporation for Japanese auto parts makers,
to meet our customers’ just-in-time production schedules. Customers benefit by avoiding excess production.
8
1
6
9
11
○Established: November 2001
○Main activities: Warehouse
Chicago
New York
7
2
10
8
Dexter Fastener Technologies, Inc.
○Established: April 1989
○Main activities: Manufacture and sales of high-strength fasteners for auto use
4
Kobelco CH Wire Mexicana, S.A. de C.V.
○Established: September 2014
○Main activities: Manufacture and sales of cold heading (CH) steel wire
5
SC Tech de Mexico, S.A. de C.V.
○Established: March 2015
○Main activities: Manufacture and sales of welding equipment unit, sales of
imported welding equipment unit, processing and sales of
parts for maintenance and modifications, sales of welding
robots, electric power sources and various consumables
9
Shinsho K’ mac Precision Parts, L.L.C.
○Established: September 2003
○Main activities: Import/export and trade of auto parts
10
Aiken Precision Technologies, L.L.C.
○Established: May 2002
○Main activities: Manufacture and sales of cold forged parts
11
SST Forming Roll, Inc.
○Established: September 1989
○Main activities: Import/export and trade of forming rolls
40
GLOBAL STRATEGY
INDIA
UNITED ARAB
EMIRATES
GERMANY
Shinsho Corporation is expanding into new business
fields as it grows into a global
trading enterprise at the
center of the Kobe S teel
Group
1
Shinsho Europe GmbH
Breaking into European markets
with value-added products
As Shinsho Corporation Group’s sole base in Europe, we are importing
and exporting steel, nonferrous metals, machinery and welding materials largely in European markets, as well as gathering information on
European automakers, and undertaking surveys of markets and suppliers. We are aiming for global provision of high value-added products to
supply European automakers and parts makers.
○Established: January 2009
○Main activities:
Impor t /expor t and trade of
iron and steel, raw materials,
nonferrous metals, machines
and welding products
2
Middle East Representative Office
Creating a foundation
for Shinsho Corporation in the Middle East
Shinsho Corporation considers the Middle East an important base from
which to develop global business, and set up the Middle East Representative Office as a starting point for Kobe Steel Group globalization.
We are currently actively seeking business partners in the region, as we
open up new business ventures in steel, nonferrous metals, and
machinery.
○Opened: July 2010
3
Shinsho K’ mac Precision Parts ( India)
Private Limited
○Established: May 2012
○Main activities: Import/export and trade of auto parts
Subsidiary
41
Affiliated company
Overseas representative office
4
Kobelco Trading India Private Limited
5
Kobelco Plate Processing India
Private Limited
Linking countries of South Asia with the ASE AN
region for business challenges in new fields
Aiming for an established position
in India as a plate processing business
With cooperative ties with Shinsho subsidiaries in the ASEAN region,
we are developing trilateral business boosted by the fast-growing Indian
market, linking up other South Asian countries with the ASEAN region.
In addition to dealing in our main products of steel, nonferrous metals
and industrial machinery, we plan to stimulate new demand by expanding our export business.
Kobelco Plate Processing India has grown largely from plate processing
and fabrication for use in construction machiner y. With high-level
processing technologies for steel plate products, we plan to expand our
production capacity, boosting productivity in fabrication, and in this way
we aim to establish a robust presence as a plate processing company.
○Established: January 2012
○Main activities:
Products and sales of thick
steel plate and parts for can
manufacture
○Established: March 2011
○Locations:
New Delhi Head Office; Chennai Office
○Main activities:
Impor t /expor t and trade of
iron and steel, raw materials,
nonferrous metals, machines,
electronic materials and
devices, and welding materials
1
Dusseldorf (Germany)
4
New Delhi (India)
Dubai (UAE)
3
Jaipur
2
5
Chennai
42
ENVIRONMENT, SOCIAL RESPONSIBILITY,
GOVERNANCE [ ESG ]
Corporate Governance
In the management of its businesses, the Group regards the strengthening of corporate governance as an
issue of the upmost importance. Our basic policy towards corporate governance is to promote business
that is wor thy of the trust of shareholders and clients by maintaining the integrity of management and
strengthening the competitive position of the Company through swift and flexible adaption to changes in the
business environment. Furthermore, the Group places great importance on compliance management and in
light of this it has constructed systems for compliance with laws and regulations and risk management.
These systems include the establishment of a Compliance Committee, an Investment and Loan Committee,
and an Environment Committee, as well as the development of a system for security export control.
In addition, in order to ensure the integrity in business activities, in accordance with the administrative
authority regulations, the Staff Department at the Head Office utilizing their specialist knowledge conducts
preliminary reviews of decisions made. The Department also monitors the performance of business conducted by the Group while cooperating with the Business Planning Office placed at each sales section and
if necessary makes suggestions for improvement and provides specific advice and instruction.
Moreover, the Auditing Department and Accounting Auditors make efforts to strengthen their partnership
through regular exchange of opinions and endeavor to monitor legality and fairness in the business performed by each department. We aim to not only ensure compliance through these systems and activities,
but to also enhance and maintain the integrity and transparency of our business and prevent management
risk.
An outline of the Company's corporate governance and internal control system is described below.
SHAREHOLDERS MEETING
Selection
Selection
Audit
Board of Directors
(Directors)
Audit &Supervisory Board
(Members)
Selection
Selection
President & CEO
Compliance Committee
Accounting Auditors
Security Export Control Council
Environment Committee
Management Council
Investment and
Loan Committee
Selection
Sales Sections and
Management Sections
43
Cooperation
Auditing Department
Executive Officers
Accounting Audit
internal audit
As we play our part in support of manufacturing activities worldwide, we are active in our day-today business tackling issues related to the environment, wider society and corporate administration or governance. This report sets out our approach to these issues.
Compliance
Environmental Policy
We enacted Code of Compliance and Ethics of Shinsho Corpo-
To actively address global environmental problems, we set
ration, including its group companies, in August 2003 to clearly
up
specify the compliance rules to be followed by all Managing Offi-
ISO14001 accreditation on 18 October 2000.
cers and Employees.
an
internal
Environment
Committee
and
gained
In the period up to the present time, environmental
In addition, Compliance Commit tee, which comprises the
management activities have been reviewed by the Environ-
President, Managing Officers and External Lawyers, has been
ment Committee on a periodic basis for ongoing upgrad-
established as an Advisory Body to the Board of Directors.
ing. We contribute to society by promoting environmental
T h e C o m plian ce Commi t te e ha s t wo re gul a rl y sc h edu led
management, including to our affiliated companies.
meetings each year to formulate policies and measures for compliance and implementation of the policies.
The Credit and Legal Department is responsible for carrying
out company-wide compliance promotion, and it focuses on the
planning and implementation of stratified compliance training
per theme, consultation for compliance, summarizing the status
of compliance based on the sur vey result, and operation of
whistleblowing system, etc.
Code of Compliance and Ethics of Shinsho Corporation and its group companies
○ Basic Philosophy
Standing our Corporate Philosophy, “with our Corporate
Motto of Integrity, we are committed toward securing
ⅠBasic Policy
prosperity for our clients and shareholders through the
・ We are committed to sustaining a high standard of corporate ethics
and conduct business practices that is trusted by society.
・ We are committed to complying with the laws, regulations and company rules, and conduct fair and equitable business.
creation of new value”, we deeply recognize that strong
drive against environmental issues is the most indispensable for the subsistence and activities of the Company and
eventually challenge to realize Sustainable Growth.
ⅡCode of Conduct
1.Fair Trading
Observe social rules, laws and regulations,
and promote fair and free competition.
2.Compliance with International Laws
and Regulations
Observe international laws and regulations,
and respect the culture and customs of each
nation and regions.
3.International Cooperation
Devote ourselves to international cooperation, and act with a global perspective.
4.Security Trade Control
Ensure strict compliance of security trade
control, and contribute for the maintenance
of international peace and security.
5.Disclosure of Corporate Information
Disclose corporate information in a timely
a n d a p p ro p r i ate m a n n e r, a n d m a i nt a i n
transparency of management.
6.Ensure the Reliability of
Financial Reporting
Maintain the fitness of financial statements
and the reliable financial reporting to ensure
the accuracy.
7.Protect Confidential Information
Strictly protect confidential information such
as customer information, and honor confidentiality of information from being divulged to
others without justifiable grounds.
8.Prevention of Insider Trading
Do not engage in any unfair stock trading or
other similar act that may be perceived as
insider trading.
9.Promotion of Environmental
Preservation
Take an active approach to global environmental issues, and remain committed to the
task of caring for the natural environment.
10.Respect for Intellectual Property
Rights
Protect and respect intellectual proper ty
rights.
11.Interaction with Local Communities
Conduct social contribution activities in the
local communities as a good corporate
citizen.
12.Respect for Human Rights
Respect the human rights of others, and do
not engage in all forms of unfair discriminatory treatment.
13.Prevention of Political Corruption
Avoid any potential acts of briber y, and
sustain decent relationships with government officials.
14.Confrontation with Antisocial Forces
Stand firmly against antisocial forces and
organizations.
○ Core Values
1. Environment-Friendliness
Through our Corporate activities, we protect global environment and
prevent any pollution, according to this Corporate Environmental Policy,
We, furthermore, foster and popularize the environment-considered
products all over the world.
2. Compliance with Environmental Legislation and Regulations
Through our Corporate activities, we comply with relevant environmental legislation and regulations, both international and domestic, and with
other self-imposed commitment.
3. Effective Use of Natural Resources and Energy
We effectively use natural resources and energy, recycling and preserving natural resources.
4. Establishment of Environmental Management System
According to this Environmental Policy, we establish and maintain our
environmental objects and targets, review them periodically and
achieve continual improvements through our environmental conservation activities.
5. Availability to The Public
This Environmental Policy be notifies to all employees and made public.
44
Security Trade Control System
From the viewpoint of upholding international peace and security, we are
actively implementing security trade control based on currency exchange and
overseas trading legislation, in order to keep from terrorist hands weapons,
commodities or technologies that could be turned to military use.
AEO Reciprocal Agreements
Date concluded
Country
We have set up a voluntary control system related to security trade control
June 2007
New Zealand – USA
as required by Japan’s Ministry of Economy, Trade and Industry (METI), and
May 2008
Japan – New Zealand
separate export licenses. This has meant in practice creating a trading
June 2008
Canada – USA
monitoring system for export control throughout the company, sharing the
June 2008
Jordan – USA
departments responsible for export control, and regular internal audits and
June 2009
Japan – USA
staff training on export control.
July 2009
EU – Norway
as an Authorized Economic Operator (AEO), indicating full compliance with
July 2009
EU – Switzerland
customs authorities. This eliminates customs inspections of exports and
June 2010
Japan – Canada
For trade between Japan and other countries with which we have reciprocal
June 2010
Canada – South Korea
agreements, customs procedures such as document screening and inspection
June 2010
Canada – Singapore
June 2010
Japan – EU
June 2010
South Korea – Singapore
June 2010
South Korea – USA
January 2011
Andorra – EU
May 2011
Japan – South Korea
June 2011
South Korea – New Zealand
June 2011
Japan – Singapore
May 2012
EU – USA
June 2012
China – Singapore
November 2012
Taiwan – USA
June 2013
China – South Korea
July 2013
Singapore – Taiwan
October 2013
China – Hong Kong
November 2013
India – Hong Kong
December 2013
Israel – Taiwan
February 2014
Hong Kong – South Korea
March 2014
South Korea – Mexico
May 2014
China – EU
June 2014
South Korea – Turkey
June 2014
Japan – Malaysia
June 2014
Hong Kong – Singapore
June 2014
Israel – USA
October 2014
Mexico – USA
December 2014
Singapore – USA
have obtained special trading authorization that bypasses the need for METI’s
latest regulations and export trends at meetings of representatives from all
Also, in March 2008 we obtained certification from the customs authorities
simplifies other procedures to speed up our exports.
are reduced both in Japan and the trading partner, which cuts logistical
lead-times.
Effect of AEO Certification
Japan
Trading partner
With no AEO
certification
Lead time
Exporter
Export
Import
Importer
Without
reciprocal
Inspection and
paperwork
certification reduced
AEO Exporter
Export
Import
With reciprocal
Inspection and
paperwork reduced
(in Japan)
Inspection and
paperwork reduced
effect of reciprocal
agreement
Importer
Reciprocal
agreements can
bring added
benefits
Source: AEO Compendium April 2014
AEO Exporter
Export
Import
Importer
There are more than 24 bilateral AEO tie-ups around the
world, 7 of which involve Japan.
Dif fering enterprises included in the AEO system in
partner countries is one of several factors that may affect
the benefits of reciprocal agreements in practice.
45
Credit Control
An electronic system is used for control of credit limits in Japan and overseas, for all procedures from application to approval, in order
to boost speed and efficiency. In the case of credit control in overseas subsidiaries, we try as far as possible to preclude bad debt
through periodic checks and sharing of information on the status of debt recovery etc. undertaken by the legal affairs screening
department and the subsidiary’s relevant departments.
credit agency
data
sales data
transactions
data
electronic database
client summary
credit limit
application form
financial analysis
credit agency
corporate data
client procurement list
claims, liabilities
stock application forms
credit control-related
data
Judgment made of client creditworthiness
based on the above data
Overseas Training Programs
The Group is actively securing and training human resources with experience in global business, in order to create a sound business
foundation from which to realize our long-term business management vision. As part of this in 2010 we launched a program to train
young Japanese employees overseas. This program is designed for all non-specialist staff with careers of no more than ten years in
the company. Those selected are sent to work with subsidiary companies in the US, China, Thailand and other locations.
The intention of overseas training is that participants acquire language skills and develop the ability to communicate easily with
people from different cultural backgrounds. Young employees who have already completed this program are now working in our
offices in Japan and overseas.
We are also recruiting foreign students in Japan to become part of our global team, as well as arranging training in Japan for staff
in other countries. In this way we are fostering human resources competent in handling global business in the future.
Eligibility
Non specialist staff with no more than 10 years’ employment in the company (5 divisions, administrative staff)
Locations
Decided according to individual’s job etc.
Courses
Decided on basis of assessment in English/Chinese, or by recommendation
Type of training
Destination
12-month course
Language and business training
Subsidiary or Group company
6-month course
Language and business training
Subsidiary or Group company
3-month course
Language training
Language school (located close to subsidiary)
46
http://www.shinsho.co.jp/english
15071000 -F