Our Automotive Steel Pipe Business Development in India

Nippon Steel Corporation (“NSC”), with a view to securely capturing a demand of the automotive steel pipe market in India where rapid economic growth is sustained, now establishes a new automotive steel pipe business there. In the state of Rajasthan in the northern part of India, Siam Nippon Steel Pipe Co., Ltd. (NSC’s equity ratio 60.5%, “SNP”), a Thailand-based consolidated subsidiary, will build a base for manufacturing and selling electric-welded pipes for two-wheeled and four-wheeled motor vehicles.

In India, about 10 million two-wheeled motor vehicles and 2.4 million four-wheeled motor vehicles were produced in 2009, and, against the background of vigorous economic growth, auto production is expected to expand further in the future. Accordingly, in India, Japanese automakers have been actively expanding their capacities, offering the prospect of a rapid expansion of the markets for pipes of medium and high grades in which we possess competitive strength.

NSC, using the “Model of Integrated Manufacture” incorporating materials and pipe manufacture to cold drawing, heat treating and fabrication of auto parts and components, which was first established at SNP in Thailand and never before practiced elsewhere in the world, built a business base in PT. Indonesia Nippon Steel Pipe (INP 2007) and will soon build another one in Wuxi NSP Automotive Parts Co., Ltd. (2011) also. Thus responding to increasingly diverse needs of automakers and parts makers in the ASEAN member nations and China, we are making stable supplies of high-precision and high-quality automotive pipe. This “Model of Integrated Manufacture” soon to be operative in India will enable us to get a firm hold of business opportunities arising out of the briskly expanding demand for automotive pipe in India.


1. Company name: NIPPON PIPE INDIA PRIVATE LIMITED (subject to change)
2. Capital: approx. 700 million rupees (approx. 1400 million yen)
3. Shareholding structure: SNP 98%, Toshida Kogyo 2%
4. Location: Neemrana Industrial Park in the state of Rajasthan
5. Business: Manufacture and sale of automotive machine structural steel pipe for two-wheeled and four-wheeled motor vehicles
6. Amount of investment: approx. 1500 million rupees (approx. 3000 million yen)
7. Start of production: 2012～　Cutting & heat treating, 2014～　pipe manufacture and subsequently integrated manufacturing setup completion
8. Productive capacity: 2012～　approx. 800t/month , 2014～　approx. 2000t/month
9.Main units of equipment: 2012～　Cutting & heat treating 、2014～　electric-welded pipe manufacturing ＆ cold drawing
10. Employees: 2012～　approx. 60, 2014～　approx. 300　

For more information, please contact:
Public Relations Center, General Administration Division
Tel: 81-3-6867-2135, 2147