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TITLE  Kobe Steel to establish welding product company at Shanghai
WRITER   administrator DATE   2009-12-12 10:09:37
Kobe Steel to establish welding product company at Shanghai
12 Dec 2009

Kobe Steel Ltd announces that it plans to establish a company at Shanghai in China, to market its welding products and welding robot systems in that country.

The new company, to be called Kobe Welding of Shanghai Co Ltd or KWSH, is anticipated to be established in March 2010.

Plans call for KWSH to be capitalized at USD 800,000. The company, which will be wholly owned by Kobe Steel, will have 11 employees. KWSH will market welding consumables and welding robot systems and related parts in China. It will also provide maintenance services for the robot systems.

In China's energy field, demand has been active for petroleum tanks, spherical tanks and LNG terminals in recent years. Energy-related projects are anticipated to increase sharply in the future. For Kobe Steel's welding consumable business, it is essential to be close to its users, in order to meet demand for value-added welding consumables heavily used in the energy field.

In the welding robot systems business, Kobe Steel, which excels in robot systems for welding medium steel plate, has been supplying welding systems to construction equipment manufacturers in China. Demand has been growing for construction machinery, particularly for hydraulic excavators. There is a great need for better after-sales services to customers. In the future, demand for construction machinery in China is expected to continue being firm, and customers are requiring better maintenance and an improved parts supply network.

Kobe Steel decided to establish KWSH to improve marketing, reinforce customer relations, and strengthen its sales capabilities in China.

Kobe Steel already has two other subsidiaries in China. Kobe Welding of Tangshan Co Ltd at Tangshan in Hebei Province for manufacturing solid welding wire and Kobe Welding of Qingdao Co Ltd in Shangdong Province for making flux cored welding wire for carbon steel. KWSH's welding products and welding robot systems will add to Kobe Steel's offerings of distinctive products and further increase its presence in China.

Resourced from www.steelguru.com
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