JFE Steel has decided to transfer the shape steel business operations in Fukuyama District of the West Japan Works to JFE Bars & Shapes, a member of the JFE Steel Group, effective April 2027. This initiative is part of the “reorganizing domestic production structure and businesses” outlined in the “Eighth Medium-Term Business Plan.”

The domestic shape steel market is experiencing a downward trend in demand, primarily in the construction and civil engineering sectors. This is due to factors such as population decline, labor shortages, and rising prices. In light of changes to the shape steel business environment, we have explored optimal production and supply structures. Our goal is to continue providing a stable supply to our customers while establishing a sustainable production system for the future.

JFE Bars & Shapes is the core company within the JFE Steel Group responsible for the manufacture and sale of shape steel products. By transferring the operation of the shape steel business in the Fukuyama District to JFE Bars & Shapes, we will establish a flexible production system that can effectively respond to fluctuations in supply and demand. Through this initiative, we will efficiently utilize the JFE Steel Group’s management resources to optimize the allocation of manufacturing and sales functions for each product. This will make our entire shape steel business more competitive and improve its profitability. Furthermore, regarding the shape steel products currently manufactured in the Fukuyama District, the JFE Steel Group will continue to ensure a stable supply to our customers, even after the transfer of business operations to JFE Bars & Shapes.

We are continuing to explore the collaboration between the Yamato Kogyo Co., Ltd. Group and the JFE Steel Group, which was announced in March of 2025.

[Related URL]

2025/3/25 JFE Steel and Yamato Kogyo to collaborate in Japan’s section steel market
https://www.jfe-steel.co.jp/en/release/2025/03/250325-2.html

About JFE Steel Corporation

JFE Steel Corporation, one of the world’s leading integrated steel producers, was established through the consolidation of NKK Corporation and Kawasaki Steel Corporation in 2003. The company operates several steelworks in Japan and numerous branch offices and affiliates throughout the world. Under the corporate vision of “contributing to society with the world’s most innovative technology,” JFE Steel leverages world-class technologies and know-how to produce a wide range of products. The company reported consolidated sales of 3,716 billion yen and consolidated crude steel output of 24.80 million tons in the fiscal year ended March 2023.

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