October 8, 2008
Showa Denko to Make Magnet Materials in Vietnam
Tokyo, Oct. 8 (Jiji Press)--Japanese chemical maker Show Denko K.K. said Wednesday it has set up a subsidiary in Vietnam to make raw materials for rare-earth magnetic alloys.
Showa Denko Rare-Earth Vietnam Co. will start production of didymium and dysprosium metals in April 2010 at an annual pace of 800 tons.
The Ha Nam-based unit is capitalized at 6.36 million U.S. dollars, of which 90 pct is put up by Showa Denko and the remainder by Tokai Trade Co. of Japan. It aims to achieve sales of 2 billion yen in 2010.
In addition to motors for gas-electric hybrid vehicles and electronics products, rare-earth magnets are expected to be increasingly used in wind power generation.
The Vietnamese production is part of Showa Denko's efforts to secure stable supply of rare-earth magnet materials as the company now relies on China for procurement.END
(c) 2008 Jiji Press English News Service. Provided by ProQuest LLC. All rights Reserved.