JFE Steel Corp., Japan's second-biggest steelmaker, will spend ¥250 billion to increase production and cut carbon emissions.
About ¥150 billion will be spent on steel processing machinery in Japan and the remainder on carbon-reduction equipment, the company said Wednesday at a press briefing in Tokyo. Annual capacity will increase by 3 million tons to 33 million tons by March 2009, the company said.
JFE needs to expand output of the metal to keep pace with rising demand for steel used in ships and automobiles, driven partly by the expansion of Japanese automakers overseas. The Tokyo-based company said it may also build a blast furnace outside Japan to help make more of the metal.