Nippon Steel plans to invest JPY 868.7 bln (USD 5.98 bln) to install electric furnaces at its domestic steel plants, backed by up to JPY 251.4 bln (USD 1.7 bln) in aid from Japan’s industry ministry.
The initiative supports the company’s goal to cut carbon emissions by 30pct by 2030 compared to 2013 levels, and to achieve net-zero emissions by 2050.
The investment includes JPY 630.2 bln (USD 4.34 bln) for a new electric furnace at the Kyushu Works’ Yawata Area in Kitakyushu, JPY 140 bln (USD 0.96 bln) for an additional furnace at the Hirohata Area of the Setouchi Works in Himeji, and JPY 98.5 bln (USD 0.68 bln) to renovate and restart an existing furnace at the Yamaguchi Works in Shunan.
The transition from coal-based blast furnaces to electric furnaces is part of broader efforts to decarbonize steelmaking in Japan.
1 USD / 144.8 JPY