Daido Steel Advances High-Alloy Process Reform Project

Daido Steel Expands High-Alloy Processing Capacity

Daido Steel Co., Ltd. has installed new heat treatment, processing, and inspection lines for forged products at its Chita Second Plant in Chita City, Aichi Prefecture. The move forms part of the Daido Steel Co Ltd High-Alloy Process Reform and is designed to improve the company's production structure for high-alloy materials. Daido Steel has transferred post-forging process functions for forged products from its Shibukawa Plant in Shibukawa City, Gunma Prefecture, while adding equipment intended to streamline subsequent manufacturing operations. The changes strengthen the company's ability to establish production systems suited to individual high-alloy products as demand from aerospace and aircraft industries continues to grow.

Chita Second Plant Adds Automated Production Processes

The new installation at the Chita Second Plant combines additional processing capabilities with automation designed to improve manufacturing efficiency. Daido Steel has installed two additional special melting facilities for high-grade steel and introduced automated transportation between processes. These changes are intended to create a more efficient flow for forged products after forging operations have been completed. By consolidating post-forging functions and automating inter-process transportation, the company is restructuring how high-alloy materials move through production. The investment also provides additional infrastructure for handling specialized steel requirements associated with products that demand controlled processing, heat treatment, and inspection before reaching their subsequent manufacturing stages.

JPY 36 Billion Investment Targets Aerospace Growth

The Chita Second Plant investment is part of Daido Steel's JPY 36 billion “high-alloy process reform project,” a strategic capital investment program focused on strengthening production systems for high-alloy materials. The company plans a series of capital investments to respond to needs arising from the growth of the aerospace and aircraft industries. Under the project, high-alloy materials that were previously produced from start to finish at the Shibukawa Plant will instead be supported by production systems established according to the requirements of each product. This approach is intended to align manufacturing capabilities more closely with the characteristics and processing needs of individual high-alloy products.

Shibukawa Plant Continues Major Equipment Upgrades

The restructuring does not represent a withdrawal of high-alloy manufacturing investment at the Shibukawa Plant. The facility is already implementing a large cutting-edge four-die forging machine described as one of the largest in Japan, alongside measures to strengthen its melting capacity for high alloys. The plant is also automating processing and inspection lines as part of the broader production reform. These investments indicate that Daido Steel is distributing capabilities across its facilities rather than relying on a single plant for every production stage. The resulting structure is intended to provide production systems appropriate to different high-alloy products while strengthening individual manufacturing processes.

Production Structure Supports Specialized Forged Products

The changes at both facilities create a production model in which forging, melting, post-forging processing, inspection, and material-specific operations can be organized according to product requirements. At the Chita Second Plant, the new heat treatment, processing, and inspection lines expand capabilities that were transferred from Shibukawa, while special melting equipment and automated transportation improve the flow between manufacturing stages. At Shibukawa, investments in forging and high-alloy melting capacity continue to strengthen upstream capabilities. The combination is significant because high-alloy forged products require tightly controlled manufacturing processes, making equipment capability and efficient movement between stages important factors in supporting specialized applications.

Industry Impact & Outlook

Daido Steel's production reform strengthens its manufacturing base for high-alloy materials at a time when the aerospace and aircraft industries are generating additional material requirements. The practical impact is concentrated on production flexibility, process efficiency, and the ability to assign different manufacturing stages to facilities suited to particular products. For the company, the next steps involve continuing the JPY 36 billion investment program, including expanded high-alloy melting capacity, advanced forging equipment, and automated processing and inspection operations. The reconfigured production structure could help Daido Steel respond more effectively to specialized forged-product requirements while improving the efficiency of its high-alloy manufacturing network in Japan.

Frequently Asked Questions

What is Daido Steel's high-alloy process reform project?
The project is a JPY 36 billion strategic investment program designed to strengthen Daido Steel's production systems for high-alloy materials used by growing aerospace and aircraft industries. It includes new processing and inspection capabilities at the Chita Second Plant, additional special melting facilities, automated transportation, a large four-die forging machine at the Shibukawa Plant, stronger high-alloy melting capacity, and automated processing and inspection lines. The project also reorganizes production so high-alloy materials can be manufactured through systems suited to the requirements of individual products.