September 07, 2008

Nippon Steel targets over JPY 100 billion cost down

JMB cited Mr Kiichiroh Masuda vice president of Nippon Steel as saying that the firm targets more than JPY 100 billion of cost cutting mainly for upper stream operations for fiscal 2008 started April compared with JPY 35 billion in fiscal 2007.

As per report the firm launches special task force for the cost cutting to review the cost for raw materials and operations. The firm tries to deal with unprecedented higher raw materials cost through the across the board effort while the firm secures profitability to pass more than JPY 1 trillion of higher cost for raw materials, energy and freight by increasing the steel selling price by around JPY 30,000 per tonne.