SDK to Expand U.S. Graphite Electrode Production Capacity
Showa Denko K.K.
February 9, 2011
Showa Denko K.K. (SDK) has decided to expand graphite
electrode production capacity at Showa Denko Carbon, Inc. (SDKC), a
consolidated subsidiary located in
Graphite electrodes are used for electric steelmaking, which
melts iron scraps for recycling. The
world’s crude steel production, which temporarily declined in 2008 and 2009 due
to the global recession, increased as much as 16% in 2010. The production is expected to increase at an annual
rate of around 4% in coming years, driven by economic growth in emerging
countries. Electric steel production is
also expected to increase steadily due to its environment-friendly features of
iron resource recycling and low CO2 emissions, in addition to the economic
growth in emerging countries. With the
scheduled expansion at SDKC, the Group will be able to meet the recovering
demand in the
The graphite electrode production process consists of six stages: forming, baking, pitch-impregnation, rebaking, graphitizing, and machining. The process involves temperatures as high as 3,000°C or more. SDKC will build new facilities for forming and graphitizing, while installing additional furnaces in the stages of baking, pitch-impregnation and rebaking. SDKC will fully utilize its highly efficient plant design and give priority to the production of large-diameter (30- and 32-inch) graphite electrodes. Construction will begin by the end of this year, after obtaining permissions from the relevant authorities. Completion of work and start-up are scheduled for the first half of 2013.
Under the new medium-term consolidated business plan PEGASUS launched this year, the Showa Denko Group will aggressively expand the hard disk media and graphite electrode businesses as the Group’s main businesses. Demand for graphite electrodes will continue to grow, reflecting the need for environmental protection; effective use of resources; and development of infrastructure and improvement of living standards in emerging countries. The Group will establish a system for stable supply of high-quality graphite electrodes to the growing market, thereby contributing to the creation of a society in which affluence and sustainability are harmonized.
[Reference]
Outline of Showa Denko Carbon, Inc.
President and CEO: Robert C. Whitten
Location:
Establishment: July 1, 1988
Capital: $50 million
Shareholder: Showa Denko K.K. (100%)
Number of employees: 234
History:
1982 Constructed as Airco Carbon’s South Carolina Works.
1988 Acquired by the Showa Denko Group; Showa Denko Carbon, Inc. was established.
1991 Increased production capacity to 34,000 t/y.
After a series of expansions, reached the current capacity of 45,000 t/y.
An aerial view of SDKC
Graphite electrodes
(On the extreme left: A 32-inch-diameter electrode,
which is the largest size on the market.)
Graphite electrode in an electric arc furnace
For further information, contact:
IR & PR Office (Phone: 81-3-5470-3235)