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News Releases

Oct 24, 2019

    Notice of Establishment of a Joint Venture Company in North America

    October 24, 2019

     

    Nippon Light Metal Holdings Company, Ltd.
    Nippon Light Metal Company, Ltd.
    Nikkeikin Aluminium Core Technology Company, Ltd.
    ITOCHU Metals Corporation

     

    Notice of Establishment of a Joint Venture Company in North America

     


    Nippon Light Metal North America, Inc. (headquarters: Ohio, U.S.A.; President: Katsu Nakajima; hereinafter referred to as “NLMNA”), a wholly owned subsidiary of Nippon Light Metal Co., Ltd., and ITOCHU Metals Corporation (headquarters: Minato-ku, Tokyo; President & CEO: Tsuguyoshi Nakatani; hereinafter referred to as “ITOCHU Metals”) have reached an agreement to establish a joint venture company in the United States to be engaged in development, manufacturing and distribution of aluminum components for automobiles.

     

    1. Background of the establishment of the joint venture company
      In the medium-term management plan that began in fiscal 2019, Nippon Light Metals Group has defined “allocation of resources aimed at growth” as one of the pillars of its basic policy, setting the target of allocating resources more aggressively in business fields and regions that can leverage the Group’s strengths.
    Meanwhile, within Nippon Light Metals Group, Nikkeikin Aluminium Core Technology Company, Ltd., the Group’s core processing company, has been driving the business of manufacturing and distribution of aluminum components for automobiles in Japan and China. As tighter environment regulations are implemented around the world and the need for lighter-weight vehicles grows, it is expected that demand for aluminum products will also expand further in North America.
    In establishing a new base in North America, Nippon Light Metals Group will seek to strengthen its global supply structure by drawing on ITOCHU Metals’ business experience and network, and will strive to achieve further growth and business expansion as a corporate group that continues to create new value for its customers.

     

    2. Overview of the joint venture company
    NameNippon Light Metal Georgia, Inc. (NLMGA) 
    Date of establishmentNovember 2019 (scheduled) 
    LocationAdairsville, Georgia, U.S.A. 
    CapitalUSD16 million (JPY1, 760 million at JPY110 /USD1) 
    Shareholder compositionNLMNA - 90%; ITOCHU Metals - 10% 
    RepresentativeKatsu Nakajima President 
    Description of businessAluminum suspension components for automobiles 
    Capital investmentJPY5 billion (aggregate for the period up to 2024) 
    Business scaleJPY8 billion (2027 plan) 

     

    3. Schedule
    November 2019Establishment of joint venture company  
    January 2020Commencement of new plant construction  
    2022Commencement of full operations (scheduled)  

     

    4. Overview of NLMNA
    Trade nameNippon Light Metal North America, Inc. 
    LocationOhio, U.S.A. 
    RepresentativeKatsu Nakajima, President 
    EstablishedApril 24, 2017 
    CapitalUSD0.5 million (Nippon Light Metals Company, Ltd. 100%) 

     

    5. Overview of ITOCHU Metals
    Trade nameITOCHU Metals Corporation 
    Head office address5-1 Kita-Aoyama 2-chome, Minato-ku, Tokyo 
    RepresentativeTsuguyoshi Nakatani, President & CEO 
    EstablishedJuly 1996 
    CapitalJPY700 million (ITOCHU Corporation 100%) 

     

     

    For PDF printing

    Notice of Establishment of a Joint Venture Company in North America (PDF)

     


      Contact

      Public Relations Office
    Nippon Light Metal Co., Ltd.
    (Tel +81-3-5461-9333)
        
      Corporate Planning & Administration Division
    ITOCHU Metals Corporation
    (Tel +81-3-3497-7137)