Japan’s Nissin Electric doubles auto parts coating output capacity in China

08, Aug. 2019

TOKYO, NNA - Japanese electrical equipment manufacturer Nissin Electric Co. has doubled the coating output capacity of a wholly owned Chinese subsidiary to meet growing demand for automotive coating in northeastern China.

Nissin Advanced Coating (Shenyang) Co., based in Shenyang, Liaoning Province, has relocated its commission coating plant and doubled its output capacity with upgraded equipment with an investment of 248 million yen ($ 2.34 million), Nissin Electric spokesman Hideki Moriguchi said.

The plant was moved from Shenyang’s Hunnan District to Shenfu New District, located between the cities of Shenyang and Shenfu, he said. It started operation on Aug. 1 after holding an inaugural ceremony on site, he added.

“We provide commission coating services mostly for coating automotive tools and dies,” Moriguchi said. Coating automotive parts is also on the business lineup.

Demand for commission coating is expected to rise in northeastern China, where major Chinese, Japanese and European motor vehicle and parts manufacturers converge, Nissin Electric said in a statement.

The new plant has a site area of about 600 square meters with a combined floor space of about 2,000 sq. meters. It is engaging in nitride coating and DLC (diamond-like carbon) coating, the statement said. Nitride coating is applied to cutting tools, molds, machine parts and other products, prolonging their lifespan by 2-3 times, it added. DLC coating is widely used in sliding parts as it helps make their surfaces harder and smoother.

The plant has been newly equipped with a large-scale furnace, which doubles the plant’s coating capacity so that it can handle 20,000 items in a single operation, the spokesman said. The plant’s annual sales are targeted to reach 360 million yen in fiscal 2020, compared to 160 million yen for fiscal 2018.