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Introduction of Group Companies
From Value One Spring 2005 No. 8
Metal One Tubular Products Inc. was launched as an exporting firm dedicated to trading line pipes and specialty tubes. Headquartered in Metal One's main office, the company's staff (selected from among the best) are doing business with the whole world.
Towards Becoming a Self-supporting Entity

Metal One Tubular Products Inc. was established in January 2004 as an exporting firm dedicated to the trade of steel pipe products, including line pipes and specialty tubes, but it has a long history behind its new face. Nissho Iwai Steel Trade (founded in 1991) and MC Steel Trade (set up in 1995) merged in 2003 to form MCSK, which was renamed Metal One Tubular Products Inc. in 2004.

The company is dedicated to the export of steel pipes and moves line pipes, specialty tubes and ductile iron pipes to customers around the world. In FY2004, business volume totalled some 62,000 tonnes, of which line pipes were mainly exported to the U.S. and Singapore, specialty tubes to the U.S. and China and ductile iron pipes to Kuwait and Libya.

Because of its uncommon character as a dedicated steel pipe exporter, the company was primarily positioned as Metal One's steel pipe export unit. Actually, it did business under commission from Metal One, sharing a corporate software system and other functional assets with Metal One. However, from FY2005 onward, it is scheduled to become fully self-supporting, a move that President Katsuhiko Shimada accepts positively. "Under the self-supporting system, we will pass on gains in income to our staff. This prospect has greatly stimulated the motivation of our staff." As Metal One Tubular is a young firm, its staff are also young. Even the most experienced has only been in this business for 10 years or so, but it is a professional team of a select few.

"Demand for steel pipes will grow from India, China, Russia and elsewhere," President Shimada notes. "We cannot be content with conventional transactions alone; we will have to provide services augmented with processing and logistics functions. As we are competing with all the other traders in the world, we should also think about the lateral expansion of our business, such as cross trading, in addition to exporting from Japan." President Shimada's blueprint for business is expanding.

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