Yamato Kogyo Co (5444) Corporate presentation summary

Vision 2030 and strategic priorities

• Vision 2030 targets global leadership in structural steel by volume and profitability, while expanding into new businesses and advancing carbon neutrality and a circular economy.

• Priorities include growth in Asia, stronger mill competitiveness, advanced operating know-how, broader products and value chains, technology acquisition, M&A, and developing professional talent.

• Since 2023, initiatives have included establishing GYS in Indonesia, reviewing India as a new location, investing in Electra, and exploring startup collaboration through an Emerald-managed fund.

Road map and investment

• The Vision 2030 road map is unchanged; after exiting the Middle East, expansion is focused on India, emerging markets and other areas to support sustainable global growth.

• Planned investment totals ¥250–300bn, including ¥80bn through FY26/3 and ¥120bn for FY27/3–FY30/3 in the road map’s investment plan.

• Core-business investment targets ¥200bn; ¥50–100bn is allocated to new business areas, including product expansion, value-chain strengthening, technology acquisition and M&A.

• Structural steel capacity targets include 3 Mt or more in Japan, 2.5–3 Mt in the U.S., and 1–1.5 Mt in India and emerging markets; ROE target remains at least 10%.

Structural steel markets and operations

• Strategic investment aims to strengthen a roughly 30% share of the global structural steel market, excluding China, through existing-site growth and M&A for new locations.

• The U.S. H-beam market is estimated at 5.5 Mt; additional import tariffs are 50%, rising to 85% for Chinese products, with fabricated steel also covered.

• NYS holds a leading U.S. position through high capacity and technology; it offers large-size, high-strength and high-weldability products, while Nucor can supply over 95% of steel products for data centers.

• ASEAN’s three locations have 3 Mt of structural steel capacity; strategy centers on higher-value products, data-center demand, shared operating know-how and cross-location sales, procurement and manufacturing synergies.

• GYS plans to complete expansion of large-scale rolling lines in 2027; SYS and PYVINA investments will be assessed against business conditions.