Product-based Management System
JFE Steel will adopt a product-based management system to maximize its responsiveness to customer needs and closely control the profitability of each product in the following business areas:

Sheets, Plates, Shapes, Pipes and Tubes, Stainless and Specialty Steels, Electrical Steels, Bars and Wire Rods, and Iron Powders

2 Steelworks and 1 Mill
The operations of adjacent steelworks will be integrated to realize the highest level of competitiveness and accelerate the consolidation process. Specifically, the Chiba, Keihin, Mizushima and Fukuyama steelworks owned either by Kawasaki Steel or NKK will be reorganized into the East Works and the West Works. A fifth plant, the Chita Works, will continue to specialize in the production of pipes and tubes.

JFE Engineering will adopt a consolidated-division system encompassing divisions/centers and functional group companies to enable it to respond flexibly to changes in business environments, develop common business strategies and maximize profits on a consolidated basis.

Consolidated-division System (4 Divisions and 2 Centers)
Energy Industries Engineering Division, Environmental Industries Engineering Division, Water and Waste Water Engineering Division, Steel Structure Engineering Division, Solution Engineering Center, Machinery Center

Universal Shipbuilding Corp. will be responsible for developing and building vessels that fully satisfy requirements in international markets in a timely fashion and contributes to the development of society and industry by realizing synergy effects with JFE’s steel business and engineering business through comprehensive marketing activities.

5 Shipyards and 1 Research Center

The company is engaged in building and repairing mainly large-sized general merchant ships such as tankers and bulk carriers, naval ships such as destroyers and minesweepers, and icebreakers under the company’s structure with five Shipyards in Keihin, Tsu, Maizuru, Innoshima and Ariake and one Technical Research Center in Tsu, and is committed to becoming a leading company in the world shipbuilding industry.

JFE Urban Development Corp. will be responsible for developing the large tracts of idle land held by the JFE Group. It will also purchase land and build condominiums for consigned sales.
The company will expand its condominium development business by integrating the real estate development operations of NKK, located primarily in the Tokyo area, with those of Kawasaki Steel, located primarily in the Osaka-Kansai area.

Kawasaki Microelectronics, Inc. (KME) was spun off from Kawasaki Steel's LSI Division in July 2001.
KME's business is centered on the application specific integrated circuit (ASIC) field. By strengthening its technology base and effectively developing its markets, the company has established a firm position as an ASIC vendor specializing in network/communications and image-processing for digital cameras and office equipment.
KME expects to become one of the world's top global ASIC suppliers, distinguished by its high level of customer satisfaction.

JFE developed and commercialized the world's first integrated waste plastics recycling system, enabling 100%-chemical recycling of waste plastics for feed into blast furnaces as reducing agents.
JFE Group companies engage in a broad range of recycling businesses, including waste recycling and resource utilization based on the Thermoselect waste gasifying and melting (gas reform) system, and waste plastics recycling for reuse as construction materials, offering diverse services to meet customer needs of today.

The environmental solutions business is a group-wide effort by JFE to provide comprehensive solutions to the environmental and eco-energy issues faced by our customers.
By taking advantage of the synergy between its steelmaking and engineering expertise, JFE can provide and recommend integrated solutions to precisely respond to customer needs. Business will be proposal-driven and customer-focused.
JFE is studying all aspects of commercializing dimethyl ethyl (DME), a clean fuel seen as a potential alternative energy source in the 21st century.