Nippon Piston to boost output of parts for bioethanol cars

In the face of a plateau in the domestic car manufacturing business, Japanese engine parts manufacturer Nippon Piston Ring Co. is increasing production of valve sheets used in the engines of bioethanol vehicles, to fill foreign demand. Bioethanol vehicles emit less carbon dioxide than gasoline-powered automobiles. The company will invest ¥500 million (US$ 5.7 million) to expand capacity of its plant in the U.S. state of Michigan from a turn out of 2 million valve sheets a month to around 3 million in the current fiscal year through March. In its plant in Thailand, Nippon Piston Ring Co. will increase monthly capacity to 6 million units from the present 5 million, to be realized as early as fiscal year 2013.
German automakers Daimier AG and Audi AG have placed orders for valve sheets for ethanol vehicles, expecting to sell them to Germany’s Volkswagen AG and in the future, to U.S. automakers. Nippon Piston Ring Co. is currently working to expand sales of valve sheets for engines fueled by natural gas, which require the same high durability as ethanol vehicles. (December 4, 2012)