Kobe Steel will merge Kobe Welding Wire Co Limited into the company effective 1 April 1 2011 and carry out other organizational changes in production. This comes as a result of the decrease in demand for welding products in Japan, Europe and North America and the increase in competition in the Asian market. Kobe Welding Wire’s manufacturing facility will become the Fukuchiyama Plant. The general administration section and the manufacturing section will be created at the plant. The production centre will be newly created, while procurement planning, demand and supply, safety and training, equipment management, production technology and other dispersed management resources involved with production will be consolidated.