Sumitomo Osaka Cement Expands Productive Capacity Three times Larger for High Purity Zirconia Powder at Kaizuka Site [2001.2.28] Chemical Industry Journal Page 13 Sumitomo Osaka Cement (SOC) expands productive capacity three times larger for high purity zirconia powder. The aim of this expansion is to meet rapid increase of demand for zirconia for optical fiber. By this August, SOC will install the up-to-date plant, which annual production is 300 tons, in its main production site at Kaizuka (Osaka Pref.). The company estimates the investment at more than one billion yen. The current plant, which annual production is 100 tons, are planned to be used as a middle pilot plant or to produce special products. The company expects that this increase of investment will contribute to keeping up its 30 percent share of the ferrule powder market. Owing to the current spread of the Internet, more and more optical fiber cables are newly laid to accomplish mass data transmission. Consequently, production of connector (ferrule and sleeve) for optical fiber is rapidly increasing. It is estimated that the market scale of connectors will increase in quantity from 2000�Œs 250 million (by estimation) to 650 million in 2003. Using its unique technology to make ultrafine particles, SOC manufactures highly pure powder of yttria partially-stabilized zirconia that is easy-to-sinter and thermostable. In spite of being latecomer, the company is satisfactorily increasing its share of the market because of good characteristics of the product. Last year, SOC raised its annual production capacity from 60 tons to 100 tons and outsourced some production processes; thus SOC secures its annual supplying capacity of 150 tons. The planned buildup of equipment complements last year�Œs business scheme. The company raises its annual production capacity to 300 tons by installing a new plant that has a triplicate capacity of current one. On the other hand, the company intends to continue the current outsourcing so as to ensure its supplying capacity of nearly 400 tons at the maximum. More than 80 percent of the supplying capacity will be devoted to ferrule production, and the company is planning to increase its sales from current 600 million yen to 2 billion yen in 2003. SOC�Œs New Technology Research Laboratory at Funabashi, Chiba Pref., will send some experts on product development to Kaizuka site, so as to attempt to use zirconia to other application, such as nano-composite materials and solid electrolyte. SOC regards the production of high purity zirconia powder as the principal business, and it intends to expand its business scale while looking for a chance of overseas expansion. In this way, SOC is chasing Tosoh Corp., the No.1 manufacturer of zirconia.