Metal Art

Basic Information

Stock Code
5644
Industry
Steel
Category Detail
Auto Parts
Prefecture
Shiga Prefecture
Establishment Year
August 1943
Listing Year
November 1962
Official Website
https://www.metalart.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
ZOA, Alpha, Dynic, H-One, Kitagawa Tekkojo, Misakura Kogyo, A.E. G, Endo Seisakusho

Overview

Metal Art is an automotive parts manufacturer in the steel industry founded in 1943, with strengths in the automotive and construction machinery fields based on forging technology as a Daihatsu Group company.

Current Situation

Metal Art mainly produces forged parts for automobiles. In fiscal 2023, it maintained stable sales despite declines in domestic and international automotive demand. It leverages close transactions with major customer Daihatsu Group to demonstrate competitiveness in the market through high-quality products and precision forging technology. Products for construction machinery are gradually expanding, promoting business diversification. In recent years, it has actively invested in equipment to improve production efficiency and focused on innovations in processing technology. In overseas markets, it monitors trends in emerging markets like Indonesia while pursuing risk diversification. Environmentally, it is working on energy-saving manufacturing processes and waste reduction to build a sustainable production system. Its mid-to-long-term growth strategy emphasizes strengthening high-function part development, building a resilient supply chain, and production innovation through DX. Recently, it launched a new strawberry farm business as part of diversification efforts. It aims for stable growth while adapting to changes in the automotive industry.

Trivia

Interesting Facts

  • Established in 1943, a long-standing forged parts company
  • Specializes in automotive parts supply as Daihatsu Group
  • Representative mid-sized manufacturer headquartered in Shiga Prefecture
  • Also handles forged parts for construction machinery, diversifying business
  • Opened strawberry farm newly in 2023
  • Enhanced competitiveness by shifting from casting to forging technology
  • Widely responds to repair parts market
  • Achieved high-precision forging through long-term technology development
  • One of the few parts manufacturers strong in domestic production
  • Participates in local industry-academia collaboration projects
  • Early adopter of environmentally friendly manufacturing equipment
  • Expands market through multiple product brands
  • Possesses surface treatment technology in addition to forging processing
  • Metal processing technology for construction machinery parts highly evaluated
  • Actively promotes skill inheritance training for employees

Hidden Connections

  • Built long-term technical and manufacturing collaboration with main customer Daihatsu Industries
  • Strengthened manufacturing capabilities through capital and business alliance with related company IA Group
  • Strong ties with civil engineering and construction industry through parts supply to construction machinery manufacturers
  • Conducts joint R&D on forging technology with local universities
  • Strawberry farm business collaborates with local government as part of regional revitalization
  • Considering potential collaboration while competing with peer Misakura Kogyo
  • Hidden sales source from transaction relationships with specific dealers in automotive repair market
  • Established collaboration system with A.E. G group companies in supply chain management

Future Outlook

Growth Drivers

  • Increased demand for high-function parts due to environmental regulations in automotive industry
  • Expected steady recovery in construction and civil engineering machinery market
  • Advancement and diversification of precision forging technology
  • Development of lightweight metal parts responding to market needs
  • Spread of energy-saving manufacturing processes
  • Productivity improvements through DX promotion
  • Stable growth in after-service repair parts market
  • Cautious expansion into emerging markets
  • Competitive strengthening through sustainable material development
  • Strengthening trust base through regionally rooted management
  • Revenue diversification through new businesses (agriculture, etc.)
  • Next-generation technology succession through engineer training

Strategic Goals

  • 20% increase in domestic and international sales of automotive parts business
  • Expansion of product lines and revenue improvement in construction machinery division
  • Achieve carbon neutrality in manufacturing processes
  • Promote production innovation and cost reduction using DX
  • Expand social contribution activities deepening coexistence with region
  • Strengthen R&D of new materials and high-function parts
  • Build multiple sales channels to expand distribution network
  • Expand share in repair parts market
  • Stabilize revenue from diversified businesses like strawberry farm
  • Talent development and creation of better work environment

Business Segments

Automotive Parts Manufacturing

Overview
Stably supplies high-quality forged parts to the automotive industry.
Competitiveness
Strong transaction base with Daihatsu Industries Group and precision forging technology.
Customers
  • Automotive Manufacturers
  • Automotive Parts Manufacturers
  • Vehicle Assembly Plants
  • Automotive Repair Market
Products
  • Forged Hinge Parts
  • Bracket Parts
  • High-Strength Fasteners
  • Rust-Proof Processed Parts
  • Lightweight Metal Parts

Construction Machinery Parts Manufacturing

Overview
Provides high-durability parts for construction machinery, contributing to improved equipment reliability.
Competitiveness
Forging technology and quality control that withstand harsh usage environments.
Customers
  • Construction Machinery Manufacturers
  • Construction Machinery Parts Trading Companies
  • Heavy Equipment Maintenance Companies
Products
  • Forged Parts for Hydraulic Excavators
  • Bushes for Bulldozers
  • Hinges for Paving Machines

Industrial Machinery Parts

Overview
Provides high-durability metal parts necessary for industrial machinery.
Competitiveness
Precision processing and wear-resistance technology as sources of competitiveness.
Customers
  • Industrial Machinery Manufacturers
  • Machine Tool Manufacturers
  • Industrial Machinery Maintenance Providers
Products
  • High-Precision Gears
  • Wear-Resistant Shafts
  • Coated Parts

Repair Parts Supply

Overview
Mainly engages in stable supply of high-quality parts to the repair market.
Competitiveness
Established system for rapid provision of diverse parts.
Customers
  • Automotive Dealers
  • Construction Machinery Repair Shops
  • Industrial Machinery Maintenance Services
Products
  • Automotive Repair Metal Parts
  • Construction Machinery Repair Fasteners
  • Industrial Machinery Maintenance Parts

Processing Technology Provision Services

Overview
Provides forging technology know-how and processing services externally.
Competitiveness
Retention of advanced heat treatment and surface treatment technologies.
Customers
  • Parts Processing Manufacturers
  • Manufacturing Industry
  • Technical Research Institutions
Products
  • Forging Processing Technology Support
  • Metal Heat Treatment Services
  • Surface Treatment Technology

Competitive Advantage

Strengths

  • High-precision forging technology
  • Strong customer base with Daihatsu Industries Group
  • Diverse metal parts lineup
  • Growth potential in construction machinery division
  • Stable domestic production system
  • Eco-friendly processing technology
  • Long track record and trust in the industry
  • Supply capability for high-durability products
  • Established precision processing technology
  • Supply chain management capabilities
  • Diverse customer base
  • Rapid product development system
  • Response capability in repair market
  • Energy-saving and cost-efficiency improvements
  • Regionally rooted management system

Competitive Advantages

  • Secures stable demand through long-term collaboration with Daihatsu Industries
  • Able to provide high-quality parts through precision forging and processing technology
  • Achieves risk diversification by expanding products into construction machinery field
  • Effective manufacturing base centered in Shiga Prefecture
  • Demonstrates competitive edge with environmentally regulated manufacturing processes
  • Continuous investment in automation and labor-saving of production equipment
  • High responsiveness and rapid supply system in repair parts market
  • Responds to customer needs through diverse brand deployments
  • Product lineup achieving high durability and longevity
  • Strong manufacturing capabilities from mold design to integrated production
  • Shortened product development periods and high technological applicability
  • Stable management base rooted in domestic demand
  • Robust quality management system
  • Able to manufacture wide range of parts categories in-house
  • Strong partnerships with local economy

Threats

  • Impact from global automotive demand slowdown
  • Political and economic risks in emerging markets like Indonesia
  • Raw material price fluctuation risks
  • Strengthened environmental regulations and increased compliance costs
  • Profit pressure from exchange rate fluctuations
  • Competitors' technological innovations and price competition
  • Changes in parts demand due to spread of new energy vehicles
  • Supply chain instability risks
  • Security risks at overseas production bases
  • Challenges in securing talent
  • Cost increases from aging production equipment
  • Rising logistics costs

Innovations

2024: Introduction of Advanced Precision Forging Technology

Overview
Introduced state-of-the-art forging equipment to significantly improve product precision and durability.
Impact
20% reduction in product defect rate, 15% improvement in production efficiency

2023: Development of New Alloy Materials

Overview
Developed lightweight and high-strength new alloy materials and applied them to automotive parts.
Impact
Contributes to improved fuel efficiency and CO2 reduction through part weight reduction

2022: Promotion of Production Line Automation

Overview
Strengthened line automation using robots and IoT technology.
Impact
25% improvement in work efficiency, reduction in human errors

2021: Introduction of Environmentally Friendly Manufacturing Processes

Overview
Introduced energy-saving equipment and implemented waste and emission reductions.
Impact
10% reduction in electricity consumption, 20% reduction in waste

2020: Launch of Strawberry Farm as New Business

Overview
Diversified into agriculture, utilizing internal resources for new business.
Impact
Expected as new revenue source

Sustainability

  • Strengthening energy-saving and emission reduction measures in manufacturing processes
  • Efforts to improve waste recycling rate
  • Active adoption of low-environmental-impact metal materials
  • Thorough management of hazardous substances in factories
  • Cooperation with local communities in environmental conservation activities