Yasunaga

Basic Information

Stock Code
7271
Industry
Transportation Equipment
Category Detail
Auto Parts
Prefecture
Mie Prefecture
Establishment Year
September 1949
Listing Year
February 1996
Official Website
https://www.fine-yasunaga.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Soketts, Moritec, Riken NPR, TPR, Nittan, Denso, Tokyo Radiator Mfg., Tirado, Mikuni, Aisan Kogyo, Fujio Zex, Tohoku Kagaku, Ohashi Technica

Overview

Yasunaga is a mid-sized manufacturer of automotive engine parts and machine tools established in 1949, with strengths in hybrid vehicle parts and multiple bases domestically and internationally.

Current Situation

Yasunaga achieved stable growth with consolidated sales of approximately 34.3 billion yen, net assets of about 11.4 billion yen, and 1,962 employees in the fiscal year ended March 2020. Its main business is automotive engine parts, with strengths in cylinder blocks and connecting rods, particularly for hybrid vehicles. It operates multiple factories in Japan and has subsidiaries overseas in Indonesia, Mexico, and other locations, establishing a global production system. In recent technology development, it has entered the secondary battery field by establishing lithium-ion battery cathode plate technology. For environmental considerations, it focuses on advanced precision casting technology and energy-efficient machine tools. Moving forward, it plans to respond to demand from the electrification of automobiles and stricter environmental regulations through product diversification and strengthened overseas expansion. It is also promoting production efficiency improvements and quality enhancements through the use of digital technologies. In terms of corporate governance, it transitioned to a company with an audit and supervisory committee in 2015 and is working to improve governance. Amid intensifying competition, it aims to differentiate itself with technological capabilities and quality control, seeking sustainable growth.

Trivia

Interesting Facts

  • Long-established company that started as agricultural machinery manufacturer in 1923
  • Received Supplier of the Year from GM in 2017
  • Highly evaluated in hybrid vehicle parts manufacturing
  • Early entry into lithium-ion battery-related technology with patents held
  • Head office located in the rich natural environment of Iga City, Mie Prefecture
  • Multiple overseas subsidiaries covering Asia and North America markets
  • Fusion of traditional casting technology and cutting-edge machining
  • Official sponsor of Iga FC Kunoichi
  • Strengthened internal controls as a company with audit and supervisory committee
  • Proprietary lapping machine technology highly regarded in the industry
  • Casting factories and machine tool production factories consolidated in the same region
  • About 30% of annual sales from non-automotive sectors
  • Holds numerous domestic and international patents demonstrating technological strength
  • Deploys human resource development programs in collaboration with the region
  • Actively promoting unmanned and automation in manufacturing processes

Hidden Connections

  • The award from GM is noteworthy as proof of trust in the North American market
  • Patents related to lithium-ion battery parts have led to contracts with many major battery manufacturers
  • MQL technology in the machine tool division developed through joint research with environmental organizations
  • Strong ties with the local community through support for Iga City's club team
  • Company name same as president's family name, symbolizing strong founding family culture
  • Global expansion through overseas subsidiaries has been steadily advanced since the late 1990s
  • Manufactured engine parts adopted by many Japanese automakers
  • Transition to company with audit and supervisory committee is a strategic move to enhance corporate transparency

Future Outlook

Growth Drivers

  • Expansion of electric and hybrid vehicle adoption
  • Increased demand for high-performance parts due to stricter environmental regulations
  • Application and market expansion of secondary battery-related technology
  • Acceleration of global expansion and strengthened local production
  • Expanded introduction of production efficiency and energy-saving technologies
  • Business diversification into non-automotive fields
  • Manufacturing innovation through digitalization and AI utilization
  • Niche market development for high-quality parts
  • Maintenance of strong trust relationships with existing customers
  • Promotion of sustainable manufacturing and management

Strategic Goals

  • Achieve 60% sales ratio for hybrid and electric vehicle parts
  • Build global corporate structure with over 50% overseas sales ratio
  • Secure top domestic share in lithium-ion battery parts
  • Complete smart factory transformation of manufacturing equipment
  • Reduce CO2 emissions by 30% through product environmental impact reductions
  • Break through 100 billion yen in sales via new market entries
  • Maintain and strengthen transparency as a company with audit and supervisory committee
  • Sustainable job creation in collaboration with local community
  • Maintain annual investment of 2 billion yen in advanced technology development
  • Enhance corporate value addressing environmental and social challenges

Business Segments

Parts Supply to Automotive Manufacturers

Overview
Stably supplies high-quality engine parts to domestic and international automakers, including hybrid vehicle parts.
Competitiveness
Provision of highly reliable parts through long years of forging and casting technology and high-precision machining technology
Customers
  • Toyota Motor
  • Honda
  • Nissan Motor
  • Suzuki
  • Mazda
  • Mitsubishi Motors
  • Daihatsu
  • SUBARU
  • Isuzu Motors
  • Overseas Automakers
Products
  • Cylinder Block
  • Connecting Rod
  • Cylinder Head
  • Fuel Injection Device Parts
  • Engine Valve
  • Radiator
  • Oil Cooler
  • Exhaust System Parts
  • Hybrid Vehicle Parts
  • Engine Peripheral Accessories

To Machine Tool Manufacturers

Overview
Provides high-performance machinery and energy-saving systems to machine tool manufacturers, supporting productivity improvements.
Competitiveness
Development capabilities in energy-saving machine tools and related equipment
Customers
  • Machine Tool Manufacturers
  • Precision Parts Makers
  • Ironworks
  • Automotive Parts Processors
  • Industrial Machinery Manufacturers
Products
  • Lapping Machine
  • MQL System
  • NC Lathe
  • Precision Cutting Device
  • Inspection and Measurement Device

Secondary Battery-Related Manufacturers

Overview
Provides parts for lithium-ion batteries, contributing to extended battery life and improved safety.
Competitiveness
Ability to improve battery performance through cathode plate technological innovations
Customers
  • Lithium-Ion Battery Manufacturers
  • Battery Parts Suppliers
  • Energy Storage System Companies
  • Electric Vehicle Parts Manufacturers
Products
  • Lithium-Ion Battery Cathode Plate
  • Battery Separator
  • Battery Connection Parts

Cast Products Supply to Automotive Parts Manufacturers

Overview
Stably supplies high-quality cast products for automotive parts. Offers products with excellent durability.
Competitiveness
High reliability through high-precision casting technology and quality control
Customers
  • Automotive Parts Manufacturers
  • Casting Processors
  • Metal Processing Companies
Products
  • Cast Iron Casting Parts
  • Cast Connecting Rods
  • High-Precision Cast Parts

Parts Supply for Industrial Machinery and Equipment

Overview
Provides parts, processing devices, and inspection devices for various industrial machinery, supporting manufacturing site efficiency.
Competitiveness
Technological flexibility corresponding to diverse industrial applications
Customers
  • Industrial Machinery Manufacturers
  • Equipment Companies
  • Manufacturing Parts Users
Products
  • Machine Tool Parts
  • Energy-Saving Machine Parts
  • Inspection and Measurement Devices

Environmental Equipment and Energy-Saving Related

Overview
Develops and provides oil-saving and energy-saving machine parts aimed at reducing environmental impact.
Competitiveness
Environmental contributions through innovative MQL technology
Customers
  • Environmental Equipment Manufacturers
  • Energy-Saving Equipment Companies
  • Automotive-Related Equipment
Products
  • MQL Energy-Saving System
  • Environmentally Friendly Machine Tool Parts

Product Supply to Overseas Customers

Overview
Supplies products globally through overseas factories and subsidiaries, responding to local needs.
Competitiveness
Rapid supply system linked with local production bases
Customers
  • North American Automakers
  • Southeast Asian Parts Manufacturers
  • European Automotive Parts Companies
Products
  • Hybrid Vehicle Parts
  • General Engine Parts
  • Machine Tool-Related Products

Competitive Advantage

Strengths

  • High-quality engine parts manufacturing through advanced casting technology
  • Specialized technology for hybrid vehicle parts
  • Global production and sales network
  • Diverse machine tool product lineup
  • Technological innovations in secondary battery parts
  • Stable long-term customer relationships
  • Governance enhancement through audit and supervisory committee
  • Robust quality management system
  • Improved production efficiency with multiple domestic manufacturing sites
  • Environmentally considerate product development
  • Accumulated numerical control technology
  • Community collaboration foundation
  • Product diversification leveraging high technological capabilities
  • Solid financial base
  • Reliability from long industry experience

Competitive Advantages

  • Possesses unique technologies as a mid-sized player in hybrid vehicle engine parts
  • Short delivery times through integrated precision casting and machining
  • Global responsiveness through multinational subsidiaries
  • New field development in lithium-ion battery cathode plate technology
  • Energy-saving MQL technology and development capabilities in eco-friendly machine tools
  • Customization capabilities responding to customer needs
  • Risk diversification through extensive product lineup
  • Maintains uniqueness while competing with industry giants
  • Problem-solving technological proposal capabilities
  • Steady management and reliable product quality
  • Stable production through collaboration of domestic and international manufacturing sites
  • High-function parts development through advanced technology investments
  • Promotion of sustainable manufacturing methods
  • Proven supply to diverse industries
  • Rapid decision-making due to compact organizational structure

Threats

  • Fluctuations in parts demand due to automotive industry electrification and EV shift
  • Intensifying price competition domestically and internationally
  • Inflow of low-price products from emerging country manufacturers
  • Risk of competitiveness decline from delays in new technology adoption
  • Global raw material price fluctuations
  • Increased equipment investment burden from stricter environmental regulations
  • Impact of semiconductor shortages on automotive production
  • Risks from domestic and international political and economic instability
  • Profit fluctuations due to exchange rate changes
  • Supply chain disruptions from COVID-19 and other pandemics
  • Declining productivity due to labor shortages
  • Risk of intellectual property infringement

Innovations

2023: Establishment of New Technology for Lithium-Ion Battery Cathode Plates

Overview
Developed cathode plate technology that extends battery life by about 12 times and obtained patents.
Impact
Successful market expansion and business diversification through improved battery performance.

2022: Introduction of High-Precision Casting System for Hybrid Vehicle Parts

Overview
Mass-produced high-strength, lightweight parts using proprietary casting technology.
Impact
Contributed to product quality improvement and enhanced market competitiveness.

2021: Development and Commercialization of Low-Environmental-Impact MQL System

Overview
Developed machine tool systems achieving oil and energy savings.
Impact
Contributed to environmental compliance and cost reductions in manufacturing sites.

2020: Improved Durability through Introduction of Next-Generation Casting Materials

Overview
Achieved extended lifespan of engine parts by adopting new materials.
Impact
Enhanced product reliability and increased customer satisfaction.

Sustainability

  • Development and promotion of energy-saving machine tools
  • Strengthening waste reduction activities in manufacturing processes
  • Promotion of material recycling to reduce environmental impact
  • Introduction of water-saving and resource-saving technologies
  • Deployment of employee-participating environmental conservation activities