Sumitomo Heavy Industries (original) (raw)

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Japanese manufacturing, industrial machinery and engineering company

Sumitomo Heavy Industries, Ltd.

Native name 住友重機械工業株式会社
Company type Public (K.K)
Traded as TYO: 6302Nikkei 225 Component
Industry Machinery
Founded November 20, 1888; 136 years ago (1888-11-20)
Headquarters ThinkPark Tower, 2-1-1 Osaki, Shinagawa-ku, Tokyo, 141-6025 Japan
Area served Global
Key people Shunsuke Betsukawa(President and CEO)
Products Heavy machineryShipbuildingMass-production machineryEnvironmental equipmentFood machineryMedical systemsPlastics machineryRoad machineryConstruction machinery
Revenue Increase $ 6.02 billion (FY 2014) (¥ 615.2 billion) (FY 2014)
Net income Increase $ 175.3 million (FY 2014) (¥ 17.89 billion) (FY 2014)
Number of employees 17,941 (consolidated as of March 31, 2014)
Website Sumitomo Heavy Industries
Footnotes / references[1][2]

Sumitomo Heavy Industries, Ltd. (住友重機械工業株式会社, Sumitomo Jūkikai Kōgyō Kabushiki-gaisha) (SHI) is an integrated manufacturer of industrial machinery, automatic weaponry, ships, bridges and steel structure, equipment for environmental protection, including recycling, power transmission equipment, plastic molding machines, laser processing systems, particle accelerators, material handling systems, cancer diagnostic and treatment equipment and others.[3]

In 1888, a company was formed to provide equipment repair services to the Besshi copper mine. Almost 50 years later, in 1934, the company incorporated as Sumitomo Machinery Co., Ltd. to manufacture machinery for the steel and transportation industries in support of that period of rapid economic growth.

In 1969, Sumitomo Machinery Co., Ltd. merged with Uraga Heavy Industries Co., Ltd. to create Sumitomo Heavy Industries, Ltd. The company continues to innovate and expand to meet the demands of the new market frontiers.[4] Today, Sumitomo Heavy Industries manufactures injection molding machines, laser systems, semiconductor machinery and liquid crystal production machinery.

In 1979, the company famously built the Seawise Giant, an Ultra Large Crude Carrier (ULCC) supertanker; the longest ship ever built.

In 2021, it was reported that SHI has ceased making light machine guns for the JSDF, citing a bleak economic prospects in the arms sector.[5][6]

In March 2005, Sumitomo Heavy Industries underwent an inspection by the Japan Fair Trade Commission (JFTC) for suspected collusion regarding contracts for flood control gates on rivers and dams commissioned by the Ministry of Land, Infrastructure, Transport and Tourism, the Water Resources Agency, and local governments. [7].

In May 2005, the JFTC filed criminal charges with the Public Prosecutor’s Office for violations of the Antimonopoly Act against Sumitomo Heavy Industries and seven other companies for engaging in collusion in the bidding process for bridge construction projects commissioned by the former Japan Highway Public Corporation and the Ministry of Land, Infrastructure, Transport and Tourism (see ja:橋梁談合事件).

On June 12, 2006, the Osaka District Public Prosecutors Office Special Investigation Department indicted Sumitomo Heavy Industries and ten other companies for colluding in the construction of sewage and sludge treatment facilities commissioned by local governments, violating the Antimonopoly Act. As a result, the company was subjected to a nine-month suspension from government contracts by the Ministry of Land, Infrastructure, Transport and Tourism. [7].

On May 25, 2012, it was revealed through a surprise audit by the Board of Audit that Sumitomo Heavy Industries and its subsidiary Sumitomo Heavy Industries Special Equipment Services had over-reported working hours and inflated billing amounts for maintenance and repairs of autocannon systems since the 1970s, leading to a suspension from government contracts. [8][9].

In February 2013, the company’s suspension ended after it paid a penalty of ¥2.3 billion due to fraudulent billing practices. However, in December 2013, it was discovered that the company had falsified test data for 5,000 units of 5.56mm machine guns (license-produced Minimi light machine guns), 7.62mm vehicle-mounted machine guns (Type 74), and 12.7mm heavy machine guns (license-produced M2 Browning), leading to another five-month suspension from government contracts. [10][11][12][13].

On October 24, 2014, Sumitomo Heavy Industries and its employees were referred to prosecutors for violating the Explosives Control Law and the Firearms and Swords Control Law for conducting unauthorized test firings of machine guns manufactured by the company. [14].

On October 1, 2018, Sumitomo Heavy Industries' subsidiary, Sumitomo Heavy Industries High Metax, was found to have falsified inspection data on hardness and components of rolling rolls, affecting steel plate production equipment parts. [15].

On January 7, 2020, a former secretary of the Sumitomo Heavy Industries Labor Union was arrested on suspicion of embezzling ¥50 million from a retirement savings account. [16][17]. Ultimately, a total of approximately ¥336.6 million was confirmed to have been embezzled, and on June 19 of the same year, the Tokyo District Court sentenced the former secretary to eight years in prison. [18].

On May 20, 2021, Sumitomo Heavy Industries revealed that design drawings for sample parts used in test machine guns for the Japan Ground Self-Defense Force had been leaked to China. The Ministry of Economy, Trade and Industry issued a severe warning to the company and its subcontractor for violating the Foreign Exchange and Foreign Trade Act. [19].

On May 2, 2024, it was revealed that Sumitomo Heavy Industries and its subsidiary, Sumitomo Nako Forklift, had committed inspection fraud during routine checks of forklifts. Workers had omitted necessary steps, such as removing brake components for internal inspection, leading to the discovery of four instances of inspection fraud across two vehicles. Investigations are ongoing to check for similar violations. [20].

A male employee in his 30s, who was employed by the company in 2014 and subsequently seconded to Sumiju Forging, an affiliated company, attempted to commit suicide by jump from the roof of his dormitory in November 2016 and survived but was saved and treated for mental illness. The man appears to have been working overwork since around May 2016 due to a combination of normal work, preparation for audits and research assignments. The Labour Standards Inspection Office of Yokosuka certified the work accident as caused by the onset of adjustment disorder on 30 October 2018.[21]

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  1. ^ "Corporate Profile". Retrieved August 6, 2014.
  2. ^ "Sumitomo Heavy Industries Financial Statements". Bloomberg Businessweek. Archived from the original on August 8, 2014. Retrieved August 6, 2014.
  3. ^ "Sumitomo Heavy Industries, Ltd". Nikkei Asia. Retrieved 2023-08-07.
  4. ^ "Sumitomo Heavy Industries in Russia". Retrieved 2014-03-01.
  5. ^ "Despite defense buildup, Japan's arms industry struggles | the Asahi Shimbun: Breaking News, Japan News and Analysis".
  6. ^ "Stop Japanese businesses' exodus from defense industry". 3 October 2022.
  7. ^ a b Collusion involving 11 companies and 11 executives indicted - Shimbun Akahata, June 13, 2006
  8. ^ "Sumitomo Heavy Industries Overstates Bills for Autocannon Maintenance—Suspended by Ministry of Defense". Jiji Press. May 25, 2012. Archived from the original on 2014-02-26. Retrieved 2023-11-21.
  9. ^ Mitsubishi Electric and Sumitomo Heavy Industries Overstated Bills for Ministry of Defense Orders Since the 1970s - Nikkei, October 25, 2012
  10. ^ 5,000 Machine Guns’ Test Data Falsified, Ministry of Defense Suspends Sumitomo Heavy Industries - Asahi Shimbun (archived December 18, 2013)
  11. ^ "Ministry of Defense Suspends Sumitomo Heavy Industries (Ltd.)". Ministry of Defense. December 18, 2013. Archived from the original on 2014-02-01. Retrieved 2023-11-21.
  12. ^ "FIRST LOOK: Japan's New Type 20 Assault Rifle – Small Arms Defense Journal".
  13. ^ "スクープ!住友重機械が機関銃生産から撤退へ". 15 April 2021.
  14. ^ Sumitomo Heavy Industries Sent for Unauthorized Test Firing of Machine Guns - Nikkei, October 24, 2014
  15. ^ Sumitomo Heavy Industries Subsidiary Falsifies Inspection Report for Steel Plate Production Equipment - Nikkei, October 1, 2018
  16. ^ "Regarding Fraud by Former Employee of Sumitomo Heavy Industries". Sumitomo Heavy Industries Ltd. (in Japanese). Retrieved 2023-02-03.
  17. ^ "Sumitomo Heavy Industries Union Embezzlement of ¥50 Million by Former Secretary". Asahi Shimbun Digital. January 9, 2020. Retrieved 2023-04-09.
  18. ^ "Former Secretary of Sumitomo Heavy Industries Labor Union Sentenced to Prison for ¥300 Million Embezzlement". Sankei Shimbun. June 19, 2020. Retrieved 2023-04-09.
  19. ^ "Machine Gun Parts Design Leaked to China, Sumitomo Heavy Industries' Regret Expressed by Chief Cabinet Secretary". Sankei Shimbun. May 20, 2021. Retrieved 2023-04-09.
  20. ^ Sumitomo Heavy Industries Forklift Inspection Fraud Discovered - Nikkei, May 2, 2024
  21. ^ "自殺未遂の社員、労災認定 住友重機械「過重労働」". 毎日新聞. 2019-02-08. Archived from the original on 2019-02-12. Retrieved 2023-11-21.
  22. ^ "Mechatronics".