Kobe Steel has acquired a stake in the newly established recycling company, Taiyo Koko Malaysia Sdn Bhd. 

Taiyo Koko's primary task is to collect used desulfurization catalysts from local refineries and extract molybdenum and vanadium. The recycled materials are exported to Japan in the form of molybdic acid and vanadium pentoxide, where its parent company, Taiyo Koko, further processes them into ferromolybdenum, ferrovanadium, and other products. These alloys are crucial raw materials for the production of specialty steels. 

In recent years, Kobe Steel's reliance on imported molybdenum and vanadium has been increasing, while declining refinery capacity has led to a decrease in the domestic supply of used desulfurization catalysts. Therefore, this investment aims to ensure a long-term stable supply of these raw materials.