ULVAC expects orders for vacuum furnaces for rare-earth magnets to exceed ¥30 billion in the fiscal year ending June 2028, and began operating a production line for continuous vacuum melting furnaces at its Chigasaki Plant in Japan in September.
ULVAC is reportedly targeting orders of at least ¥30 billion for vacuum furnaces for rare-earth magnets in the fiscal year ending June 2028, approximately 60% higher than in the previous fiscal year. Demand is expected to increase against a backdrop of growing demand for magnets used in data centers, electric vehicles and wind turbines, and the company has indicated that it intends to continue building its order backlog.
As part of this effort, ULVAC began operating a production line for continuous vacuum melting furnaces, which handle the melting and casting of raw materials, at its Chigasaki Plant in Chigasaki, Kanagawa Prefecture, in September. This marks a transition from its previous single-base production system in China to a Japan-China dual-base system and is expected to help reduce supply risks for European and US customers.
ULVAC offers a range of vacuum furnaces for rare-earth magnets, covering processes including melting and casting, sintering and heat treatment. Orders for vacuum furnaces in the fiscal year ending June 2026 increased 2.4-fold from the previous fiscal year to ¥18.2 billion. The company expects orders to exceed ¥20 billion in the fiscal year ending June 2027 and ¥30 billion in the fiscal year ending June 2028.
ULVAC has a global market share of more than 70% for continuous vacuum melting furnaces, and the new line at the Chigasaki Plant has annual production capacity of up to 12 units. Production in Japan is resuming for the first time in approximately 20 years, and ULVAC is reportedly seeking to capture high-margin areas where it can leverage its strengths.