Chugai Ro

What Chugai Ro does

Chugai Ro Co., Ltd. (中外炉工業株式会社, TSE: 1964) is a Japanese thermal technology company founded in 1945, headquartered in Osaka, with 507 employees as of June 2026. The company operates as a 'technology-based company' (技術立社) specializing in the design, manufacture, installation, and servicing of industrial furnaces and combustion systems. Its product portfolio spans six core categories: (1) Parts & Materials Heat Treatment Furnaces (vacuum furnaces, vacuum carburizing 'Falcon' series, hot presses); (2) Steel & Non-Ferrous Metal Plants (large reheating furnaces, heat treatment lines, transverse induction heating); (3) Burners & Combustion Control Equipment, including the world's first general-purpose hydrogen combustion burner co-developed with Toyota Motor Corporation in 2018, ammonia combustion technology selected under METI's Zero Emi Challenge in 2021, regenerative burners, and the Lambda Link and EBC³ control systems; (4) Coating & Drying Equipment, anchored by the proprietary RS Coater with width-adjustment coating capability for battery and semiconductor materials; (5) Air Pollution Control Systems including regenerative thermal oxidizers (RTO); and (6) Kilns & Environmental Process Equipment featuring the multi-cylinder rotary kiln.

Chugai Ro generates revenue primarily through one-time sales of large-scale, custom-engineered capital equipment sold directly to enterprise customers via direct field sales in Japan and six wholly-owned subsidiaries (Taiwan, Shanghai ×2, Indonesia, Thailand, Mexico), supplemented by technology export partnerships with Surface Combustion (USA) and Hanwha (South Korea). A recurring-revenue layer comprises maintenance, contract testing at the Thermal Technology Creation Center (Sakai Works, established April 2022), energy-saving diagnostics, and the CRism IoT remote-monitoring package. Customers are concentrated in major industrial accounts including Toyota, AISIN, DENSO, Toyota Motor Hokkaido, China Steel Corporation, Kobe Steel, Tokyo Steel, JSW Steel, and SAIL across automotive, steel, battery/semiconductor, and environmental verticals.

Recent financial performance shows cyclical weakness, with FY2026/27 net profit forecast at JPY 2.52 billion (-46.1% YoY) and Q1 FY2026 swinging to a JPY 74M net loss from JPY 704M profit a year earlier, while the company continues to invest in hydrogen and ammonia combustion technology, new product launches (HSGB-F high-speed gas burner, hydrogen-oxygen superheated steam technology for PFAS decomposition), international demonstration projects in India via NEDO, and a November 2025 MOU with Taiwan CSC for low-carbon combustion. Leadership transitioned in April 2026 with Sakata Mamoru appointed President and Representative Executive Officer.

Name

Chugai Ro

Legal name

中外炉工業株式会社 / CHUGAI RO CO., LTD.

Website

https://chugai.co.jp

Company type

Public

Founded year

1945

Operating status

Operating

Headcount range

501–1,000 employees

Short description

Chugai Ro Co., Ltd. is a Japanese thermal technology company founded in 1945 that designs, manufactures, and services industrial furnaces, combustion systems, and coating equipment for steel, automotive, battery, and environmental industries across Japan and Asia.

Ownership category

akta.pro rank

Product category

Industrial Furnace and Thermal Equipment Manufacturing

NAICS

Power Boiler and Heat Exchanger Manufacturing (332410), Ventilation, Heating, Air-Conditioning, and Commercial Refrigeration Equipment Manufacturing (3334), Ventilation, Heating, Air-Conditioning, and Commercial Refrigeration Equipment Manufacturing (33341)

SIC

Industrial Process Furnaces & Ovens (3567), Air-Cond & Warm Air Heatg Equip & Comm & Indl Refrig Equip (3585), Industrial & Commercial Fans & Blowers & Air Purifing Equip (3564), Special Industry Machinery (No Metalworking Machinery) (3550)

akta.pro primary industry

Heat Transfer Equipment (Heat Exchangers, Boilers, Condensers) (IMAHAEAC)

akta.pro secondary industry

Ventilation, Ducting & Air Distribution Equipment (IMAHAKAG)

Keywords

• Industrial furnace manufacturing
• Heat treatment equipment
• Combustion systems
• Thermal processing technology
• Industrial burner systems

Headquarters

HQ city

Higashi-osaka

HQ country

Japan

HQ region

Asia

Offices11 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Personnel, Operations, Technology or R&D, Supply Chain, Marketing or Sales

Revenue model

1. Industrial Furnace and Plant Equipment Sales: Chugai Ro's primary revenue stream comes from the design, manufacture, and sale of industrial furnaces, plant equipment, and combustion systems. These are large-scale, custom-engineered capital goods with project-based pricing, long sales cycles, and one-time installation revenue. Products include parts/materials heat treatment furnaces, steel/non-ferrous metal plant equipment, burners, coating/drying equipment, and air purification systems.
2. Maintenance, Contract Testing, and After-Sales Services: Ongoing revenue from equipment maintenance, remote monitoring (CRism IoT), energy-saving diagnostics, and contract testing services at the Thermal Technology Creation Center. These services support customer retention and recurring engagement.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels6 records

Core offering

Chugai Ro designs, manufactures, and sells industrial furnaces, combustion systems (burners), coating/drying equipment, and air pollution control systems for parts and materials heat treatment, steel and non-ferrous metal plant operations, and battery/semiconductor materials processing. The company serves enterprise customers in automotive, steel, electronics, and environmental industries through direct sales, wholly-owned subsidiaries, and technology export partnerships across Japan, Asia, and Mexico.

Product overview

Chugai Ro Co., Ltd. (中外炉工業株式会社) is a Japanese industrial furnace and thermal technology company founded in 1945, operating as a 'technology-based company' (技術立社) specializing in thermal processing solutions. The company's product portfolio is organized into six core categories: (1) Parts & Materials Heat Treatment Furnaces including vacuum furnaces, vacuum carburizing furnaces (Falcon series), and hot press systems; (2) Steel & Non-Steel Metal Plants featuring large heating furnaces and transverse induction heating systems; (3) Burners & Combustion Control Equipment including hydrogen burners, gas burners, and the EBC³ automatic air ratio control system; (4) Coating & Drying Equipment featuring the RS Coater for irregular shape coating and FLOLIA coater systems; (5) Air Pollution Control Systems including regenerative thermal oxidizers (RTO); and (6) Kilns & Environmental Equipment including multi-cylinder rotary kilns. The company also provides contract testing services and maintenance support. Chugai Ro has developed hydrogen combustion technology jointly with Toyota and offers decarbonization solutions including ammonia combustion technology, with recent focus on carbon neutrality initiatives through their Heat Technology Creation Center (熱技術創造センター) established in 2022.

Differentiator

Problem solved

Functional benefit

Products and services

• Parts & Materials Heat Treatment Furnaces Industrial furnaces for heat treatment of parts and materials, including vacuum furnaces, high-temperature furnaces, hot presses, vacuum carburizing (Falcon series), and functional material heat treatment for automotive, machinery, and advanced materials manufacturers.
• Steel & Non-Ferrous Metal Plant Equipment Large-scale heating furnaces, hot/cold rolling mill heat treatment furnaces, walking beam reheating furnaces, hot-dip galvanizing lines, continuous annealing/coating lines, and transverse induction heating systems for steel and non-ferrous metal production plants.
• Burners and Combustion Control Equipment Industrial burners including hydrogen burners (co-developed with Toyota Motor Corporation in 2018), ammonia combustion systems, oil/gas dual-purpose burners, high-speed burners (HSGB/HSOB), regenerative burners, and Lambda Link / EBC³ automatic air ratio control devices for combustion optimization in industrial furnaces.
• Coating and Drying Equipment Precision coating and drying equipment including the RS Coater with proprietary width-adjustment mechanism for irregular shape coating of battery, semiconductor, and electronic materials; FLOLIA coater systems for high-viscosity applications.
• Air Pollution Control Systems Air purification and exhaust gas treatment systems including regenerative thermal oxidizers (RTO) for VOC and exhaust gas treatment, deodorization systems, and direct-fired combustion units for industrial environmental compliance.
• Kilns and Environmental Process Equipment Multi-cylinder rotary kiln carbonization systems with container-less, high-productivity design for resource recycling, waste reduction, and powder processing applications across industrial and environmental sectors.
• Contract Testing Services Contract testing services conducted at the Thermal Technology Creation Center for process R&D, equipment specification evaluation, and feasibility studies using company test facilities.
• Maintenance, Energy-Saving and Improvement Support After-sales maintenance services, energy-saving diagnostics, and operational improvement support for delivered industrial furnaces and equipment, including remote monitoring via CRism IoT package.
• CRism — IoT Package for Heat Treatment Equipment IoT package enabling remote monitoring, data collection, and predictive maintenance for heat treatment furnaces and industrial equipment.

Quantifiable outcome

• Hydrogen combustion emits no CO2 — enabling carbon-neutral metal heat treatment and melting processes
• +3 more outcomes

Named customers9 records

Segments4 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature8 records

Partnerships

Five partnerships are on record, tiered minor and core.

• Japan Para-Canoe Federation ( 一般社団法人日本パラカヌー連盟)minorOthers · 1 April 2026Bronze partner sponsorship agreement starting April 2026 for para-canoe sports support. Chugai Ro supports athletes with disabilities as part of its ESG/social contribution initiatives.
• Taiwan CSC (China Steel Corporation)coreStrategic or Co-development Partner · 27 November 2025MOU signed in November 2025 for low-carbon combustion technology cooperation. Long-standing customer for hot rolling furnaces, annealing lines, coating lines, and galvanized steel lines. Taiwan CSC is Taiwan's largest steel manufacturer.
• Toyota Motor CorporationcoreStrategic or Co-development Partner · 8 November 2018Joint development of hydrogen burner technology in 2018 — world's first general-purpose hydrogen combustion burner for industrial use. Toyota contributed automotive manufacturing application requirements; Chugai Ro provided thermal technology and burner engineering expertise.
• NEDO (New Energy and Industrial Technology Development Organization)coreStrategic or Co-development PartnerNEDO projects include: ammonia fuel utilization for thermal power generation (Zero Emi Challenge), NEDO demonstration survey for regenerative burners at JSW Steel India, NEDO Green Innovation Fund for thermal process decarbonization, and international energy efficiency demonstration projects in India with SAIL.
• Microwave Chemical Co., Ltd.minorStrategic or Co-development PartnerStrategic partnership for design and manufacturing of microwave rotary hearth furnace for ore smelting. Announced September 2024.

Scale indicators5 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Surface Combustion: US-based industrial furnace manufacturer and Chugai Ro's technology export partner for catenary-type stainless strip annealing furnaces. Most directly comparable peer given the licensing relationship and overlapping product portfolio in atmosphere heat treatment furnaces.
• Inductotherm Group: US-based global leader in induction heating and melting equipment for metals. Comparable in industrial thermal processing equipment, with Chugai Ro also offering transverse induction heating systems.
• Hanwha Corporation / Machinery: Korean industrial conglomerate with machinery division that is a Chugai Ro technology export partner for industrial furnaces, atmosphere gas generators, and regenerative exhaust gas treatment. Comparable in product scope and regional manufacturing focus.
• Ipsen: US-based global manufacturer of industrial heat treatment furnaces for aerospace, automotive, and medical applications. Comparable in vacuum heat treatment furnaces and automotive heat treatment equipment.
• Ebner Industrieofenbau: Austrian specialist manufacturer of industrial heat treatment furnaces for steel, aluminum, and specialty alloys. Comparable as a focused industrial furnace specialist with strong presence in HNX atmosphere and bright annealing furnace markets.

Broad incumbents

• Andritz AG: Austrian global supplier of industrial plant equipment and thermal processing systems for steel, metal processing, and environmental industries. Comparable as a broader incumbent offering similar heat treatment and metal processing furnace technologies.
• Nippon Steel Engineering: Japanese engineering and construction firm specializing in steel plant and industrial process equipment. Comparable in steel plant furnace equipment and project execution for major steel manufacturers.
• IHI Corporation: Japanese diversified industrial machinery manufacturer with thermal process and industrial plant equipment offerings. Comparable in Japanese industrial furnace market and broader thermal/mechanical engineering capabilities.
• Kawasaki Heavy Industries: Japanese industrial conglomerate with industrial machinery, thermal power, and decarbonization technology businesses. Comparable in Japanese industrial equipment manufacturing and hydrogen/ammonia combustion technology development.
• Tenova (Techint Group): Italian-based supplier of industrial furnaces and steel plant equipment including walking beam furnaces, reheating furnaces, and heat treatment lines. Comparable in steel plant furnace technologies and global project execution.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/CHUGAIRO_pr
• YouTubeyoutube.com/@chugairo9408

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Subsidiaries7 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Chugai Ro