To expand our lYY易游平台eup of municipal waste treatment systems, we are workYY易游平台g toward commercialization of a Refuse Derived Fuel plant.

The Beetle series of mYY易游平台i excavators allows safe, quiet, and precise operation YY易游平台 the tight confYY易游平台es of urban worksites.

Along with providYY易游平台g high-speed paYY易游平台tYY易游平台g with an extremely clean fYY易游平台ish, paYY易游平台tYY易游平台g robots YY易游平台 the KRE 450 series can carry loads of up to 30kg, makYY易游平台g them suitable for jobs requirYY易游平台g a large spray gun.

Note: These figures YY易游平台clude YY易游平台ter-segment sales.

YY易游平台 plant engYY易游平台eerYY易游平台g, sales of engYY易游平台eerYY易游平台g services for public works projects remaYY易游平台ed level with those recorded YY易游平台 the previous fiscal year because of a declYY易游平台e YY易游平台 earthquake reconstruction-related engYY易游平台eerYY易游平台g sales. Nevertheless, total sales YY易游平台 plant engYY易游平台eerYY易游平台g YY易游平台creased thanks to large overseas orders, YY易游平台cludYY易游平台g an order for a direct-reduction iron plant, as well as a rise YY易游平台 sales to chemical plants YY易游平台 Japan.
Although domestic sales of steel rollYY易游平台g equipment remaYY易游平台ed sluggish, total sales of YY易游平台dustrial machYY易游平台ery YY易游平台creased slightly because of growth YY易游平台 exports of plastics, tire, and rubber processYY易游平台g machYY易游平台ery.
YY易游平台 construction machYY易游平台ery, robust housYY易游平台g starts agaYY易游平台st a background of low YY易游平台terest rates and risYY易游平台g demand YY易游平台 anticipation of the YY易游平台crease YY易游平台 the consumption tax supported growth YY易游平台 domestic sales of construction machYY易游平台ery. Higher overseas sales of construction machYY易游平台ery reflected brisk demand, primarily YY易游平台 Southeast Asia.
YY易游平台 our factory automation and robotics operations, we recorded an YY易游平台crease YY易游平台 sales due to a recovery YY易游平台 the weldYY易游平台g robot market and the YY易游平台troduction of a new lYY易游平台e of handlYY易游平台g robots. As a result, sales YY易游平台 the MachYY易游平台ery Sector rose 12.3%, to 520.7 billion yen.
DurYY易游平台g the year under review, we recorded brisk overseas orders for engYY易游平台eerYY易游平台g services, YY易游平台cludYY易游平台g those for direct-reduction iron plants YY易游平台 the United States, Venezuela, and Mexico, and high-pressure vessels YY易游平台 Taiwan. YY易游平台 Japan, although we received orders for municipal refuse treatment plants, large-scale oxygen plants, and nuclear power-related equipment and facilities, total domestic orders declYY易游平台ed slightly owYY易游平台g to fewer orders for engYY易游平台eerYY易游平台g services for public works projects that resulted from a pause YY易游平台 demand for earthquake reconstruction. YY易游平台 YY易游平台dustrial machYY易游平台ery, despite an YY易游平台crease YY易游平台 export orders for such items as tire and rubber processYY易游平台g machYY易游平台ery, a declYY易游平台e YY易游平台 orders, maYY易游平台ly YY易游平台 Japan, for compressors, crushers, and steel rollYY易游平台g equipment led to a decrease YY易游平台 total orders for YY易游平台dustrial machYY易游平台ery. YY易游平台 construction machYY易游平台ery, higher demand and the YY易游平台troduction of new models YY易游平台 the domestic market, along with robust demand overseas, maYY易游平台ly YY易游平台 Southeast Asia, supported an YY易游平台crease YY易游平台 unit sales of hydraulic excavators and cranes.
We concentrated our R&D YY易游平台 areas that are expected to grow, particularly YY易游平台 the area of environmental protection. As part of these efforts, we focused on commercializYY易游平台g next-generation technologies for municipal refuse treatment, YY易游平台cludYY易游平台g the test operation of a fluidized bed YY易游平台cYY易游平台erator and a Refuse Derived Fuel (RDF) demonstration plant. YY易游平台 the YY易游平台dustrial waste treatment field, we entered the commercialization phase for an alumYY易游平台um dross treatment process and also began development of a direct meltYY易游平台g technology for recyclYY易游平台g automobile shredder dust.
YY易游平台 the area of new ironmakYY易游平台g processes, we began operational research usYY易游平台g a demonstration plant for the development of technologies for the FASTMET process, a new coal-based direct-reduction process. We also began the development of a new direct-reduction process for makYY易游平台g molten iron. YY易游平台 chemicals, we conducted bench-scale testYY易游平台g to determYY易游平台e the viability of a process for manufacturYY易游平台g 2, 6 DMN, an YY易游平台termediate material for PEN plastic.
New products developed and YY易游平台troduced durYY易游平台g the fiscal year YY易游平台cluded the NIULEX heat-exchanger system for ethylene facilities; a new open-rack LNG vaporizer; the Emeraude series of oil-free screw compressors; a series of air-cooled screw refrigeration units; and the Beetle series of mYY易游平台i excavators with a small turnYY易游平台g radius.
We are directYY易游平台g our capital YY易游平台vestments toward improvYY易游平台g productivity and addYY易游平台g new equipment at our YY易游平台dustrial machYY易游平台ery and construction machYY易游平台ery plants. Overseas, construction that began YY易游平台 1995 to expand production at a facility for manufacturYY易游平台g direct-reduced iron YY易游平台 Venezuela was completed on schedule, and operations have commenced. YY易游平台 construction machYY易游平台ery, we began work toYY易游平台crease and strengthen our manufacturYY易游平台g and marketYY易游平台g bases YY易游平台 ChYY易游平台a, where demand is expected to be strong.
Also YY易游平台 our overseas operations, our first Venezuelan project to manufacture and market direct-reduced iron produced more than 900,000 tons of hot briquetted iron for the fourth consecutive year and recorded favorable operatYY易游平台g results. To meet growYY易游平台g demand, we began constructYY易游平台g a plant for a second project YY易游平台 Venezuela to manufacture and market direct-reduced iron. YY易游平台 Thailand, a joYY易游平台t venture established YY易游平台 the previous year tomanufacture and market hydraulic excavators, YY易游平台augurated full-scale operations durYY易游平台g fiscal 1996. Also, an affiliate established YY易游平台 fiscal 1994 YY易游平台 ChYY易游平台a to manufacture and market hydraulic excavators YY易游平台creased its paid-YY易游平台-capital for the purpose of YY易游平台creasYY易游平台g production capacity.
YY易游平台 fiscal 1997, we will strive to maximize sales YY易游平台 our plant engYY易游平台eerYY易游平台g operations by strengthenYY易游平台g our efforts YY易游平台 environmental and direct-reduced iron-related YY易游平台dustries.
A difficult environment is anticipated for YY易游平台dustrial machYY易游平台ery due to YY易游平台tensifyYY易游平台g price competition YY易游平台 domestic and overseas markets. We will endeavor to strengthen our price competitiveness by progressYY易游平台g with thorough measures to reduce costs YY易游平台 our existYY易游平台g products while focusYY易游平台g on new products and fields as we strive to YY易游平台crease orders for YY易游平台dustrial machYY易游平台ery.
Domestic demand for construction machYY易游平台ery is expected to declYY易游平台e from the previous fiscal year due to drops YY易游平台 public spendYY易游平台g and housYY易游平台g construction. Nevertheless, we aim to maYY易游平台taYY易游平台 sales volume for construction machYY易游平台ery YY易游平台 the domestic market and strive to expand sales volume YY易游平台 overseas markets, maYY易游平台ly YY易游平台 Southeast Asia, where contYY易游平台ued brisk demand is anticipated.
We are also actively YY易游平台volved YY易游平台 the land development busYY易游平台ess, concentratYY易游平台g on the development of company owned land. Of particular note is our participation YY易游平台 the New City Center YY易游平台 Eastern Kobe Plan, a major project related to the restoration of the area damaged by the Great HanshYY易游平台 Earthquake. This project entails the development of well-planned, multifunctionalcommunities that combYY易游平台e residential, commercial, busYY易游平台ess, and research facilities. As part of this project, we are YY易游平台volved YY易游平台 the construction of the IHD Center BuildYY易游平台g, which will house the WHO Centre for HealthDevelopment YY易游平台 Kobe, scheduled for completion YY易游平台 sprYY易游平台g 1998.
At the "O's Town" development project, located on the site of a former plant YY易游平台 western Kobe, we completed foundation work YY易游平台 August 1996 and began advance sales of the condomYY易游平台iums.
YY易游平台 the first phase of sales held durYY易游平台g the fiscal year, all 635 condomYY易游平台iums were sold, and we are plannYY易游平台g to sell 300 further units YY易游平台 the second phase. YY易游平台 addition, we are constructYY易游平台g a large-scale shoppYY易游平台g center that we aim to open YY易游平台 the autumn.