Asian Metal visits two main aluminum alloy plants in Qingdao

Friday Gao, manager of base metals department and Nancy Zhang, aluminum alloy market analyst from Asian Metal visited two main aluminum alloy plants in Qingdao, Chalco Qingdao Light Metals Co., Ltd and Qingdao Kema Exact Machine Manufacturing Co., Ltd, on August 24, 2012. The visitors were warmly received by the two companies and they discussed the current state and future trends of aluminum alloy ingot market with officials from the two companies.

On the morning of August 24, Asian Metal visited Chalco Qingdao Light Metal Co., Ltd which recycles aluminum scrap and manufactures secondary aluminum alloy. The company, founded in 2006, is located at Lingang economic development zone in Jiaonan, Qingdao. It has a designed capacity of 300,000tpy of aluminum alloy products and the phaseⅠ, with a capacity of 120,000tpy has been put into production in Q1, 2008. Asian Metal visited the materials selecting workshop, aluminum alloy ingot producing workshop of the company and interviewed with Mr. Han Yaobin, manager of sales department.

Manager Han opined that automobile and appliance industries affect secondary aluminum alloy market greatly. He noted that the slow auto market in recent two years dragged down the development of the upstream secondary aluminum alloy producing. However, the slow auto market was not hindered by purchasing restrictions in certain areas but attributed by exhausted purchasing power from consumers given the robust growth of auto capacity during 2009-2011 coupled with encouraging policies issued by the government.

Asian Metal visited Kema Exact Machine Manufacture Company based in the economic and technical development zone in Hongshiya, Qingdao. Warmly received by the vice general manager Mr. Mu Guanjun,. Asian Metal visited the company’s aluminum castings workshop, mould and machine processing workshop and standardized aluminum alloy workshop. Both sides exchanged ideas on the hot spots in aluminum alloy market as visitors listened carefully to Mr. Mu’s advice upon ways of cooperation. The company mainly produces high and low pressure castings and aluminum alloy ingots widely applied in exact machines in large motor vehicles like auto, train and hardware tools. The company’s aluminum alloy ingot workshop was built and put into operation in 2010. The company has a partnership with enterprises from home and abroad like Gates Shengdi, Shengli Oil , Haier, Hisense and CP, etc.