Hydro is investing NOK390m (EUR40m) in a new extrusion press at its aluminium manufacturing plant in Suzhou, China.
The investment in a new extrusion press will serve the growing domestic automotive and electric vehicle market. While the new P60 12-inch press will increase the extrusion capacity at Suzhou, the project also covers an expansion of the plant. The investment will create 75 new jobs for the organization in Suzhou. Hydro expects to extrude the first billet from the new press in mid-2023.
Investment in extrusion press increases capacity for automotive products
“We’ve succeeded in building a platform in China toward the e-vehicle market, but we need more capacity to satisfy the market’s demand for high-end and safety-critical components. This is directly in line with our strategy and it is why we are making this investment now,” says Paul Warton, who leads Hydro’s Extrusions business.
Examples of the automotive components include crash management systems such as bumper beams and crash boxes, as well as side sill inserts, side beams and longitudinal beams. These products utilize proprietary high-strength alloys and feature strong competence on quality systems. The new press will also support other customer needs ranging from mill-finished extrusions to fabricated assemblies.
More long-term customer business
“The new press will play an important role in helping us secure long-term customer business and will support our global product offering with a strong presence in China,” says Erik Fossum, who is responsible for the Chinese operation as head of the Precision Tubing business.