Japan Aluminium Processors Enter China Market

Japanese processing companies in aluminium industry build Chinese plants one after another. Nakagawa Metal Co., Ltd. established joint venture to operate aluminium coil center in Shanghai at the end of 2006. The firm tries to expand local processing business. Shinsho Corporation will start operation at aluminium coil center in Suzhou in July. The processors build plants to meet growing local demand though light metal rolling makers have extrusion plants in China for years. Nakagawa Metal tries to make integrated aluminium processing operation through the joint venture. The joint venture has operations including saw cutting of plate and large diameter bar along with leveling, shearing and slitting. Hakudo Corporation has aluminium plate cutting plant in Shanghai since 2003. Shinsho Corp. starts aluminium shearing operation to meet local demand for high level processing. Japanese light metal rolling makers already operations in China for years. Showa Denko invested in Chinese major heat exchanger maker in 2004. Furukawa-Sky Aluminum started extrusion production for automotive heat exchanger in Tianjin in 2006 and Mitsubishi Aluminum started the same operation in Suzhou in 2006. Nikkei MC Aluminium also expands local output capacity. Japanese light metal makers and processors expand the foothold in China when the local demand surges for automotive parts and plasma display panel.