M.C. Aluminum (Kunshan) plans annual secondary aluminium alloy production at 30,000 tonnes for 2011, increasing by 20% from the previous year. M.C. Aluminum (Kunshan) is a secondary aluminium alloy maker located in Kunshan City, Jiangsu Province, China, jointly operated by Nikkei M.C. Aluminum, Mitsubishi Corp and Enkei Corp. There are favorable orders from local productive sites of Japanese automakers and auto component makers. Meanwhile, M.C. Aluminum (Kunshan) acquired license for Import Processing (export processing with purchased materials) in September. The company eyes alloy export to Japan and other offshore markets.
M.C. Aluminum (Kunshan) mainly produces casting alloy and custom alloy for local sites of Japanese automakers and auto component makers. The company focuses on production of high grade alloy for which high quality and high technology are required. Production of common grade alloy such as AD12.1 is not large. The company’s output volume became 30% lower than the original plan in May due to automakers’ operative down after the Japan Earthquake. In and after June, car production and the company’s order acceptance have steadily recovered. M.C. Aluminum (Kunshan) would keep full production at 2,500-2,800 tonnes per month within this year. The company installed a 15-tonne melting furnace and an additional continuous casting line in March. Then the productive capacity upped by 25% to 2,500 tonnes per month. The plant can raise the output to maximum 3,000 tonnes by holiday operations. The company plans yearly production and sales at 32,000 tonnes for 2012. High grade alloy sales are expected to increase along Japanese automakers’ output expansion in China. Meanwhile, the company tries to cultivate new customers of European and U.S. die casting makers. The company required Import Processing license in September, along which export VAT rebate rate is lowered from 17% to 3% and export tariff is canceled from 15%. M.C. Aluminum (Kunshan) eyes alloy export business in future by the license utilization.