Japanese major automobile parts maker, Asahi Tec announced on Friday the firm establishes large scale ductile iron parts making joint venture in Anhui, China with automotive parts maker, Guangzhou Dongling Industry Group in June. The joint venture, Dongling Asahi Tec Metals focuses on production of parts for construction machinery and truck to utilize Asahi Tec’s large scale parts making technology. The joint venture will have around 25,000 tonnes of annual production capacity by 2016.
Guangzhou Dongling Industry Group controls 51% of the joint venture with around 1,200 million yen capital while Asahi Tech has 49% of the share. The new company is the first Chinese iron casting site of Asahi Tec while the firm has two aluminium wheel making joint ventures and research and development affiliate in China. Asahi Tec’s total cast iron output capacity increases to 200,000 tonnes per year including plants in Japan, Thailand and China. The Shizuoka based parts maker will build stronger supply chain for users in the countries.Japan Steel Scrap Composite Prices (Sangyo Press)
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