Sigma Group to Launch Alloy Plants in Rizhao, Changchun

Taiwan based secondary alloyed aluminium maker, Sigma Group’s chairman Tony Huang said to a reporter of Japan Metal Bulletin in Shanghai the firm builds AD12.1 grade alloy and melted aluminium making new plants in Shandong and Jilin of China for US$ 30 million to start operation in July 2012. The firm builds new plant with annual 100,000 tonnes of output capacity in Rizhao, Shandong to serve Hyundai Motor’s plant. Sigma Group also builds new plant with 80,000 tonnes of output capacity in Changchun, Jilin to provide the metal to China FAW Group.

Sigma Group has provided AD12.1 alloy to Hyundai Motor’s engine plant in Rizhao. Mr. Huang said the firm decided new plant when Hyundai Motor requested melted aluminium supply in June. He said the new plant tries to supply other major automobile plants around there. Sigma Group also decided new plant in China FAW Group’s Plant in Changchun when China FAW Group requested the plant months ago.

Mr. Huang said new plant in Chongqing can start operation in January 2012 for the first phase. The plant with annual 150,000 tonnes of output capacity makes die-casting materials including ADC12 grade. The firm doubles the capacity as the second phase to complete by June 2012. He said the firm eyes third and fourth phases depending on the demand.

Mr. Huang said the firm tries to launch 8-10 plants in China in 5 years. The firm tries to follow growing demand especially in north part of China with limited supply base.