Nikkei Siam Aluminium Expands Flat Products Capacity by 30%

Nippon Light Metal’s Thai subsidiary, Nikkei Siam Aluminium completed 1.3 billion yen conversion of cold rolling mill and 100 million yen self-manufacture of finishing process by end of March. The production capacity of aluminium flat products excluding foil increased from annual 13,000 tonnes to 17,000 tonnes. The firm tries to expand the sales to automotive heat exchanger.

The firm is only maker with hot rolling mill in Southeast Asia to brazing sheet for automotive heat exchanger. The firm expanded the supply capacity while the foil output capacity is annual 7,000 tonnes.

The conversion enables to improve the gauge control for cold rolled products and the production speed. The firm also finishes the products at the site by introducing narrow slitter machine.

The firm expects the operation rate could improve in the second half of the year while the rate could be around 70% in the first half. The firm produced 10,000 tonnes of flat products and 2,000 tonnes of foil in the year ended March 2009.

The firm started operation in 1976. Nippon Light Metal controlled 70% of the firm in 1992. The firm has melting furnace with a 26 tonnes of capacity, a casting machine and a hot rolling mill along with total 5 slitters and 2 shearing lines.