Novelis to build first aluminium auto sheet plant in China

Global aluminium rolling and recycling provider Novelis officially broke ground the company’s first aluminium manufacturing plant in China. The US$100 million investment is designed to meet the rapidly growing demand for rolled aluminium used in the design of a new generation of lighter, more fuel-efficient vehicles.

The wholly-owned plant under construction in Changzhou in the Jiangsu Province will have a capacity of 120,000 metric tonnes per year, further strengthening Novelis’ position as the world’s largest producer of aluminium sheet products used to create vehicle structures and body panels. Start-up of the new facility, the industry’s first automotive sheet plant in China is planned for late 2014.

James Liu, Managing Director for Novelis China, says the expansion is in direct response to customer demand. “Our close relationships with world class automakers are driving our long term strategy to support their vehicle production expansions around the globe. We expect demand for automotive aluminium sheet in China to exceed the 25% compound annual growth rate expected across the globe over the next five years, as auto manufacturers strive for improved fuel efficiency and reduced emissions.”