SHANGHAI, Nov. 14, 2012 /PRNewswire/ -- Novelis, the
world leader in aluminum rolling and recycling, officially broke
ground today on the company's first aluminum manufacturing plant in
China. The $100 million investment is designed to meet the
rapidly growing demand for rolled aluminum 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 tons per year, further strengthening Novelis'
position as the world's largest producer of aluminum sheet products
used to create vehicle structures and body panels. Startup of the
new facility, the industry's first automotive sheet plant in
China, is planned for late
2014.
Located in the heart of the Changzhou National Hi-Tech District,
the new facility will be close to vital rail lines, the
Changzhou deep water port on the
Yangtze River and other world-class business and commercial
infrastructure. The company plans to ship rolled aluminum
coils manufactured at its South Korean operations to the new
facility in Changzhou for heat
treatment and finishing before delivery to automotive customers
within China as well as to export
markets.
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
aluminum sheet in China to exceed
the 25 percent compound annual growth rate expected across the
globe over the next five years, as auto manufacturers strive for
improved fuel efficiency and reduced emissions."
Sustainable manufacturing is a core focus for Novelis' entrance
into China, and the company is
designing its new facility according to rigorous environmental
design, construction and operational standards.
"The new Novelis plant in China
embraces the latest environmental features, including world class
energy managements systems, solar hot water heating, CO2
control and best-in-class water efficiency," noted Shashi Maudgal,
President, Novelis Asia. "These efforts are consistent with
the carbon neutral objectives of government leaders in China, and we are pleased to partner with them
on creating a sustainable business operation."
Sustainability Benefits of Aluminum for Automotive
Every kilogram of aluminum substituted for traditional steel in
a vehicle saves more than nine kilograms of CO2
emissions over the lifetime of a vehicle. That could translate to
3,000 liters of fuel savings over the lifecycle. Additionally,
Novelis will recover aluminum scrap from the car makers' stamping
process to recycle and recreate aluminum sheet for new vehicles.
The company has a global target to increase its recycled content
across all products to 80% by the year 2020.
About Novelis
Novelis Inc. is the global leader in
aluminum rolling and recycling. For fiscal year 2012, the company
operated in 11 countries, had more than 11,000 employees and
reported revenue of $11.1 billion.
Novelis supplies premium aluminum sheet and foil products to
automotive, transportation, packaging, construction, industrial,
electronics and printing markets throughout North America, Europe, Asia
and South America. Novelis is a subsidiary of Hindalco
Industries Limited (BSE: HINDALCO), one of Asia's largest integrated producers of
aluminum and a leading copper producer. Hindalco is a
flagship company of the Aditya Birla Group, a multinational
conglomerate based in Mumbai,
India. For more information, visit www.novelis.com and
follow us on Twitter at twitter.com/Novelis.
Forward-Looking Statements
Statements made in this
news release which describe Novelis' intentions, expectations or
predictions may be forward-looking statements within the meaning of
securities laws. Examples of forward-looking statements in this
news release include the anticipated start-up date of the new
facility and its projected projection capacity. Novelis cautions
that, by their nature, forward-looking statements involve risk and
uncertainty. We do not intend, and we disclaim any obligation, to
update any forward-looking statements, whether as a result of new
information, future events or otherwise. Important risk factors
which could impact outcomes are included under the caption "Risk
Factors" in our Annual Report on Form 10-K for the year ended
March 31, 2012 and our Quarterly
Report on Form 10-Q for the quarter ended September 30, 2012.
SOURCE Novelis