Development in China: 1. Sapa Aluminum Heat Transfer (Shanghai) Co.
Sapa Group came to China in 1996. In Shanghai Jiading Industrial Development Zone and Jiading Shenjia Aluminum Industrial Company, the first Sapa Group enterprise in China was established - Sapa Aluminum Heat Transfer (Shanghai) Co. Ltd., the first Sapa Group company in China, and has since gained a foothold in China.
The company was initially named "Grangex (Shanghai) Aluminum Co., Ltd." with a total investment of $25 million, 70% foreign and 30% Chinese, and a registered capital of $15 million. "Ltd. was established in 1999 with a design capacity of 12,000 tons. The company mainly produces composite and non-composite aluminum alloy strips and thin plates for automobile air-conditioners, water tanks, heaters and other heat exchangers, and part of the products are exported to East and Southeast Asia. It was the only enterprise specializing in the production of automotive aluminum in Shanghai at that time.
In 2000, the Sapa Group acquired all the shares of "Grundges (Shanghai) Aluminum Co. Sapa Aluminum Heat Transfer (Shanghai) Co., Ltd. has been developing heat exchanger solutions since its inception and now holds a leading position in the automotive market in the Asia Pacific region. Sapa Aluminum Heat Transfer (Shanghai) Co., Ltd. has expanded its production capacity to 80,000 tons/year with Phase II and Phase III expansions in 2006 and 2010 respectively.
Ma Yuehan, President of Sapa Asia Pacific Middle East and then General Manager of Sapa Aluminum Heat Transfer (Shanghai) Co., Ltd. had this to say at the completion ceremony of the third phase expansion: "Our investment in China is the largest investment Sapa Aluminum Heat Transfer has ever made. Our future is linked to the success of our customers and the development of the entire industry in China. We want to be a supplier that can help our customers improve their internal value chain and end products. This will require a strong local push to grow our business."
Sapa Group also established Sapa Aluminum Profiles (Shanghai) Co., Ltd. in 2003, which specializes in the production of high-value-added components made from extruded aluminum profiles, and Sapa Aluminum Heat Transfer (Shanghai) Co., Ltd.'s Tubes Business Unit, which uses aluminum heat transfer strips as a substrate to be processed by welded tubes and pipes to form various sizes of aluminum alloy composite tubes, in 2008 in Shanghai.
2. Sapa Technology Center
On September 7, 2011, Sapa Technology Center (Shanghai), the second technology center of Sapa Group in the world, was officially settled in Jiading, Shanghai.
SAPA acquired Jiangyin Haihong Company
On November 27, 2010, Lei Xinghu, General Manager of SAPA (Sapa) Group China, came to Jiangyin to discuss cooperation with Jiangyin Haihong Nonferrous Metal Materials Company Limited, which is located in Zhouzhuang Town, Jiangyin City. Less than a year later, on September 23, 2011, numerous media outlets carried the news that Sapa had signed an agreement with Jiangyin Haihong Non-Ferrous Metal Materials Co. on September 22nd, in which Sapa acquired the assets and business of Jiangyin Haihong's aluminum extrusion production base in Jiangyin.
The site includes 15 extrusion presses with a total capacity of 60,000 tons, making it one of the largest aluminum extrusion producers in the Yangtze River Delta region. The site also has casting, oxidizing, powder coating, thermal insulation and further processing capabilities. Aluminum Corporation of China and Sapa Group jointly entered the high-end aluminum profile market in Chongqing and established Aluminum Corporation of China Sapa Specialty Aluminum (Chongqing) Co., Ltd. in Xipeng Aluminum Industrial Zone, Jiulongpo District, with a total investment of RMB 630 million from Aluminum Corporation of China and Sapa Group of Sweden, which is mainly engaged in the design, production and sales of aluminum alloy extruded structural sections and aluminum alloy body modules for the rail vehicle market. sales.
Sapa profiles are widely used in high-speed trains, subway trains and other rail transportation and shipbuilding. The cooperation with Aluminum Corporation of China Limited aims to win the competitive advantage in the relevant market and meet the rapidly growing market demand for high-end aluminum profiles for rail transportation in China. It is expected to officially start production in 2013, and the estimated annual capacity of the product is 20,000 tons. Sapa Group will invest 1 billion yuan in the full acquisition of Jiaojian Aluminum, a subsidiary of the original Zhongqi Holding Co. in the Kerqin District of Tongliao City, Inner Mongolia, which will be transformed into a foreign-funded enterprise. Will enter the high-end aluminum profile market, from the original production of building profiles to the production of industrial profiles to extend, to achieve the deep processing of aluminum products.
So far, Sapa Group has completed their layout in China. Sapa's expansion does not stop there. Sapa's goal in China is clear, mainly through acquisitions or cooperation with large enterprises to increase market share. The fastest way to increase market share is to acquire existing companies; on the other hand, Sapa has found that there may be overcapacity in the Chinese aluminum market. Of course this refers to the backward capacity.
For the acquisition target, the current acquisition strategy in China is not for all aluminum products, but for some special areas, the technical aspects of the requirements, in addition to the production process has a special demand, such as solar energy, new energy automotive field.