Carpenter Technology to idle two powder production facilities

May 14, 2020

Carpenter Technology Corporation, headquartered in Philadelphia, Pennsylvania, USA, has stated it plans to idle two of its US-based metal powder production facilities, as the company reacts to the COVID-19 pandemic and an oversupply of titanium powder in the market.

However, as stated by Tim Lain, Carpenter’s Vice President & Chief Financial Officer, during the company’s third quarter 2020 results conference call, Carpenter has no plans to exit the metal powder market. “We remain committed to a metal powder production, but consider it necessary to close these two facilities to save cost and preserve cash flow in the near term,” he commented.  

The sites affected, reported to be Rhode Island and West Virginia, are set to close in the next quarter. 

During a Q&A session in the conference call, Tony Thene, CEO, added, “Unfortunately when we brought online our West Virginia facility there were many others that brought on titanium powder capacity, so that is in an oversupply position right now.”

“We can still offer a full portfolio to customers,” he stated.

The company also announced plans to exit the downstream oil and gas (Amega West) business. “We expect that the actions to exit the Amega West business and idle the two powder facilities will generate estimated annual savings of $15 million to $20 million based on the current run rates for these businesses,” added Lain.

www.carpentertechnology.com

In the latest issue of PM Review…

Download PDF

Extensive Powder Metallurgy industry news coverage, and the following exclusive deep-dive articles and reports:

  • “Scrap is the new gold” and other hardmetal and hard materials insights from Euro PM2023 Congress, Lisbon
  • IperionX: A Powder Metallurgy route to lower-cost recycled titanium plate, billet, bar and preforms with reduced CO2 emissions
  • A review of the sintering of iron-copper-carbon alloys for structural Powder Metallurgy applications

The latest news from the world of metal powders, delivered to your inbox

Don't miss any new issue of PM Review, and get the latest industry news. Sign up to our weekly newsletter.

Sign up

Join our community

Discover our magazine archive…

The free-to-access PM Review magazine archive offers unparalleled insight into the world of Powder Metallurgy from a commercial and technological perspective through:

  • Reports on visits to leading PM part manufacturers, metal powder manufacturers and industry suppliers
  • Articles on technology and application trends
  • Information on materials developments
  • Reviews of key technical presentations from the international conference circuit
  • International industry news

All past issues are available to download as free PDFs or view in your browser.

 

Browse the archive

 

Looking for PM production equipment, metal powders, R&D support and more?

Discover suppliers of these and more in our
advertisers’ index and buyer’s guide, available in the back of PM Review magazine.

  • Powders & materials
  • Powder process, classification & analysis
  • PM products
  • Atomisers & powder production technology
  • Compaction presses, tooling & ancillaries
  • Sintering equipment & ancillaries
  • Post-processing
  • Consulting & toll sintering
View online
Share via
Copy link