Hoeganaes, part of GKN Powder Metallurgy, is starting production of high quality automotive grade powders in China for the Asian market. The new joint venture further expands GKN Powder Metallurgy’s footprint in China and makes Hoeganaes the only atomised iron powder manufacturer with complete production facilities in the world’s three major automotive producing regions.
The agreement with Chinese partner Bazhou Hongsheng Industrial Company Ltd sees GKN Powder Metallurgy taking a majority share in a manufacturing facility located in Bazhou City, Hebei Province, China.
The 24,600m2 plant has been in operation since 2009 and will expand its product line to produce GKN Hoeganaes international grade powders for use in automotive and industrial applications in the growing Asian markets. These powders enhance the manufactures’ ability to achieve more complex geometries, improved dynamic properties and ultimately produce lighter weight components.
“For the first time this joint venture will provide a local manufacturing base for GKN’s advanced metal powder technologies, enabling us to meet the increasing need for more technically enhanced powders in Asia,” stated Peter Oberparleiter, CEO GKN Powder Metallurgy.
“It will allow us to better serve our customers in both China and the wider Asia Pacific area and is a reflection of our commitment to expanding our global footprint and meeting the needs of our customers.”
Hoeganaes is one of the world’s largest manufacturers of metal powder, the essential raw material for Powder Metallurgy, with manufacturing facilities in the United States, Europe and Asia.