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Researched by Industrial Info Resources (Sugar Land, Texas)--Aluminum use in motor vehicles is increasing and, with it, so is the need for die cast aluminum automotive components. Industrial Info is tracking several active projects at U.S. aluminum die casting plants, most of which are geared toward the auto industry.
The reasons aluminum use in vehicles is increasing primarily involve vehicle weight and fuel efficiency. Aluminum components are lighter than those manufactured from steel, therefore requiring less energy to get them moving. Electric vehicles (EVs) use substantially more aluminum than their combustion-engine counterparts. In addition to increased EV use, the U.S. government continues to pass legislation involving fuel economy standards for all vehicles. In 2022, the U.S. Department of Transportation passed new standards increasing fuel efficiency 8% for vehicle model years 2024-25 and 10% for 2026 models, when a manufacturer's fleet average for passenger cars and trucks is expected to be 49 miles per gallon.
As efficiency standards and EV use increase, so does aluminum use in vehicles. A survey conducted last year by Ducker Carlilse (Troy, Michigan) found that battery electric vehicles' share of production in the U.S. was 6% in 2022 but is expected to exceed 36% by 2030. The survey found an average net gain of 56 pounds of aluminum is expected per vehicle between 2020 and 2025, with aluminum use growing by almost 100 net pounds per vehicle between 2020 and 2030 to 550 pounds per vehicle, a 233% increase over 1990 levels.
To this end, Industrial Info is tracking several projects at new and existing aluminum die casting plants in the U.S., most of which are catering to the increased demand of the auto market. Among the largest of these projects is a grassroot plant in Tuskegee, Alabama, for Samkee Company Limited (Pyeongtaek, South Korea). Construction, occurring on a 44-acre site, kicked off early last year and is expected to be completed by the end of 2024. The facility will produce high-pressure die cast aluminum components for engines and transmissions, catering specifically to Hyundai Motor Company's (Seoul, South Korea) increasing demand for combustion engines and transmissions as well as EV components. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for more information on the project.
General contractor Gray Construction Company (Lexington, Kentucky) is wrapping up construction of another grassroot die casting plant in Griffin, Georgia, for Mitsui Mining & Smelting Company Limited (Tokyo, Japan). The facility is in its final commissioning stage and will produce parts for the EV market. Subscribers can click here to learn more.
Other projects involve upgrades and expansions at existing plants. Vehicle maker Stellantis NV (NYSE:STLA) (Hoofddorp, Netherlands) is upgrading die casting plants in the U.S. and Canada for its growing EV lineup. In Kokomo, Indiana, Stellantis is upgrading its die casting plant to add and localize production of its new electric drivetrain modules, which include the electric motor, power electronics and transmission. The upgrades will help boost production of the company's electric Jeep and Ram models and support its goal of having battery electric vehicles constitute 50% of its U.S. sales by 2030.
At its plant in Etobicoke, Ontario, Stellantis is installing new tooling and equipment to produce oil pans for a new hybrid electric engine. Both Stellantis projects are expected to be completed in early 2025. Subscribers can learn more by viewing the project reports on the Kokomo and Etobicoke projects.
Another company, The Shinhwa Group (Seoul), is expanding its plant in Auburn, Alabama. Shinhwa completed construction of the original plant building in 2021 and is now underway with two subsequent expansions. Phase II kicked off early last year and entails adding a new 483,000-square-foot building to expand output of aluminum parts, including both die cast and machined components. Phase III kicked off a few months later and involves constructing a 170,000-square-foot facility on the campus that will expand die casting operations to make parts such as control arms and motor housing covers. The Auburn facility manufactures parts for Hyundai's assembly plant in Montgomery, Alabama, and Kia's (Seoul) plant in West Point, Georgia. Subscribers can learn more by viewing the project reports on the Phase II and Phase III expansions.
In addition to the many capital die casting projects being tracked by Industrial Info, we also are tracking more than 20 planned maintenance projects at U.S. plants set to occur this year and next. As perhaps should be expected, the majority of these projects are occurring in the U.S. Great Lakes market region, the traditional heart of the U.S. automotive industry. Kentucky leads other states in both the number and overall value of these projects. Examples include a maintenance program this year for Gibbs Die Casting Corporation's (Henderson, Kentucky) plant in Henderson, which manufactures Tier 1 and original equipment manufacturer (OEM) automotive components. The program includes a series of 24- to 48-hour weekend area shutdowns and two plant shutdowns during the Christmas and New Year periods. Gibbs' customers include Stellantis, Ford Motor Company (NYSE:F) (Dearborn, Michigan), General Motors Company (NYSE:GM) (Detroit, Michigan) and others. Subscribers can click here for more information on the maintenance work.
Subscribers to Industrial Info's GMI Metals & Minerals Database can click here to view reports for all of the projects discussed in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
The reasons aluminum use in vehicles is increasing primarily involve vehicle weight and fuel efficiency. Aluminum components are lighter than those manufactured from steel, therefore requiring less energy to get them moving. Electric vehicles (EVs) use substantially more aluminum than their combustion-engine counterparts. In addition to increased EV use, the U.S. government continues to pass legislation involving fuel economy standards for all vehicles. In 2022, the U.S. Department of Transportation passed new standards increasing fuel efficiency 8% for vehicle model years 2024-25 and 10% for 2026 models, when a manufacturer's fleet average for passenger cars and trucks is expected to be 49 miles per gallon.
As efficiency standards and EV use increase, so does aluminum use in vehicles. A survey conducted last year by Ducker Carlilse (Troy, Michigan) found that battery electric vehicles' share of production in the U.S. was 6% in 2022 but is expected to exceed 36% by 2030. The survey found an average net gain of 56 pounds of aluminum is expected per vehicle between 2020 and 2025, with aluminum use growing by almost 100 net pounds per vehicle between 2020 and 2030 to 550 pounds per vehicle, a 233% increase over 1990 levels.
To this end, Industrial Info is tracking several projects at new and existing aluminum die casting plants in the U.S., most of which are catering to the increased demand of the auto market. Among the largest of these projects is a grassroot plant in Tuskegee, Alabama, for Samkee Company Limited (Pyeongtaek, South Korea). Construction, occurring on a 44-acre site, kicked off early last year and is expected to be completed by the end of 2024. The facility will produce high-pressure die cast aluminum components for engines and transmissions, catering specifically to Hyundai Motor Company's (Seoul, South Korea) increasing demand for combustion engines and transmissions as well as EV components. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for more information on the project.
General contractor Gray Construction Company (Lexington, Kentucky) is wrapping up construction of another grassroot die casting plant in Griffin, Georgia, for Mitsui Mining & Smelting Company Limited (Tokyo, Japan). The facility is in its final commissioning stage and will produce parts for the EV market. Subscribers can click here to learn more.
Other projects involve upgrades and expansions at existing plants. Vehicle maker Stellantis NV (NYSE:STLA) (Hoofddorp, Netherlands) is upgrading die casting plants in the U.S. and Canada for its growing EV lineup. In Kokomo, Indiana, Stellantis is upgrading its die casting plant to add and localize production of its new electric drivetrain modules, which include the electric motor, power electronics and transmission. The upgrades will help boost production of the company's electric Jeep and Ram models and support its goal of having battery electric vehicles constitute 50% of its U.S. sales by 2030.
At its plant in Etobicoke, Ontario, Stellantis is installing new tooling and equipment to produce oil pans for a new hybrid electric engine. Both Stellantis projects are expected to be completed in early 2025. Subscribers can learn more by viewing the project reports on the Kokomo and Etobicoke projects.
Another company, The Shinhwa Group (Seoul), is expanding its plant in Auburn, Alabama. Shinhwa completed construction of the original plant building in 2021 and is now underway with two subsequent expansions. Phase II kicked off early last year and entails adding a new 483,000-square-foot building to expand output of aluminum parts, including both die cast and machined components. Phase III kicked off a few months later and involves constructing a 170,000-square-foot facility on the campus that will expand die casting operations to make parts such as control arms and motor housing covers. The Auburn facility manufactures parts for Hyundai's assembly plant in Montgomery, Alabama, and Kia's (Seoul) plant in West Point, Georgia. Subscribers can learn more by viewing the project reports on the Phase II and Phase III expansions.
In addition to the many capital die casting projects being tracked by Industrial Info, we also are tracking more than 20 planned maintenance projects at U.S. plants set to occur this year and next. As perhaps should be expected, the majority of these projects are occurring in the U.S. Great Lakes market region, the traditional heart of the U.S. automotive industry. Kentucky leads other states in both the number and overall value of these projects. Examples include a maintenance program this year for Gibbs Die Casting Corporation's (Henderson, Kentucky) plant in Henderson, which manufactures Tier 1 and original equipment manufacturer (OEM) automotive components. The program includes a series of 24- to 48-hour weekend area shutdowns and two plant shutdowns during the Christmas and New Year periods. Gibbs' customers include Stellantis, Ford Motor Company (NYSE:F) (Dearborn, Michigan), General Motors Company (NYSE:GM) (Detroit, Michigan) and others. Subscribers can click here for more information on the maintenance work.
Subscribers to Industrial Info's GMI Metals & Minerals Database can click here to view reports for all of the projects discussed in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
