Showa Denko to Double Heat Exchanger Production in China

Grand Ocean-Showa Auto Air Conditioning (Dalian), which is a joint venture between Showa Denko of Japan and Chinese makers to produce automotive heat exchangers in China, plans to double the heat exchanger production to 800,000 units in 2008 from 400,000 units in 2007. The JV will expand the output to follow the active demand from automobiles in the country. Showa Denko aims to increase the output to 1.3 million units in future.Grand Ocean-Showa Auto Air Conditioning (Dalian) is controlled by Showa Denko with 55% shares, Grand Ocean Manufacturing of Hong Kong with 25% shares and Dalian Refrigeration of China with 20% shares. The JV supplies automotive heat exchangers, such as evaporators and condensers, to automakers of Japan, Europe and USA.In near future, the firm tries to catch up with the strong demand growth in China. At the same time, the firm is preparing for the commercial production of its original high-function condensers, NRT3, for which the rolling form technology is adopted.The JV is also increasing the employees to expand the heat exchanger output. The recent number of the employees is approximately 350 while the JV plans to increase the number to about 400. The JV also aims better yield, higher productivity and quality as fine as Japanese products.Showa Denko operates automotive heat exchanger plants in Oyama of Japan, Ohio of USA, Czech and Thailand. The supply network covers the global operations of automakers.