Magontech Group, German major magnesium alloy maker, plans to expand the product sales for automobile industry in China, where the group operates the local productive sites. In other countries than China, the Group eyes share acquisition in magnesium refining plants and establishment of new magnesium alloy plants. Mr. G?nter Franke, CEO of the Group, explained at an interview with Japan Metal Bulletin in Tokyo, Japan.
Magontech Group produces common grade magnesium alloys such as AZ91 and AM50 as well as special alloys such as AZ31 and AE44. The Group’s total productive capacity is more than 60,000 tonnes per year. In China, the Group operates a magnesium alloy plant with output capacity at 20,000 tonnes per year in Xian, Shaanxi Province, and a magnesium scrap recycling plant in Suzhou, Jiangsu Province. The Group also operates a magnesium alloy plant in Bottrop, Germany while a magnesium scrap recycling plant is under construction in Rumania. All plants are in full operations thanks to healthy order receipts. The products are sold to the users in Europe, the U.S.A., Canada, Mexico, Brazil, China, Japan, South Korea, Thailand, South Africa and others. In Europe, the U.S.A., Canada and Mexico, the all sales are for automotive components. In China, the products are supplied for automotive components, cellular phones and notebook PC chassis. Magontech Group was acquired by Advanced Magnesium of Australia in July 2011. Magontech Group remains its company name and sales bland after the acquisition. The Group focuses on reinforcement of its product quality, supply stability and price competitiveness more than ever and projects output capacity expansion by double within next three years. The Group expects Chinese market could keep steady growth for several ten years. Chinese car market has currently become the largest in the world but magnesium components have not been adopted to cars largely yet. Magontech Group advances the demand cultivation. The Group also aims business expansion in other countries than China. Mr. Franke said the Group is seeking chances to acquire shares in magnesium refineries in countries other than China. The Group also examines establishment of new magnesium alloy plants though the details have not been revealed.
