Honda Trading Keeps Full Capacity Molten Al Operations in China, Indonesia

Honda Trading Corporation enjoys strong molten aluminium and secondary alloy demand in emerging countries. The firm operates the plants at full capacity at monthly 1,000-1,200 tonnes at Molten Aluminum Producer Foshan in China and at 4,000 tonnes at No.1 and No.2 plants of P. T. Molten Aluminum Producer Indonesia. The joint venture, Miyuki Industries (Thailand) keeps high pace of 3,000 tonnes operation. Honda Trading expands the Foshan plant to monthly 1,500 tonnes in January 2011 to meet growing demand.

The Foshan plant keeps full capacity operation while Honda Motor stops local operation due to strike at local parts makers for Honda Motor. The Foshan plant makes 700 tonnes of molten aluminium with balance for secondary alloy for die-casting and castings. The firm tries to restart shelved expansion while the firm stopped the expansion after financial crisis in 2008.

The Indonesian plant keeps full capacity operation for 6 months. The plant makes monthly 1,000 tonnes of molten aluminium and 3,000 tonnes of secondary alloyed aluminium. The firm cannot meet strong demand even at the full capacity operation. The firm eyes potential 500-600 tonnes higher capacity by increasing workers at No.2 plant.

Honda Trading operates monthly 2,000 tonnes level at Molten Aluminum Producer Canada with 3,000 tonnes of capacity. The plant also improves the operation level from the bottom.

However, the domestic operation is still slow due to slow parts export to North America. The domestic production site in Saitama operates at around 66% level of the monthly 1,000 tonnes of capacity due to slower engine production by Saitama plant of Honda Motor. Honda Trading operates Gunma plant at around 70% of 2,700 tonnes of output capacity while the firm operates Kumamoto plant at less than 50% of 2,300 tonnes of capacity.