Showa establish second aluminum production facility in Vietnam

Showa to establish second aluminum can production facility in Vietnam

6:40 AM, 15th February 2017
Showa to establish second aluminum can production facility in Vietnam

TOKYO, JAPAN: Showa Aluminum Can Corporation (SAC), a consolidated subsidiary of Showa Denko (SDK) will establish its second base in Vietnam to produce aluminium cans, aiming to expand its business in that country. This new production base is to be located in Quang Nam Province, which occupies the mid-portion of Vietnam.

In May 2014, SAC acquired a majority of shares in Hanacans Joint Stock Company (Hanacans), of Vietnam, a manufacturer of aluminium beverage cans located Bac Ninh Province, which is in the suburbs of Hanoi, and made Hanacans its consolidated subsidiary.

Since then, SAC has been favourably increasing Hanacans’ sales of beverage cans in Vietnam, centring on the northern part of the country. SAC has been investigating the feasibility of the expansion of production capacity of Hanacans because the operating rate of Hanacans’ production lines has been at a high level since the second half of 2016.

Quang Nam Province, where SAC decided this time to establish Hanacans’ new production base, is contiguous with Da Nang City, the largest city in the mid-portion of Vietnam. Backed by policies of the Vietnamese government to enhance industrial infrastructure and attract businesses there, many Vietnamese and foreign beverage manufacturers have decided to establish, or already established, their factories in Quang Nam Province.

This time, SAC decided to establish a new production base in that Province because Hanacans had already started to ship its products to the mid-portion of Vietnam, and rapid expansion of the market for aluminium cans in Vietnam is surely expected in the future.

At the new factory, SAC will install a line that can produce 700 million can bodies a year. In addition, synchronising with the installation of the new can-body production line at the new factory in Quang Nam Province, SAC will install an additional line to produce can end in Hanacans’ existing factory in the suburbs of Hanoi. Through the installation of these new lines, Hanacans’ capacity to produce can bodies and can end will be expanded to that for 2 billion cans a year by October 2018. The total investment of this time is expected to be 5 billion yen.

Since its acquisition of Hanacans in 2014, SAC has been introducing its leading-edge production technologies and quality control system into Hanacans and striving to strengthen Hanacans’ existing customer base and cultivate new customers, focusing on foreign affiliated beverage manufacturers. SAC will pursue further expansion of its aluminium can business in Vietnam through its effort to make Hanacans’ new aluminium can factory the one that quickly and timely offers the best quality products in the region which meet needs of the market.

© Worldofchemicals News

0 Comments

Login

Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News


Gevo announces public offering of common stock and warrants

ENGLEWOOD, US: Gevo Inc said that it intends to offer and sell, Series G units, with each Series G-unit consisting of one share of common stock, Serie ...

Read more
Grace to license UNIPOL PP process technology to Chinese firm

COLUMBIA, US: W R Grace & Company has contracted to license its UNIPOL PP process technology to Dongguan Grand Resource Science & Technology C ...

Read more
TerraVia, Univar sign whole algae ingredients distribution agreement

SAN FRANCISCO, US: TerraVia Holdings Inc (TVIA) and Univar Inc have entered into a distribution agreement across Europe for t ...

Read more
Breakthrough in producing renewable car tires from trees, grasses

MINNEAPOLIS/ST PAUL, US: A team of researchers, led by the University of Minnesota (UMN), has invented a new technology to produce automobile tires fr ...

Read more
AkzoNobel’s new bio-steam facility reduces CO2 emissions by 100,000 tonnes

AMSTERDAM, NETHERLANDS: The Dutch Minister of Economic Affairs Henk Kamp has officially opened a new bio-steam facility at a chemical park at Delfzijl ...

Read more
Chandra Asri supplies polypropylene resins for Toyota

JAKARTA, INDONESIA: Polypropylene impact copolymer resins which are produced by PT Chandra Asri Petrochemical Tbk, Indonesia's largest integrated petr ...

Read more
www.worldofchemicals.com uses cookies to ensure that we give you the best experience on our website. By using this site, you agree to our Privacy Policy and our Terms of Use. X