Daiki Aluminium Industry India, a wholly owned subsidiary of Japan-based Daiki Aluminium Industry Co. Ltd., has broken ground on a scrap-fed aluminum alloys plant in Sri City, India, near Chennai on India’s central east coast.
The facility is expected to be operational by early next year and when fully operational will have a capacity of 84,000 metric tons of aluminum ingot production per year.
According to Hindu Business Online, the facility will cost around $36.4 million and is being built on a 20-acre plot in a government Domestic Tariff Zone. Daiki says it expects the facility be commissioned by next February and to export recycled-content ingots to countries in Asia. In Japan and elsewhere, the ingots will be used in the automotive sector.
The report indicates raw material for the facility initially will come from India, though the scrap supply line could expand as the facility ramps up.
Daiki Aluminium, while based in Japan, also has invested in production facilities this decade in the Philippines, Indonesia