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GKN Powder Metallurgy expands in China

10/13/2014

GKN Powder Metallurgy has signalled its commitment to the Chinese market with the expansion of its production facilities in both Danyang and Yizheng.

Driven by increased customer demand, GKN is investing 8.7 million Pounds to build a new facility at its Danyang site which will cover an area of 20,000 square metres when construction completes in September 2015. The existing Danyang facility, established in March 2006, produces highly engineered powder metallurgy parts primarily for automotive engines and transmissions. In addition its powder mixing facilities provides metal powders for the Danyang site and the wider Chinese powder metallurgy market.

GKN Powder Metallurgy's new facility in Yizheng, which had its ground breaking in 2012, has now been officially opened. It produces small precision parts mainly for automotive applications in engines and body and chassis. By the end of 2014 about 80 people will be employed at the site.

Since entering the Chinese market in 2006, GKN Powder Metallurgy has gained market share each year and is now in the top five suppliers to the Chinese automotive Powder Metallurgy market.

Nigel Stein, Chief Executive of GKN plc, said: "The expansion of our production capability in China is a reflection of our commitment to expanding our global footprint and meeting the needs of our customers. Both facilities have been built to the highest standard and will allow us to better serve our customers in China and the wider Asia Pacific area. It also represents an important expansion of GKN's long-established presence in China."

Ceremonies held to mark both occasions were attended by senior members of GKN, including Chief Executive Nigel Stein, CEO of GKN Powder Metallurgy Peter Oberparleiter, Deputy Consul General of British Consulate General Shanghai Matthew Forbes, the Counsellor of British Embassy China Dr Mark Wareing, and senior government officials of Danyang, Yangzhou and Yizheng, including the Mayor of Danyang KeKe Chen, the Deputy Mayor of Yangzhou LingJun Kong and the Party Secretary of Yizheng Xi Cheng.

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