Alcoa Expands Automotive Aluminum Sheet Production Facility at Davenport, Iowa

Alcoa today announced it has completed a $300 million expansion at its Davenport, Iowa facility dedicated to supplying aluminum sheet products to the automotive industry.

Davenport automotive expansion

Alcoa executives made the announcement as the 2014 North American International Auto Show (NAIAS) in Detroit displays a number of vehicles featuring large increases in aluminum content. According to automakers, demand for aluminum to produce vehicles—already the second-most-used material used to make cars today—is expected to nearly double by 2025. The amount of aluminum body sheet content in North American vehicles is expected to quadruple by 2015 and increase tenfold by 2025 from 2012 levels.

“2014 marks the beginning of dramatic growth for aluminum in the auto sector,” said Klaus Kleinfeld, Alcoa Chairman and Chief Executive Officer. “Automakers are increasingly choosing aluminum as a cost-effective way to improve the performance, safety, durability and fuel efficiency of their vehicles. Our project in Iowa is the first of three capacity expansions we have underway to meet this growing demand.”

In addition to its expansion in Iowa—for which long-term supply agreements have been secured—Alcoa is adding automotive capacity in Alcoa, Tennessee which is scheduled to be complete in mid-2015; and at its joint venture rolling mill in Saudi Arabia, to be complete by the end of 2014. Alcoa is investing approximately $670 million in the three expansions (click here for more info).

Alcoa innovations are enabling the increased use of aluminum in the automotive sector. Alcoa’s pre-treatment bonding technology, known as Alcoa 951, enables more durable bonding of aluminum components in vehicles, can reduce spot weld points, and results in lower manufacturing costs. A superior product to the previous industry standard, Alcoa has licensed the Alcoa 951 technology at the request of auto manufacturers to make it available across the industry. Alcoa’s three expansions will incorporate, through its supply chain, the proprietary Alcoa 951 pretreatment bonding technology (click here for more info).

The Davenport, Iowa expansion is creating 150 full-time jobs and created a further 150 jobs during the construction phase.

Note: For B-roll footage and photos of the Davenport automotive expansion, visit http://www.alcoa.com/car_truck/en/info_page/media.asp.

Source: http://www.alcoa.com/

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