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Jun 17, 2023

Rheinmetall books order for more than 500,000 hybrid vehicle engine blocks from SAIC

The Materials and Trade division of the tech enterprise Rheinmetall has booked a

The Materials and Trade division of the tech enterprise Rheinmetall has booked a new order to produce engine blocks for a hybrid vehicle. The order, worth a figure in the mid-double-digit million-euro range, encompasses more than 500,000 units.

The customer is Shanghai Automotive Industry Corporation (SAIC), China's largest maker of automobiles, motorcycles and car parts. SAIC covers the complete spectrum of drive technology, including vehicles with internal combustion engines, hybrid models and vehicles that are powered entirely by electricity.

To win the order, the division's Castings business unit had to overcome rival bids from global competitors. Production is set to begin in China in 2024, where the order will result in optimum utilization of existing capacity. The parts will be produced using gravity casting.

Gravity casting is a conventional mould casting process in which molten metal is poured into a mould from a vessel or ladle above.

A leading producer of lightweight aluminum parts, the Castings business unit has production facilities in both Germany and China. Its product portfolio encompasses engine blocks and cylinder heads, structural parts, transmission and chassis components, as well as special e-mobility solutions.

The Castings business unit is a globe-spanning joint venture of Rheinmetall and HUAYU Automotive Systems Co. Ltd. (HASCO), a subsidiary of China's SAIC group. Castings consists of two large companies: KS HUAYU AluTech GmbH in Europe and HASCO KSPG Nonferrous Components (Shanghai) Co., Ltd. (KPSNC) in China. Rheinmetall and SAIC each hold a 50% stake in the joint venture.

Posted on 13 April 2023 in China, Engines, Hybrids, Manufacturing, Market Background | Permalink | Comments (0)