Alcan Inc. begins construction of a $4 million bumper-system facility in Novi, MI, that also will serve as the aluminum supplier's North American automotive headquarters.
Construction of the 52,000-sq.-ft. (4,830-sq.-m) facility is under way, with the building slated for completion in October, equipment arriving in November and engineering, sales and administrative personnel relocating from Farmington Hills, MI, by year-end.
Start of production is to begin first-quarter 2004, with two North American-built vehicles from a European OEM. Once contracts are added for two Big Three vehicles in second-quarter 2005, the facility will reach its annual capacity of 1 million units. Initial staffing will be 45 hourly and salaried employees.
The Novi plant represents the first North American bumper facility for Alcan, and there is room for expansion on the site, executives say.
The supplier claims its aluminum bumpers are up to 2.5 times stronger than traditional steel bumpers, weigh 30%-40% less and absorb up to three times more energy. European customers include Audi AG, BMW AG, Rover Group, Adam Opel AG, DaimlerChrysler AG, PSA Peugeot Citroen, and Ford Motor Co.
Expansion of Alcan's automotive operations in North America will begin, but not end, with the bumper facility. The new North American Structural Products group plans to engineer and market other structural assemblies in the U.S., Alcan says, such as engine cradles and instrument panel beams — augmenting the supplier's role as a producer of aluminum sheet.
The key to being competitive is not just reliance on the use of lightweight aluminum, but knowing when to use a combination of the lightweight metal with steel, magnesium, plastics or whatever else works to offer a multi-material lightweight solution that is priced competitively, executives say.
