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Norsk Hydro boosts aluminum capacity for growth market in automotive products

25 February 2014

Norsk Hydro ASA will invest in a new production line at its rolled products plant in Grevenbroich, Germany. The new line will increase annual capacity for aluminium car body sheet to 200,000 metric tons.

In the search for light-weighting vehicles and reducing CO2 emissions, automotive customers are looking for innovative solutions in aluminium. We are therefore increasing our production capacity of state-of-the-art automotive body sheet.

—Executive Vice President Oliver Bell, head of Hydro’s Rolled Products business area

The new line, which has an estimated cost of €130 million (US$178 million), is following a recent decision to expand the annual continuous heat treatment capacity from 20,000 to 50,000 metric tons. The expansion will include annealing and surface treatment lines, part of a flexible plant concept and innovative production processes at Hydro’s Grevenbroich plant.

Aluminium body sheet from the new production line will be used in manufacturing automotive components, including car hoods, doors, tailgates and side panels.

The new production line will be completed in the second half of 2016. The cost of the investment will be distributed in the period 2014-2016, and does not change Hydro’s earlier capex guidance for 2014.

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