Two-lakh tonne unit in Kentucky slated to open by 2020

Aditya Birla Group firm Novelis Inc. plans to build a $300-million automotive aluminum sheet manufacturing facility in Guthrie, Kentucky.

The greenfield facility, with an annual nameplate capacity of 200,000 metric tonnes, will include heat treatment and pre-treatment lines, which prepare aluminum for use in vehicle parts such as body-in-white, hoods, doors, lift gates and fenders, the company said in a statement.

The company expects to break ground in early spring and create approximately 125 jobs at the new facility, which is slated to open in 2020. “Today’s announcement by Novelis to expand its capabilities in North America is a strategic decision fully supported by the Aditya Birla Group to maintain the group’s leadership position in the global metals sector and its ongoing commitment to serve both upstream and downstream customers,” said Kumar Mangalam Birla, chairman, Novelis Inc. and chairman, Hindalco Industries Limited.

‘Demand to rise’

Demand for automotive aluminum is expected to rise according to the 2017 Ducker Worldwide survey projection that aluminum content in North American passenger vehicles, particularly light trucks and SUVs, will increase 42% from its 2015 level by 2028.

The new facility will be in close proximity to Logan Aluminum Inc., a Novelis joint venture in Russellville, Ky., the company added.