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Alicon Castalloy signs multi-year contracts worth Rs 810 crore with leading global OEMs

It has bagged wins from global customers such as JLR, Daimler, Samsung SDI and Mahle

Alicon Castalloy signs multi-year contracts worth Rs 810 crore with leading global OEMs

Alicon Castalloy (Alicon), one of the largest integrated manufacturers of aluminum castings in India and a global leader in light-weight alloy castings, has been awarded multi-year contracts aggregating Rs 810 crore with two leading global automakers and two Tier 1 global suppliers. This includes supply of aluminum chassis light weight alloy products to Jaguar Land Rover for  their new model vehicle line; supply of heavy truck engine parts to Daimler for their new generation engines; supply of e-mobility parts to Samsung SDI as a Tier 1 supplier for EV platforms; and supply of cooling modules of heavy engine trucks to MAHLE for their new commercial vehicle platforms. 

These long duration contracts are valued at Rs 810 crore in aggregate over a period of 5 years with supplies commencing in stages between June 2020 and December 2021.

These order wins demonstrate Alicon’s future readiness as supplies to each of these major global OEMs and Tier 1 suppliers are for new technology platforms and next generation products. Supply to Jaguar covers compact structure parts which are technology agnostic as these parts are common across Internal Combustion Engines (ICE), hybrid vehicles and electric vehicles (EV) platforms. This will result in steady and consistent volumes under multiple scenarios of technology and platform acceptance in the future. The supplies to Samsung SDI are for their e-mobility platforms which are witnessing ready acceptance and high growth.

With these orders, Alicon will be supplying its industry-leading and technologically advanced products featuring a light-weight alloy design. The light-weight alloy products will enable significant weight reduction of the vehicles they are used in and provide improved reliability with better performance metrics enabling cost reduction for its customers.

Alicon’s research and developments team partnered with the manufacturer’s design and product teams and made significant contributions with inputs on alloy selection, technical enhancements and towards design of right manufacturing process.

These new contracts exemplify Alicon’s technological excellence and innovation capabilities in the aluminum castings space. With a rich legacy of over 50 years, Alicon is a proven leader in the low-pressure die-casting and gravity die-casting technology in the domestic market and, through its European subsidiary, is steadily enhancing its global presence with industry leading OEMs.

The light-weight alloy parts and e-mobility parts will be manufactured at Alicon’s facility in Pune, India as well as in its facility in Slovakia in Europe. The scope of work includes manufacturing, quality-testing and shipping to all global manufacturing locations for these OEMS and Tier 1 suppliers.

Rajeev Sikand, group CEO at Alicon Castalloy, commented: “We have bagged wins from marquee global customers such as JLR, Daimler, Samsung SDI and Mahle. These multi-year contracts indicate the confidence of global customers in Alicon’s capabilities, technological excellence and ability to manufacture high-quality products through integrated operations on a consistent basis. Success in e-mobility platforms and acceptance of our technologically-advanced solutions demonstrates our readiness to cater to mobility platforms of the future.”

Looking ahead, Alicon Castalloy has outlined a number of strategic measures and growth initiatives. The company has steadily expanded its product suite in order to align offerings with changing technologies and emerging trends. This has been supported by enhanced presence in key global markets. It has also widened its offerings to cater to non-auto sectors such as infrastructure, aerospace, energy, agriculture, defense and healthcare. As demand conditions improve in the domestic and global markets, the endeavor is to sustainably outperform the industry growth rate by leveraging the manufacturing and process excellence, comprehensive offerings, deep imprint of innovation & R&D as well as the advanced technological offerings across a diverse customer base.