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Yuchai Made Large Investment in Construction of Production Base of Diesel Engine Castings

Overall view of Yuchai Foundry Center

    Facing the rapid increase of sales of its products and the requirements of technology upgrade, Yuchai officially launched the project to build Yuchai Foundry Center at the end of 2007 to guarantee the supply of castings such as engine body. The project also further improves the environmental protection for casting production line. The annual casting production capacity will be 290,000 tons after the completion of Yuchai Foundry Center. This project will be implemented by several phases. After the completion of 1st phase of Foundry Center at the end of 2009, plus its previous casting production capacity, Yuchai will be the largest production base of gray cast iron for diesel engine in Asia.

    This project was fully supported by Yulin CCP committee and local government regarding land utilization, approvals and other resources. On June 25th, 2008, Yuchai Machinery Co., Ltd. and Yulin government signed the land utilization agreement for Yuchai Foundry Center. At the afternoon of July 3rd, Yulin government and Yuchai Machinery Co., Ltd., Scivic Engineering Corporation (SCIVIC) and relevant departments had a meeting for the communication and approval of Yuchai Foundry Center project. The member of Yulin CCP committee, Executive Deputy Mayor Liu Zifu, the Director and General Manager of Yuchai Machinery Co., Ltd. Li Tiansheng and the Standing Director of SCIVIC Ding Yueda were present this meeting.

Approval meeting for the Yuchai Foundry Center project plan

    Mr. Liu Zifu required that all the organizations should fully concentrate on the implementation of Yuchai Foundry Center project due to its three obvious characteristics: 1. Large investment. It is the largest project jointly invested by Yulin City and Yuchai since the establishment of Peoples Republic of China; 2. The application of environmental friendly high technology; 3. Good economic returns. The full implementation of this project is estimated to yield an economic growth of over ten billion Yuan. Mr. Liu Zifu also required that Yuchai Industrial Park and relevant parties led by Yulin government and CCP committee to fully support the project on following: 1. Related parties and Yuchai Industrial Park should actively take the responsibilities to provide good services to this project; 2. All the parties should be clear about their responsibilities and take their responsibilities; 3. To finish their works on time. Yuchai Industrial Park should cooperate with power supply bureau to ensure the supply of electricity on July 1st, 2009; 4. Yulin government and relevant departments should help resolve any problems come out from the Yuchai Foundry Center project. In brief, three earlies of this project must be ensured: early launch, early production, early achieving economic returns. Mr. Liu Zifu expressed his expectations that the Foundry Center project being led by Yulin CCP committee and government, under the co-efforts by Yuchai and Yuchai Industrial Park and strongly supported by relevant departments led by Yulin government and CCP committee must go into production successfully.

    Division Chief of SCIVIC Liu Xiaolong briefed the current status of project design on technologies, transportation network, water supply and sewerage, power supply and distribution, soil backfill.

    On behalf of the owners of this project, the General Manager of Yuchai Machinery Co., Ltd. thanked the Yulin government, CCP committee and design unit for their support and cooperation. Meanwhile, he added that Yuchai has a high emphasis to the implementation and progress of this project. When this project was started, Foundry Center Project Department was established and led by the project manager Zhao Guoqin, also the Director of casting plant. In addition, professional staff and necessary technology support were also invested in this project in order to complete this project at highest speed; therefore to achieve economic returns as early as possible which contributes to the government and society.

    Currently, the overall site planning and design have been finished and three availables and one accessible (electricity, water supply and paved roads are available, and you have accessibility to leveled ground) were realized. The first production line in Foundry Center is estimated to put in trial production at the end of 2009.

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