The Chinese foundry industry:
an overview

China Foundry Association (Copyright) 

Chinese foundries vary significantly in size and the processes, equipment and level of technology used. For example, there are large, well equipped, automated foundries with annual outputs of a few ten thousand tons of iron castings; there are medium sized mechanised foundries which produce several thousand tons of iron castings each year; and there are also small foundries which use labour intensive processes to produce several hundred tonnes of iron castings annually.

The distribution of foundries

According to statistics compiled in 1991, there are some 10,500 foundries in China,excluding small foundries operated by individual townships. Table 1 shows the distribution of foundries among the administrative districts . The table shows that industrialised East China has the biggest percentage of foundries (34.1 per cent ), followed by the Mid South District( 22.3 per cent ). The Northeast District has a fairly good share, as it includes the old industrial base Liaoning Province, but the Southwest and Northwest Districts have fairly low shares ( 8.1 and 5.9 per cent respectively ). This is because the provinces and autonomous regions in these districts ( except Sichuan, Yunnan, Shanxi and Gansu ) are weaker in machine building.
 
 

table 1: The amount and distribution of foundries in China 

order 

District 

provinces (municipalities, autonomous regions )included

No.of foundries 

North China Beijing, Tianjin, Hebei, Shanxi, Nei Mongol

1390 

13.2 

Northeast Heilongjiang, Liaoning

1720 

16.4 

East China Anhui, 

jiangxi, Fujian

Shanghai, jiangsu, Zhejiang, Shandong

3580 

34.1 

Mid south 

Guangxi, Hainan

Hennan, Hubei, Hunan, Guandong

2340 

22.3 

South west  Sichuan, Yunnan, Guizhou, xizang

850 

8.1 

North west Shaanxi, Gansu, Ningxia, Xingjiang Qinghai

620 

5.9 

Total 

6 Districts 30 provinces ( municipal, autonomous regions)

10,500 

100 

Casting output in the last five years

The total castings output from China in the last five years has been around 10 - 12 million tons. Because of industrial readjustment between 1989 and 1990, casting output dropped in 1990: from 9.6m tons in 1989 to 8.86m tons in 1990. The following year, when industry recovered, this increased to 10.75m tons. Since then, the annual output of castings has continued to rise each year and it is predicted that castings production in China will rise to 12 million tons in 1995.

The proportions of iron, steel and non-ferrous castings produced in china has varied over the last five years. In 1989 iron castings represented 83 per cent of the total amount of castings produced, but this had dropped to 80.3 per cent by 1993. Meanwhile, steel castings rose from 12 per cent of total output to 13.9 per cent at the same time, and alloy castings increased from 5 to 5.8 per cent. It is important to bear in mind, however, that the amount of castings has greatly increased during these five years.

The output of ductile iron castings has steadily increased, with a total production of more than one million tonnes in 1991. This represents 11.8 per cent of all iron castings and roughly 10 per cent of the total annual output of castings. Since then, ductile castings have increased by some 100,000 tonnes annually. Because ductile iron has now replaced malleable iron for some automotive castings, the production of malleable castings has suffered to a degree. However, the share and output of these castings has increased due to the prosperity of the architectural industry, where they are used for pipe fittings etc, and escalating export demand. Annual production of malleable castings is now maintained at roughly 400,000 tpy, representing 2.7 to 3.8 per cent of the total castings output.

Grey iron is still the most popular material used for castings in China, representing some 70 per cent of total castings produced. Since 1991, more than seven million tonnes of grey iron castings have been produced annually.

The annual output of aluminium alloy and steel alloy castings has also increased in China. Aluminium alloy castings represented 70 per cent of all non-ferrous alloy castings in 1989, and rose to 73 per cent in 1993. At the same time, alloy steel castings-as a percentage of all steel castings increased form 20 to 26 per cent.
 
 

Table 2: Output analysis of various castings according to casting materials: 1989-93. ( Output - 1000 tons)
Castings 

Classification

Materials 1989 

 

1990 1991 1992 1993
    output 

(1000t)

% output 

(1000t)

% output 

(1000t)

% output 

(1000t)

% output 

(1000t)

%
Iron 

Castings 

Grey iron 

Ductile iron 

Malleable 

TOTAL

6972 741 255 7968 

72.6 7.7 2.7 83 

5955 923 337 7215 

67.2 10.4 3.8 81.4 

7276 1031 411 8718 

67.7 9.6 3.8 81.1 

7858 1132 418 9408 

67.7 9.75 3.6 81 

8250.9 1267.84 404.2 9922.94 

66.8 10.3 3.27 80.3 

Steel castings Carbon steel 

Alloy steel 

TOTAL

916 233 1152 

9.6 2.4 12 

971 275 1246 

11 3.1 14.1 

1147 358 1505 

10.7 3.3 14 

1125.5 412.5 1538 

9.69 3.55 13.24 

1272.84 449.74 1722.56 

10.3 3.64 13.94 

Non-ferrous 

alloy castings

AL-alloy 

CU-alloy] 

Others 

TOTAL

336 106 38 480 

3.5 1.1 0.4 5 

255 87 57 399 

2.9 1.0 0.6 4.5 

381 101 45 527 

3.6 0.9 0.4 4.9 

445 108 116.5 669.5 

3.83 0.93 1 5.76 

517.54 120.96 71.58 710.08 

4.19 0.98 0.58 5.75 

TOTAL 

 

9600 

100 

8860 

100 

10,750 

100 

11,615 

100 

12355.58 

100 

Note: 
  • Alloy castings are included in grey castings;
  • Vermicular graphite iron castings are included in ductile iron castings;
  • Alloy steel includes low alloy and high alloy steel castings, such as high manganese steel, stainless steel, heat resistant steel etc; and Other 
  • non-ferrous alloys include zinc alloy, magnesium alloy, titanium alloy etc.
  •  

    Industry growth dictates casting demand

    The growth of various industries in China has had a significant affect on casting demand. Table 3 shows that demand for castings is strongest from the metallurgical, mining and heavy machinery industries ( including ingot moulds );the architectural industry ( including cast iron pipe ); and the agricultural machine and internal combustion engine industries.

    The automotive, loco-engine, machine tool, general machinery and power equipment industries also create significant demand for castings, while the remaining industries shown in Table 3 consume a small percentage of China's annual production of castings.
     
     

    Table 3: China's main casting consuming industries: 1989-93(Output=1000 tons) 

    Purpose  1989 1990 1991 1992 1993
    of casting output % (1000t) output % (1000t) output % (1000t) output % (1000t) output % (1000t)
    Automotive

    638 

    6.6 

    537 

    6.1 

    832 

    7.7 

    1033.7 

    8.9 

    1247.91 

    10.1 

    Locomotive 

    576 

    6.0 

    532 

    6.0 

    677 

    6.3 

    743.4 

    6.4 

    803.11 

    6.5 

    Agricultural machines & internal combustion engines

    1544 

    16.1 

    1445 

    16.3 

    1833 

    17.1 

    1986.2 

    17.1 

    2125.16 

    17.2 

    Valves, petroleum & chemical machinery

    406 

    4.3 

    336 

    6.8 

    458 

    4.3 

    487.8 

    4.2 

    506.58 

    4.1 

    Metallurgical mining & heavy machinery

    864 

    868 

    9.8 

    1097 

    10 

    1138.3 

    9.8 

    1247.91 

    10.1 

    Electrical machinery & power equipment

    307 

    3.2 

    257 

    2.9 

    344 

    3.2 

    365.9 

    3.15 

    395.38 

    3.2 

    Machine tools

    653 

    6.8 

    603 

    6.8 

    774 

    7.2 

    871.1 

    7.5 

    877.25 

    7.1 

    Ingot moulds

    1018 

    10.6 

    895 

    10.1 

    989 

    9.2 

    952.4 

    8.2 

    926.67 

    7.52 

    Cast pipes

    1400 

    14.6 

    1352 

    15.3 

    1586 

    14.8 

    1800.3 

    15.5 

    1952.18 

    15.8 

    pipe fittings, fasteners

    179 

    1.9 

    179 

    247 

    2.3 

    290.4 

    2.5 

    321.25 

    2.6 

    Others

    2015 

    21 

    1856 

    20.9 

    1913 

    17.8 

    1945.5 

    16.8 

    1952.18 

    15.8 

    Total

    9600 

    100 

    8860 

    100 

    10,750 

    100 

    11,615 

    100 

    12355.58 

    100 

     Castings demand from all industries increased substantially in 1991 due to industrial restructuring. Demand from the automotive industry increased 30.4 per cent compared with 1989, ( 55 per cent when compared with 1990 ), followed by the agricultural machine and internal combustion engine industries ( 18.5 per cent ); railway transport industry (17.5 per cent ); architectural industry ( 16.7 per cent ); power equipment industry ( 12 per cent ); and metallurgical and mining industries (10.8 per cent ).

    Figure 3 shows that automotive castings represent six to 10 per cent of china's total castings. The Chinese automobile industry, which mainly produces trucks, has grown quickly and will continue to do so. The production of large and small cars has commenced and is experiencing rapid growth. This growing industry has caused the significant increase in production of grey and ductile iron castings, and its continual development will further increase castings demand.

    Locomotive castings- which are mainly bolsters, side bearers and hooks made from steel- have also been growing steadily due to increased railway transport throughout China. Furthermore, as the old loco-engines are replaced by internal combustion engines, castings produced for this industry include large iron castings for diesel engines.

    Castings for agricultural machines and internal combustion engines have always represented a large proportion of total casting production in China. Nearly every province ( municipality) has factories which manufacture diesel engines, tractors and other agricultural machine parts, creating an annual output of some 1.5 to 2 million tons of castings- roughly one sixth of China’s total castings output. Parts for agricultural machines and internal combustion engines are cast mainly from grey and ductile iron, although low alloy cast steel is used to cast creeper treads for tractors ( with an output of 20,000 tpy ).

    Machine tool castings make up six to seven per cent of the overall castings market. The production of castings, generally made of cast iron, has varied over the years due to fluctuating demand.

    The production of castings for valves, and petroleum and chemical machinery, is conducted on a large scale in China. High pressure valves are made of cast steel, ( including stainless steel ), and medium and low pressure valves are made of grey and ductile iron. Metallurgical, mining and heavy machinery requires a large amount of castings, a fairly big proportion being steel castings. In the metallurgical industry, annual ingot mould consumption is huge, averaging one million tons. However, the demand for ingot moulds is decreasing because of developments in continuous casting technology and reduced ingot mould consumption per ton of steel.

    There is also high consumption of non-durable castings for mining and heavy machinery, such as grinding balls, lining boards, jaw plates, teethed plates and bucket teeth. This consumption is approximately 600,000 tons per year.

    Cast iron pipe ( including continuously cast grey iron pipe and unpressurised sewerage pipe )represents a large proportion of casting production. The annual output has risen from 1.4 to 2.1 m tons per year. Because municipal construction and the architectural industry are booming, it is expected that the output will continue to increase. In recent years, ductile iron pipe centrifugal casting production lines have gradually been put into operation, and so the share of centrifugally cast ductile iron pipes will increase greatly.

    Pipe fitting, fasteners for construction work, and metallic parts for transmission lines are made of malleable iron. This has increased the output of castings made from this material, as has the prosperity of the architectural industry and rising export demand.

    Other castings include those for machine, textile, light, and handicraft industries. The leisure goods industry is just emerging, and so its demand for castings is still very limited.

    Demand in 2000

    Because of china's industrial and economic reform and opening policy, gross national product is expected to increase at a rate of eight to nine per cent annually. Large scale construction and foreign trading will continue to increase, and casting production will rise to meet both domestic and export demand. Output will also be affected by other factors such as :

  • improved casting dimension precision;
  • reduced wall thickness of castings and longer life due to improved technology;
  • wider application of light alloy castings.
  • The China Foundry Association predicts that casting output will increased by an average of four to five per cent annually, and total output is expected to reach 13.5 million tons by the year 2000.
     
     

    Table 4: Forecasted casting demand demand in 2000.
    Casting Materials  2000
    Classification   output ( 1000 tons ) %
    Iron castings  Grey iron Ductile iron Malleable iron TOTAL  8683.2 2085.75 329.4 11098.35  64.32 15.45 2.44 82.21 
    Steel castings Carbon steel Alloy steel TOTAL  864.7 370.55 1235.25  6.41 2.74 9.15 
    Non-ferrous alloy 

    Castings

    AL-alloy Cu-alloy Others TOTAL  977.4 114.75 74.25 1166.4  7.24 0.85 0.55 8.64 
    TOTAL    13500  100 

     
     

    Table 5: Forecasted casting demand in 2000, according to industry
    Type of  2000
    casting ( 1000 t ) output %
    Automotive

    2106 

    15.6 

    locomotive

    1012.5 

    7.5 

    Agricultural machines and internal combustion engines

    2254.5 

    16.7 

    Machine tools

    945 

    Valves, petroleum & chemical machinery

    553.5 

    4.1 

    Metallurgical, mining, heavy machinery

    1336.5 

    9.9 

    Electrical machinery & power equipment

    418.5 

    3.1 

    Ingot moulds

    648 

    4.8 

    Cast pipes

    2497.5 

    18.5 

    Pipe fittings

    405 

    3.0 

    Leisure goods

    202.5 

    1.5 

    Others

    1120.5 

    8.3 

    TOTAL

    13,500 

    100 

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