Baotou to build 100-billion-yuan aluminum industry cluster

Aluminum companies are currently at full tilt, building new projects in Baotou. [Photo/Baotou news network]

An important development deployment meeting for Baotou's aluminum industry was held on July 18 in the heavy manufacturing and fast-growing city, located in North China's Inner Mongolia autonomous region.

The meeting proposed to make the aluminum sector Baotou's fourth 100-billion-yuan ($13.8 billion) industrial cluster – after steel, polysilicon photovoltaics and rare earth – and to establish the city as a significant aluminum base in northern China.

Baotou's aluminum industry began in 1958 and over the past 60 years, it has attracted four electrolytic aluminum companies and 26 aluminum processing companies, forming a relatively complete industry supply chain.

Currently, the industry involves high-end aluminum industrial profiles, lightweight automotive parts, high-purity aluminum and aluminum-based new materials.

In 2023, the city's aluminum industry output value hit 86.32 billion yuan.

Unique advantages of aluminum sector

The main factor determining the investment of aluminum processing companies is suitable water resources. Currently, the city's electrolytic aluminum capacity accounts for 6.2 percent of the national total and 43 percent of the regional total.

Additionally, the city's aluminum water quality is among the best in the country, with the purity of electrolytic aluminum liquid reaching over 99.7 percent and impurities like ferrosilicon being 20 percent lower than in other regions.

Furthermore, Baotou Aluminum collaborates with top institutions and research institutes such as Shanghai Jiao Tong University and Zhengzhou Research Institute – establishing R&D institutions to further extend the Baotou aluminum industry supply chain towards high-end and high value-added sectors.

Thriving potential of Baotou's aluminum sector

Currently, the Huayun Phase III 420,000-metric-ton electrolytic aluminum project – one of the most advanced ventures of its kind in the industry – is ramping up to full production. Once completed, it is projected to become a transformative force in Baotou's aluminum sector.

Elsewhere, at manufacturer Baotou North China Aluminum Technology Co, eight rolling production lines are currently operating at full capacity. These are producing high-performance aluminum alloy cast-rolled coils that are primarily used in making high-end power batteries, with broad application prospects.

Promising prospects for Baotou's aluminum Industry

As essential raw materials, alumina and primary aluminum are closely related to industries such as electromechanics, power, aerospace, shipbuilding, automobile manufacturing, construction, transportation, and daily commodities.

With the rapid development of these emerging industries, the aluminum industry is experiencing strong demand and steadily rising prices.

Consequently, Baotou is currently introducing aluminum alloy auto parts, automotive aluminum panels, extrusion structural parts and other projects, in order to create automotive lightweight industrial clusters.

Baotou Shengtai Auto Parts Manufacturing Co stores its aluminum products, ready for market. [Photo/ Baotou news network]