Kinetic Die Casting Blog

Several manufacturers are providing more than monetary donations to help the Haiti earthquake relief efforts. Health-care products, generators and solar lights are among the many items pouring in from manufacturers to the ravaged nation.

Ecolab Inc. will try to assist with sanitation concerns in Haiti by contributing more than $500,000 in product donations and an employee matching gift program, the company said Jan. 18.

“Ecolab’s cleaning and sanitizing products, including waterless hand sanitizers and surface sanitizers, are critical during disasters such as this,” said Douglas Baker Ecolab’s president and CEO. “The extraordinary impact of the earthquake’s devastation is a reminder of our common humanity. Ecolab, along with our global associates, is pleased to be able to send our products and dollars to provide assistance to the people of Haiti.”

On the same day, pharmaceutical manufacturer Abbott Laboratories said it would provide $2.5 million in grant funding and donations of critical pharmaceutical and nutritional products to humanitarian aid organizations.

Some Abbott pharmaceutical and nutritional products already are in use throughout Haiti because of the company’s prior work with humanitarian organization Direct Relief International to prepare for natural disasters. These items include antibiotics, rehydration solutions and nutritional products that are in critical need following the earthquake in Haiti.

Honda will donate more than $300,000 to the Red Cross, as well as portable generators, water pumps, and other company products for use during humanitarian relief and recovery efforts in Haiti.

Solar lighting manufacturer Sol Inc. is working with government agencies to transport solar lights from Florida to Haiti, the company said Jan. 15. The total donation is expected to reach more than $400,000 with assistance from suppliers.

The company has also dispatched a 44-foot catamaran donated by a Florida entrepreneur Deane Blazie to provide ground support and logistics in Haiti.

Pressure Die Casting Aluminum Speaker Parts vs Gravity Casting. Pressure die casting is a manufacturing process used to create aluminum brackets, parts, chassis and more. These metal parts can be seen almost anywhere and everywhere, making them integral in our day to day lives. Pressure die casting initially melts the aluminum metal. The molten metal is then injected into a mold under great pressure. Afterwards, it is set aside to cool for a while. When the Mold is opened, it reveals the finished die casting. Because of this fast and easy process, thousands of parts can be made every day.

Gravity casting uses the similar manner as sand casting. It uses the force of gravity rather than high pressure to fill the mold with the molten aluminum metal. Gravity casting is most fitting for mass production and full mechanized casting. One advantage over gravity casting is that they usually give a better surface finish and mechanical properties, due to its slower cooling rates compared to pressure die casting.

Compared to gravity casting, pressure die casting requires less machining. Die castings can cast holes depending on how and where you want it. Die castings give closer and more accurate dimensions, plus it can be produced at a larger scale, with less labor costs per casting.

Long-awaited growth is finally poised to return to the U.S. economy, albeit at a far more modest rate than the typical recovery from previous recessions, according to a new report from The Manufacturers Alliance. The group predicts that inflation-adjusted gross domestic product (GDP) will decline 2.5% in 2009, before rebounding to 2.4% growth in 2010, and by 3.5% in 2011.

“We are pleased there is growth in the overall economy, and surprisingly strong growth in manufacturing,” said Daniel J. Meckstroth, Manufacturers Alliance/MAPI Chief Economist. “Yet by historical standards it is still modest compared to recoveries from past recessions.

“Manufacturing production growth, at 4.6%, will grow faster than the general economy, at 2.4%, in 2010,” he said. “An inventory swing in the goods producing sector is a major reason for the acceleration in manufacturing production. We expect manufacturing growth to be led by high technology products, semiconductors, and computers.”

Manufacturing production growth is expected to decline 11.3% this year before rebounding to 4.6% growth in 2010 and to 6% growth in 2011.

Production in non-high-tech industries is expected to decline by 11.3% in 2009 before increasing by 2.3% in 2010 and by 5.8% in 2011. The computers and electronics products sector will also see a drop-off this year, declining by 9.4%. High-tech manufacturing production, however, is expected to improve markedly, to 15.9% growth in 2010 and by a healthy 17.5% growth in 2011.

The expenditure category for investment in equipment and software is likely to decrease by 17.2% in 2009, before experiencing 9.1% growth in 2010 and 15.2% growth in 2011. Capital equipment spending in high-tech sectors will continue the trend. Expenditures for information processing equipment are expected to fall 6.5% in 2009 before rising by 6.9% in 2010 and by 7.8% in 2011.

The forecast expects industrial equipment expenditures to decline by a severe 22.7% this year. The spending will recover, however. MAPI predicts 3.5% growth in 2010 and a significantly improved 22.6% growth in 2011. The outlook for spending on transportation equipment is for excessively wide swings in either direction. The analysis projects a 49.6% decline in 2009, followed by a 55.2% increase in 2010 and a 46.7% advance in 2011.

Spending on non-residential structures is expected to retrench over the next two years, declining by 18.3% in 2009, and by an additional 16% in 2010 before seeing growth of 1.1% in 2011.

Exports and imports will both experience a substantial downturn in 2009 before recovering. Exports are anticipated to decrease by 10.8% in 2009 before rebounding to 7.6% growth in 2010 and to 9.5% growth in 2011. Imports are expected to decline by 14.5% this year, to increase by 8.3% in 2010, and to further increase by 6.3% in 2011.

The employment outlook, unfortunately, will continue to pose a challenge. MAPI forecasts unemployment to average 9.2% in 2009, 10% in 2010, and 9.1% in 2011.

Included in MAPI’s November 2009 economic outlook is the annual long-term forecast. Average annual GDP growth from 2010-2014 is expected to be 3.1%, including a peak growth annual high of 4% in 2012.

US Industrial production figures for October showed a mixed picture on Nov. 17 as manufacturing output eased after several strong months, Federal Reserve data showed. Output at the nation’s factories, mines and utilities rose 0.1% after an average gain of 0.9% in the prior three months.

Manufacturing output fell 0.1% in the past month, after a jump of 0.8% in September. Factory production had also surged 1.4% in August and 1.2% in July, fueled by rising motor vehicle and parts production and a general pickup in economic activity.

In October, auto production fell 2%, reflecting some of the volatility from the government’s “cash for clunkers” program that spurred buying until the incentives ended in August.

Capacity utilization, a sign of slack in the industrial economy, moved up 0.2 percentage points to 70.7%. This is 10.2 percentage points below its average for 1972 through 2008.

Even with the latest rise, industrial production is down 7.1% from a year ago, reflecting the deep recession that has caused industries to slash output.

“This squares with other data in suggesting that the early quarters of the economic and manufacturing recovery will be constrained by issues related to the sources of demand. Since June, manufacturing output gains have been catalyzed by the normal inventory cycle, in which a leveling of the rapid depletion of stocks requires positive output adjustments, and by a range of fiscal policy programs which provide only a temporary stimulus,” said Cliff Waldman, Economist for the Manufacturers Alliance/MAPI.

“But going forward, stubbornly high unemployment, historically low capacity utilization, and an uneven global economic recovery will prevent consumer, business, and export demand from producing as strong a recovery as might be expected following such a deep and risky economic and industrial downturn,” he added. “The weakness in the October production report was notably widespread with both business equipment and consumer goods industries showing slippage, the latter even beyond the expected retrenchment of policy-induced auto output gains. Such data suggest a modest manufacturing recovery for 2010, with factory output growth only beginning to accelerate to rates that will begin to absorb the large amount of unused capacity by 2011 and 2012.”

BEIJING (AP) – China criticized Washington for imposing anti-dumping duties on Chinese-made steel pipes and launched a probe Friday of imported U.S. autos, adding to trade tensions two weeks before President Barack Obama visits Beijing.

The latest moves ratchet up disputes over market access for goods from poultry and tires to Hollywood movies. But Beijing and Washington are confining the conflicts to diplomatic channels, apparently hoping to avert a trade war that could damage wide-ranging cooperation on issues such as the global economic crisis, North Korea and climate change.

The Commerce Ministry criticized the U.S. decision Thursday to raise tariffs on Chinese pipes as protectionist. It said the move violated World Trade Organization principles and commitments by Washington and other Group of 20 major economies to avoid protectionism amid the global economic crisis.

“China resolutely opposes use of such protectionist practices, and will take measures to protect the interests of domestic industry,” ministry spokesman Yao Jian said in a statement on the ministry’s Web site.

The U.S. Commerce Department said it concluded Chinese producers were dumping pipes used by the oil and gas industry and would impose duties of up to 99 percent.

Yi Xiaozhun, a deputy commerce minister, said the case was the biggest anti-dumping action yet against China by market value and affected exports worth $3.2 billion a year.

Also Friday, Beijing announced it was launching an anti-dumping investigation of imported U.S. autos. It said it was acting on a complaint by Chinese automakers but gave no details of the alleged American misconduct. The case could result in higher tariffs on U.S. autos if Chinese investigators conclude American automakers received improper subsidies or sold below fair-market price.

Beijing warned Washington at trade talks last month of the impending probe, a possible diplomatic gesture to reduce the political impact of Friday’s announcement.

Meanwhile, the Chinese steel industry group said Friday major steel mills have asked the Commerce Ministry to launch an anti-dumping investigation of U.S.- and European-made hot rolled and stainless steel. It said the steel was being sold at improperly low prices and “caused injury to the Chinese market.”

The U.S. Embassy in Beijing had no immediate comment about China’s actions Friday.

The disputes come as Obama is due to arrive Nov. 15 on his first president visit to Beijing. Both governments have repeatedly stressed the importance of stable relations and senior leaders have avoided public comments about the trade disputes.

Beijing and Washington are especially eager to avoid irritants that might derail relations as they work together with other major governments to try to pull the global economy out of its worst downturn since the 1930s.

Both governments have stuck to the dispute-resolution process laid out in WTO agreements.

In August, Beijing backed down in a dispute over auto parts and altered its import tariffs after it lost an appeal of a WTO case brought by the United States, Europe and Canada that said it treated foreign suppliers unfairly.

On Wednesday, the United States joined Europe and Mexico in asking the WTO to investigate Chinese curbs on exports of bauxite and other industrial raw materials. Beijing says it must rein in mining to protect the environment, but Washington and others say the curbs improperly give Chinese companies favorable access to some materials.

Yi, the commerce minister, repeated Chinese complaints that Washington treats China as a non-market economy. He called that status a Cold War relic and said Beijing hopes it is soon repealed.

“The ‘market economy status’ is the core of this case. An important reason why the U.S. verdict is so unfavorable to us is that it used double standards rather than the WTO standard that commonly applied by other countries,” Yi said. “That’s why our companies are treated unfairly and unequally. China is very dissatisfied.”

Source: AP Business Writer, Joe McDonald. November 2009, Manufacturing.net