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Some Markets to See Severe Drop.


Ongoing interviews with major casting end-users reinforce earlier forecasts that call for a major downturn in casting demand in 2001. The overall forecast for a 4% contraction contraction, in physics
contraction, in physics: see expansion.
contraction, in grammar
contraction, in writing: see abbreviation.

contraction - reduction
 in total metalcasting shipments -- with losses of up to 12% in some market sectors--continues to look probable.

The table below lists the indicators used to determine casting demand. Production of light vehicles in the U.S., which was down 1.5% in '00, is expected to decline 9.2% in '01. Meanwhile, medium to heavy truck production, down 12% in '00, is predicted to drop another 11% in '01. Railroad railroad or railway, form of transportation most commonly consisting of steel rails, called tracks, on which freight cars, passenger cars, and other rolling stock are drawn by one locomotive or more.  freight car production in the U.S. is expected to continue on its downward path (-19% in '00) with another drop of 10% in '01.

Ever-increasing imports from China as well as Mexico and Canada in many of the market sectors are expected to keep shipments down even as demand increases.

Gray Iron

Casting shipments fell 6.5% last year and are expected to contract another 6% in '01 as demand drops in most market sectors.

Motor Vehicles--The production of light vehicles remained strong again in '00, despite a very weak fourth quarter. Transplants Transplants are an American punk rock/rap rock supergroup. They formed in 1999 when Tim Armstrong of the band Rancid played his friend and roadie Rob Aston some beats he had made using Pro Tools and asked Rob if he would consider contributing lyrics.  continued strong in '00 at 2.3 million (19% of the total production of light vehicles) but are expected to decline 6% in '01. Light truck production was again at record levels last year at 6.9 million units (55% of the total light vehicle production).

Despite the high production of light trucks, gray iron content is expected to drop from 250 lb/ vehicle to 180 lb in 5 years.

Gray iron consumption in light vehicles is expected to start its rapid decline with an 11% drop in '01, followed by a similar decline in '02 with the accelerated conversion of engine blocks, heads and other parts to aluminum.

Diesel Engines--The decline in medium to heavy truck production in the U.S. is expected to cause a sizable siz·a·ble also size·a·ble  
adj.
Of considerable size; fairly large.



siza·ble·ness n.
 lowering of diesel engine production, though an increase in power generation engine demand could temper the loss. Casting shipments are forecast to decline 4% in '01. Imports of gray iron blocks, heads and other castings are now 118,000 tons/year (20 % of the demand).

Machine Tools--Though machine tool production is beginning to rebound rebound (rē´bownd),
n/v 1. a recovery from illness.
n 2. an outbreak of fresh reflex activity after withdrawal of a stimulus

rebound adjective
, imports (primarily from China) are keeping casting shipments under 100,000 tons again for the third consecutive year.

Municipal Castings--Gray iron shipments are now expected to drop 56% in '01 because of reduced housing starts and construction, coupled with increased exports from Asiatic countries.

Pumps & Compressors--The poor fourth quarter is expected to continue through at least mid-year and drop this year's shipments 4-5%. A turnaround Turnaround

A situation where a company that has had poor performance for an extended period of time experiences a positive reversal.

Notes:
A speculator may profit from a turnaround if he or she accurately anticipates the improvement of a poorly performing company.
 is expected late this year, however.

Special Industry Machinery--A resurgence re·sur·gence  
n.
1. A continuing after interruption; a renewal.

2. A restoration to use, acceptance, activity, or vigor; a revival.
 in the food products, packaging and printing industries in the latter half of '01 should begin to increase shipments to this collective market and curb losses to 1-2% for the year.

Refrigeration refrigeration, process for drawing heat from substances to lower their temperature, often for purposes of preservation. Refrigeration in its modern, portable form also depends on insulating materials that are thin yet effective.  & Air Conditioning--Imports from Mexico, coupled with the downturn in the economy, will likely reduce casting shipments by 7% in '01. Compressor compressor, machine that decreases the volume of air or other gas by the application of pressure. Compressor types range from the simple hand pump and the piston-equipped compressor used to inflate tires to machines that use a rotating, bladed element to achieve  castings, made in lost foam, shell and green sand, continue to provide markets for U.S. foundries, although imports are beginning to appear.

Ductile Iron Ductile iron, also called ductile cast iron or nodular cast iron, is a type of cast iron invented in 1943 by Keith Millis[1]. While most varieties of cast iron are brittle, ductile iron is much more ductile, as the name implies.

Shipments of ductile iron castings dropped 3% last year and are expected to decline 4% in '01 based on the lower demand for motor vehicles and a decline in pipe shipments in the U.S.

Pressure Pipe--Following last year's 2% loss, a decline in housing starts, commercial construction, PVC PVC: see polyvinyl chloride.
PVC
 in full polyvinyl chloride

Synthetic resin, an organic polymer made by treating vinyl chloride monomers with a peroxide.
 pipe substitution and a reduction in exports are expected to reduce pressure pipe shipments by 4%.

Motor Vehicles--Ductile iron weight per light vehicle is expected to fall based on the substitution of aluminum for iron in suspension parts and differential carriers as well as the substitution of steel forgings for ductile iron crankshafts. A gradual reduction to 170 lb is expected despite new applications for austempered ductile iron and pearlitic and ferritic ductile iron. The consumption of ductile iron in light vehicles is expected to fall 6% in '01 to 1.06 million tons, a loss of 70,000 tons from '00.

After seeing a high in '99, a 60,000-ton loss in ductile iron usage in medium to heavy trucks is forecast. Conversion of some of the malleable iron (Metal.) iron sufficiently pure or soft to be capable of extension under the hammer; also, specif., a kind of iron produced by removing a portion of the carbon or other impurities from cast iron, rendering it less brittle, and to some extent malleable.  made at GM should help the comeback in '02.

Construction Machinery & Equipment--Exports could help keep losses to this sector down despite the reduction in U.S. construction. Total construction was up 5% last year, spurring a 1.6% increase of ductile iron shipments to 183,000 tons. Consumption in this market should remain about the same in '01, and climb 5% in '02 as construction activity increases.

Oil Field Equipment--High fuel prices continue to spur equipment production. Though much of the demand is in replacement equipment, ductile iron usage grew 10% last year and is expected to rise an additional 6% in '01 as long as energy prices remain high.

Farm Machinery & Equipment--Casting demand continues to increase slightly as equipment orders are expected to rise in '01.

Steel

Based on the continued decline in freight car deliveries from the peak years of '98-'99, total casting shipments are forecast to decline 5.5% this year.

Railroad--Casting shipments fell 100,000 tons last year and are expected to drop another 50,000 in '01 because of the lower freight car demand. EMD EMD Electromechanical dissociation, see there  and GE scheduled 1300 locomotives This is a list of locomotives (classes, or individual locomotives) that currently have articles in Wikipedia.

ALCO
  • See List of ALCO diesel locomotives
Baldwin Locomotive Works
  • See List of Baldwin diesel locomotives
 for production last year. Fewer units are expected in '01 followed by increases in '02 and '03.

Mining Machinery--Mining machinery is expected to continue its rebound and increase the demand for steel castings Steel casting is a manufacturing process in which molten metal is poured into a mold, allowed to solidify within the mold, and then the mold is broken and the solid piece is taken out.  to 120,000 tons in '01 and continue to 150,000 tons by '06.

Valves--Valve production is expected to decline again in '01 for the fourth consecutive year. Casting imports continue to remain high, especially for Asiatic countries.

Oil Field Equipment--Based on continuing high oil prices, shipments should increase again in '01 and '02. New oil drilling development is expected to spur peak production years in '02-'03.

Aluminum

Despite an expected downturn in motor vehicle production in the U.S., aluminum casting shipments are expected to drop only 1.5% in '01 because of the accelerated conversion of parts to aluminum.

Motor Vehicle--A decline of 2% in aluminum die casting die casting

Forming metal objects by injecting molten metal under pressure into dies or molds. An early and important use of the technique was in the Linotype machine (1884), but the mass-production automobile assembly line gave die casting its real impetus.
 demand in motor vehicles is expected in '01, followed by 10% annual growth as motor vehicle applications begin to peak.

Aluminum engine blocks made by the diecasting, precision sand, lost foam and permanent mold mold, name for certain multicellular organisms of the various classes of the kingdom Fungi, characteristically having bodies composed of a cottony mycelium. The colors of molds are caused by the spores, which are borne on the mycelium.  processes are expected to double in the next 5 years.

Aerospace--Orders for aerospace products/equipment reportedly will increase 10% in '01, with a resulting increase in aluminum castings' of 6-8%.

Copper-Base

Shipments of brass and bronze casting are expected to drop 5% in '01 as production of valve and plumbing plumbing, piping systems inside buildings for water supply and sewage. The Romans had a highly developed plumbing system; water was brought to Rome by aqueducts and distributed to homes in lead pipes—hence the name plumbing from the Latin word plumbum  fittings and fixtures decreases.
          Macro-Level Forecasts Used to Determine Casting Demand
                                2000   2001   2002
GDP                            +3.6%  +2.0%  +2.8%
Housing Starts                 -4.4%  -2.0%  +2.0%
Motor Vehicle Production [*]
(in Thousands of Units)
         Cars                   5650   5300   5730
         Light Trucks           6900   6000   6050
         M/H Trucks              360    320    340
Freight Cars (Units Delivered) 58,000 52,000 52,000
(*.)Units "produced" in the U.S., not "sales."
COPYRIGHT 2001 American Foundry Society, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2001, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Title Annotation:metal castings industry forecast
Comment:Some Markets to See Severe Drop.(metal castings industry forecast)
Author:Kirgin, Kenneth H.
Publication:Modern Casting
Article Type:Statistical Data Included
Geographic Code:1USA
Date:Mar 1, 2001
Words:1186
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