CITIC Dicastal Co., Ltd. Business Report FY ended Dec. 2013

Business Highlights

Financial overview

-The Company announced that it has produced over 30 million aluminum wheels during 2013. It has supplied aluminum wheels for more than 7 million vehicles in the same year, holding the top spot among global aluminum wheel suppliers for two years in a row. (From news releases issued by multiple sources on December 18, 2013)


-Binzhou Movever Dicastal Hub Co., Ltd., a subsidiary of the Company, announced that it has passed BMW’s testing, which gave the company the qualification to supply its products to the automaker. (From a press release on March 20, 2013)

Commence Production

-Citic Dicastal Ningbo Wheel Manufacturing Co., Ltd., the Company’s wholly owned subsidiary formed in November 2011, announced that it will inaugurate its aluminum alloy wheel production line in December 2013. The subsidiary is capitalized at CNY 200 million. Its plant built on a 134,000-square-meters-plot is capable of producing 2 million wheels per year. The facility’s annual production volume is expected to be worth CNY 1 billion. (From news releases issued by multiple sources on December 13, 2013)


R&D Structure

-The Company conducts development activities at its technical center, which was established in February 1993. The technical center has been recognized as a national R&D center by the National Development and Reform Commission since October 2005.

-The Company has established overseas R&D centers in Europe and North America and a technical center in Japan. Due to its overseas technical centers, the Company is the first wheel manufacturer which can provide synchronous development together with global automakers. The Company's synchronous development projects have been extended to 2015.

-The Company announced that its construction project for a light alloy engineering center in Hubei Province has passed a preliminary screening conducted jointly by the Province’s Science & Technology Department, Financial Department and Development Committee on September 13, 2013. The new facility was thereby included in Hubei Province’s Technical Engineering Center project. (From a press release on September 27, 2013)

R&D Achievements

-The Company announced that the GB/T15704-2012 impact test method it had developed for light-alloy wheels has been introduced as a national standard. This is the fifth time that a wheel testing method established by the company has been adopted as a national standard. (From a press release on September 15, 2013)

Technical Cooperation with Universities

-In December 2013, the Company announced that the company, the School of Materials Science and Engineering of Tianjin University, and the School of Material Science of Hebei University of Technology agreed to conduct joint development of new aluminum alloy. The development team will study the properties of amorphous materials to refine the substances. They hope to develop lightweight and high-strength aluminum alloy by using the refined materials. (From a press release on January 23, 2013)