District highlighted for metalmaking expertise

By Yuan Shenggao (China Daily)

Updated: 2023-03-10

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From top: Malleable cast-iron products are displayed at a showroom in Taigu. Casting dies for malleable iron components are produced at a plant in the district. [Photo by Sun Taiyan for China Daily]

Malleable cast iron, which is said to be equal to or even better than carbon steel in terms of strength, ductility and tenacity, is not a popular metal among the general public, despite its wide applications in making construction piping systems, valves and components for machines.

But Taigu, a district in the Shanxi city of Jinzhong, has garnered a reputation for this product.

In September, the government of Shanxi released its first batch of 10 provincial-level characteristic towns and Taigu was on the list.

Developing towns with characteristic industries is a new strategy in Shanxi, which aims to create new engines for high-quality growth.

Taigu has a history of nearly five decades in producing malleable cast iron. Industry insiders recalled that from the 1970s to the 1990s, the industry was dominated by a number of small mills but it began to drastically expand in the 1990s.

Kanaifu Group, now a manufacturer with assets totaling 450 million yuan ($64.6 million), is an example of and a witness to the industry's growth.

Yang Haiping, a casting worker, said he began to work with the company when he was only 18.

"We began from a small mill with only one pipe-threading machine in 1995," Yang said. "Now we have a full portfolio of automatic facilities for casting, machining and producing finished piping components."

The veteran worker said he now works eight hours a day, earning a monthly salary of 8,000 yuan. He added that he is happy to see the industry has created jobs for thousands of residents like him.

Local statistics show that Taigu is now home to 112 companies in the industry, producing about 1 million metric tons of products and generating a combined sales revenue of 7 billion yuan a year.

Manufacturers there produce more than 1,000 product varieties, with sales reaching more than 40 countries and regions across the world.

In addition, the full industrial chain in Taigu has offered jobs to nearly 100,000 people.

In recent years, Taigu's malleable cast iron industry has gained competitiveness through technological upgrades.

Longcheng Malleable Iron, for instance, has an upgrade project underway, installing digitalized and automatic production lines for smart production.

"The current upgrade is expected to substantially improve our operational efficiency," said Han Jia, general manager of the company. "The casting efficiency, for example, can be increased by 50 percent compared with our current production facility."

He added that the new production facilities will be more energy-efficient and environmentally friendly. "The electrical furnace is set to save 15 percent of electricity and considerably cut emissions," Han said.

Liu Wei, Party secretary of the district, said the listing of Taigu as a provincial-level characteristic town will improve the competitiveness of the industry.

He said the initiative will help to increase the influence of Taigu's malleable cast iron products in both domestic and international markets.

Liu expects that the industry can develop into a cluster with an annual sales revenue surpassing 10 billion yuan by the end of the 14th Five-Year Plan (2021-25).

Pei Yunfeng contributed to this story.