Detailed Project Report on Alloy Wheels Manufacturing Plant

Detailed Project Report on Alloy Wheels Manufacturing Plant

ALLOY WHEELS MANUFACTURING PLANT

[EIRI/EDPR/1455] J.C. 242,234


INTRODUCTION

The wheel is a mechanical device, which provides rotary motion by means of a disk or circular frame revolving on an axis. The steel wheel can be used in heavy load and traction services. The size and contour of a specific wheel design is based on the load it must carry and the space limitation of the equipment on which it is used. The contour of the wheel is normally composed compose of five parts: the hub, plate, rim, tread and flange. Classifications based on the service to which the wheels are applied are defined as: 1. Industrial car wheels for use on various cars such as those used in mining, railroads and transfer cars; 2. Crane truck wheels, for use in traveling, gantry, bridge cranes and floor-type changing and drawing machines; 3. Railroad freight car wheels, used according to their capacity and application, and 4. Heavy duty wheels, for use under railroad and electric railway cars, rapid transit passenger cars and locomotives. Most wheels for railway or industrial services are manufactured either by forming a solid block of metal by a sequence of hot forging and rolling operation, or by casting them directly from liquid metal into their final shapes. Mechanically speaking, steel castings are considered inferior to hot forging and rolling products. The casting of steel is, however, the most direct method of producing a given shape. For this reason, this method provides the basis for a key industry. 

Today, the steel wheel has been partially replaced by the aluminum alloy wheel on vehicles, and this trend is expected to continue and become more popular in the near future. The changeover has already been introduced in General Motors and Ford in the USA, where new vehicles with aluminum alloy wheels are now rolling off production lines. There are at least four good reasons why wheel industries now prefer to use aluminum alloy to replace wrought steel: 1. Aluminum alloy wheels are more loads worthy. As 1kg of unsparing weight is generally equivalent to 10-15kgs of spring weight, and each 14’ aluminum alloy wheel is less than 2.5kgs., the four wheels under a typical car can handle loads of about 100-150kgs of extra weight (Unsprung weight means the weight put on the tire wheel, suspension or wheel area); 2. Excellent brake system. Aluminum thermal conductivity is about three times higher than that of steel This physical property gives the wheel better brake reliability and longer life than the steel wheel; 3. It is fuel-efficient. Basically, a 1kg loads decrease on a car will raise mileage 5-8 meters for every liter of gas used. In other words, fuel-efficiency is raised about 8.5% for every 10% reduction in car weight. The one-third to one-fifth work saved will surely prolong the service life of the car engine, and; 4. Suspension improvements. The suspension system of aluminum alloy wheels is capable of responding much more quickly to changing surfaces and road conditions. This increased traction can improve vehicle acceleration, maneuverability and brake performance. It is particularly noticeable while driving at high speeds or on rough roads. 

It is apparent that more and more traction services and transportation industries are catching on to the idea of using aluminum alloy wheels to increase the quality of their products so as to seize more market share, Therefore, the establishment of a Taiwan supplied aluminum alloy wheel plant in any country would prove to be a wise investment.

The three basic elements of a wheel are the hub, the spokes and the rim. Sometimes these components will be one piece, sometimes two or three. The hub is the centre portion of the wheel and is the part where the wheel is attached to the suspension through the wheel carrier (or knuckle). The spokes radiate out from the hub and attach to the rim. The rim is the outer part of the wheel that holds the tyre. 

Steel wheels are usually pressed from sheet metal and then welded together. They are still found on many cars since they are inexpensive, durable and flexible, but also heavy. In the beginning, aluminium wheels were generally marketed as optional add-ons or as part of a more expensive trim package. Today, however, aluminum wheels are found on more and more car models as standard equipment. 

The use of aluminium wheels on passenger cars did not start primarily as a lightweighting measure. Aluminium wheels were introduced for styling reasons, to give upper class or flagships models a distinctive personal touch. The forged aluminium wheel was invented by ALCOA in 1948. In Europe, the success story of the aluminium wheel began with the development of the Porsche 911 in 1962. Porsche looked for a special wheel which should have outstanding qualities and present new dimensions, also visually. The forged aluminium wheel from OTTO FUCHS offered an attractive appearance. In addition, its low weight and thus the resulting reduction in the unsprung mass ensured also a superior ride quality. In the 1970s, cast aluminium wheels started to be factory-fitted to mass-produced cars. 

Aluminium penetration in wheels was in the year 2000 for European vehicles about 30 to 35%, compared to largely more than 50% in USA and Japan. Today, about 50% of the vehicles produced on a worldwide basis use aluminium wheels, i.e. wheels are representing nearly 15% of the average aluminium content in passenger cars and light trucks. Some car manufacturers furnish over 80% of their production with aluminium wheels. In North America, the market penetration of aluminium wheels approaches 70%, in Japan about 60% and in Europe about 50%. Nowadays, the growth rate of the aluminium wheel market has slowed down, but the market volume is still increasing. The development of new, high strength steel grades and sophisticated manufacturing methods have enabled significant weight reductions for steel wheels and also allowed to meet the intricate aluminium wheel designs. 

Wheels have to provide critical safety functions and must meet high standards of design, engineering and workmanship. Almost all modern aluminium wheels are made by one of two processes: casting and forging. Their performance is a direct result of the employed manufacturing technique. Whereas styling has been the main motivation for cast solutions, forged wheels are usually lighter and stronger, but also more expensive than cast wheels. Nevertheless, with proper attention to material quality and process control, cast aluminium wheels can be made to a high standard and provide many years of good service. 

Today, cast aluminium wheels are most common with a market share of more than 80% in North America, more than 90% in Europe and close to 100% in Japan. In North America, the share of forged wheels is about 15%, in Europe only 5%. Increasing weight reduction requirements present a good chance for the further growth of forged aluminium wheels, despite their higher price. On the other hand, the light weighting trend has also led to the development and application of more sophisticated casting methods as well as the consideration of fabricated solutions made using sheets and/or extrusions. Many new developments are on the way to further reduce the weight of present aluminium wheels without sacrificing the styling advantages. An attractive compromise could consist of cast or forged central discs and subsequently assembled (mainly by welding) to extruded or rolled rims. 


COST ESTIMATION

Plant Capacity                                              533.00 Nos/Day
Land & Building (8000 Sq.Mtr)                  Rs. 5.81 Cr.
Plant & Machinery                                       Rs. 2.63 Cr.         
W.C. for 2 Months                                       Rs. 4.61 Cr           
Total Capital Investment                             Rs. 13.54 Cr              
Rate of Return                                             29%   
Break Even Point                                        58%


CONTENTS

INTRODUCTION

PROPERTIES

B.I.S. SPECIFICATIONS

MARKET SURVEY

GLOBAL AUTOMOTIVE ALUMINIUM WHEEL INDUSTRY (2014-2016)

ALUMINUM WHEEL INDUSTRY TRANSFER TO ASIA ESPECIALLY TO CHINA

CHINA WHEEL-HISTORY AND DEVELOPMENT

MOST VALUABLE CLIENTS GROUP IN THE WORLD

PRODUCTION OF ALUMINUM  ALLOY WHEEL IN INDIA

IMPORT AND EXPORT OF ALUMINUM ALLOY WHEEL

ALUMINUM WHEEL EXPORT DATA & EXPORT SHIPMENT

DATA OF INDIA  (SEP 13 TO NOV 13)

ALUMINUM WHEEL IMPORT DATA & IMPORT STATISTICS IN INDIA (OCT 13 TO NOV 13)

INSTALLED CAPACITY, PRODUCTION & CAPACITY UTILIZATION OF ALUMINUM ALLOY WHEELS UPTO 2013

APPARENT CONSUMPTION OF ALUMINUM ALLOY WHEEL 2008 TO 2013

ESTIMATED DEMAND UPTO 2019-2020

DEMAND SUPPLY GAP 2019-2020

MANUFACTURING PROCESS

PROCESS FLOW DIAGRAM

PLANT LAYOUT

PRESENT MANUFACTURERS/ SUPPLIERS/ EXPORTERS/ DEALERS OF ALLOY WHEELS

SUPPLIERS OF RAW MATERIALS

SUPPLIERS OF PLANT & MACHINERY

SUPPLIERS/MANUFACTURERS OF ALLOY WHEEL


APPENDIX – A:

01. PLANT ECONOMICS

02. LAND & BUILDING

03. PLANT AND MACHINERY

04. OTHER FIXED ASSESTS

05. FIXED CAPITAL

06. RAW MATERIAL

07. SALARY AND WAGES

08. UTILITIES AND OVERHEADS

09. TOTAL WORKING CAPITAL

10. TOTAL CAPITAL INVESTMENT

11. COST OF PRODUCTION

12. TURN OVER/ANNUM

13. BREAK EVEN POINT

14. RESOURCES FOR FINANCE

15. INSTALMENT PAYABLE IN 5 YEARS

16. DEPRECIATION CHART FOR 5 YEARS

17. PROFIT ANALYSIS FOR 5 YEARS

18. PROJECTED BALANCE SHEET FOR (5 YEARS)

Get Free Sample Project Report

Fill in your details to receive a sample industrial project report and explore how our consultancy can help you plan your business professionally.

By submitting this form, you agree to receive communication from our consultancy team regarding industrial project reports and business consultancy services.

Ready to Start Your Industrial Business?

Speak with our experts and get personalized guidance for your manufacturing business idea, project planning, machinery selection, and investment strategy.

Our consultancy team will connect with you to understand your business requirements and guide you on the next steps.