Swedish rolled aluminium firm Gränges AB advised the market yesterday of an unplanned drop in sales volumes due to unplanned outages in a pair of its plants in the United States.
Per the firm, “production disturbances” at plants in Huntingdon and Salisbury have lately taxed production at those sites, combining to cause loss of production and a drop in sales.
Gränges did not delve into details regarding the cause of the disturbances, but it assured the market that the causes of those disturbances have been addressed.
Gränges’ CEO Johan Menckel elaborated on the situation at the two plants.
“We usually do not comment on minor production disturbances, but when occurring in plants operating at close to maximum capacity there is a direct impact on the sales volume. The specific issues behind the disturbances have been solved and we have also strengthened the production organization in Gränges Americas to further increase the focus on process stability and availability of the production assets. Moreover, I am looking forward to the start of production for our expansion investments in the fourth quarter as this also will ease the current capacity constraints.”
Altogether, Gränges says the production interruptions will yield a 6 thousand metric ton loss of sales volume in the current quarter.
Begun in 1873 in Stockholm, Sweden as Trafik AB Grängesberg-Oxelösund, Gränges AB was resurrected in 2013 as a private company specializing in rolled aluminium heat exchangers. It employs almost 1,800 employees at the present time at two plants – one in Finspång, Sweden, that opened in its present configuration in 1972, and a second in Shanghai, China, opened in 1996. The firm boasts a total nameplate capacity of 420 thousand metric tons per annum and an annual sales total of SEK13 billion (US$1.35 billion).