SinterCast AB reported that series production of compacted graphite iron by licensees of its melting process control technology hit an all-time high for the summer quarter during July-September 2018, continuing the recent expansion in CGI production by foundries worldwide. The Q3 2018 production total of 2.3 million “engine equivalents" (115,000 metric tons of CGI, with each engine equivalent representing 50 kg) stands as a 15% year-over-year volume increase in SinterCast CGI production.
At the same time, the Q3 result represents a decline of -11.5% from the second-quarter result.
CGI is a cast-iron grade that has greater tensile strength, stiffness, and fatigue strength than gray iron or aluminum. CGI is mainly used by diesel and gas engine manufacturers seeking to reduce weight, noise, and emissions for their designs.
Stockholm-based SinterCast developed the most widely used process-control technology for CGI production, which is licensed for use by foundries in North and South America, Asia, and Europe.
SinterCast also reported a 5% year-over-year increase in its shipments of CGI sampling cups during Q3. Year-to-date, sampling cup shipments have increased 41% and revenue have increased 32%. “Overall, the production base continues to be strong, providing the potential to reach 3.0 million engine equivalents in the near-term,” according to SinterCast.
The third quarter also saw SinterCast CGI series production begin for in-line, automotive diesel engine cylinder blocks at the Tupy foundry in Saltillo, Mexico. The shipments of those products will not be recorded until the Q4 2018 results.