German technology giant Siemens and Florida-based Chromalloy Gas Turbine have formed a new casting joint venture to manufacture turbine blade and vane cast components for power generation.
The joint venture named as Advanced Airfoil Components will see an investment of $130m from the partners to establish a new casting facility in the US. As a result, about 350 new jobs are expected to be created at the new production plant which will break ground later this year.
The new facility will add up to the 60 plus manufacturing facilities of Siemens across the US where it employs around 50,000 people.
Siemens and Chromalloy are yet to finalize the location of the casting facility though their preference has been revealed to be the southern states of the country. Construction of the casting plant is slated to be completed in the fall of next year.
Shipment of initial components has been targeted for next year.
Chromalloy president Carlo Luzzatto said: “Continuing to build our partnership is very important and shows the value we place in each other’s capabilities and expertise. Chromalloy continues to be a leader in providing innovative, high-technology manufacturing capabilities for gas turbine engines.”
The manufacturing facility which will operate independently will supply the turbine blade and vane cast components exclusively to Siemens.
Siemens power and gas division CEO Willi Meixner said: “Siemens and Chromalloy already have a long-lasting supplier relationship. Our new joint venture will exclusively supply Siemens with casting components for our gas turbines.
“We will continue our established key casting supplier partnerships and all the existing long-term agreements will be executed.”
Currently, the start-up part qualifications and production shipments are being processed at an existing facility of Chromalloy which is a subsidiary of Sequa Corporation.
Image: Siemens-Chromalloy JV to manufacture turbine blade and vane cast components. Photo: courtesy of Siemens AG.