According to Hydro’s official website, Hydro, a global aluminum industry leader, has signed a Letter of Intent (LOI) with Nemak, a leading player in automotive aluminum casting, to deeply develop low-carbon aluminum casting products for the automotive industry. This collaboration not only marks another partnership between the two in the aluminum processing field but also a key move to align with the green transformation of the automotive industry, with the potential to reshape the market landscape of automotive aluminum castings.
Hydro has long supplied Nemak with REDUXA casting alloy (PFA), which has gained significant attention for its exceptional low-carbon characteristics. Producing 1 kilogram of aluminum generates approximately 4 kilograms of carbon dioxide, with carbon emissions just one-quarter of the global industry average, already placing it at the forefront of industry low-carbon practices. With the signing of this LOI, the two sides have set an ambitious goal: to further reduce the carbon dioxide footprint by 25%, striving to establish a new benchmark in the low-carbon aluminum casting sector.
In the aluminum processing industry chain, the recycling link is crucial. Since 2023, Alumetal, a Polish recycling company fully owned by Hydro, has continuously supplied casting alloy products to Nemak. Relying on advanced recycling technologies, it efficiently converts post-consumer waste into high-quality casting alloys, not only improving resource utilization but also significantly reducing carbon emissions in new product production, strongly driving the green circular development of the aluminum processing industry.
Looking back, Hydro and Nemak have collaborated for over two decades. Over the years, the two sides have continuously made breakthroughs in aluminum processing technologies, delivering numerous high-quality casting alloy products to automotive manufacturers. Currently, facing the global automotive industry’s accelerated transition to new energy, lightweighting, and low-carbonization, both parties are actively transforming by increasing the proportion of recycled post-consumer waste in their casting alloy product portfolios. Through optimizing melting and casting processes and strictly controlling aluminum alloy composition and impurity content, they not only ensure product quality but also further reduce production energy consumption and emissions, meeting the urgent needs of the automotive industry for sustainable development.
This collaboration represents another innovative practice by Hydro and Nemak in the aluminum processing field. With the growing demand for low-carbon aluminum materials in the automotive industry, the outcomes of their partnership are expected to be widely applied in key automotive components such as engine blocks, wheels, and body structural parts. This will help automotive manufacturers reduce product carbon emissions, enhance vehicle performance, and inject strong momentum into the green transformation of the global automotive industry.
Post time: May-07-2025