Alleima launched a state-of-the-art heat exchanger facility in its mill located in Mehsana, Gujarat. The new facility will enable Alleima to produce advanced alloys in heat exchanger tubing locally to meet the increasing demand for the high valued added tubes to India’s chemical and petrochemical, renewable, and other industrial segments.
It will also serve as a production base for exports to other parts of Asia. This signifies a major milestone for Alleima in India, as with the completion of its Hydraulic and Instrumentation (H&I) facility earlier this year, the Mehsana mill has now completed its three-phase expansion in production capacity and infrastructure.
“The Mehsana Mill is an important facility in our journey towards increasing our footprint in India and in Asia. As part of our growth strategy, we are increasing capacity to serve the growing market for our application tubing products. Today, we are one of the leading players in the premium segment, and we see an increasing demand driven by the infrastructure expansion of chemical and petrochemical plants, refinery expansions, and the growth in the Renewable Energy segment. This investment will be a key enabler to maintain our position and for continued profitable growth in the region”, commented Göran Björkman, President and CEO, Alleima.
“Alleima’s Mehsana Mill plays a pivotal role in our expansion across Asia Pacific. In 2019, we embarked on a strategic initiative to enhance our capacity and capabilities in growth markets, culminating in a three-phase expansion for India, which included a cold finishing heat exchanger tube manufacturing line that opened in 2020, a H&I tubing factory in March 2023, and now this brand-new heat exchanger tube facility. This expansion will increase heat exchanger tube capacity and capabilities to produce advanced alloys positioning us to capitalize on the growth opportunities arising from India’s chemical and petrochemical industries over the next decade. It will also facilitate the transition to the renewable energy segments and enable us to capture the opportunities from the increased demand for locally manufactured products in India,” added Carl von Schantz, President of Tube division, Alleima.
The press release stated that Alleima’s presence in India includes its regional headquarters in Pune with a sales office and an R&D center. The production of seamless tube and pipes occur in Mehsana, while the Hosur facility in Kanthal specializes in industrial heating wires and heating systems. Alleima’s revenues for India during 2022 were 613 MSEK (approximately 60 M USD and 5000 M INR) compared to 426 MSEK in 2021.
“Alleima is committed to supporting the Government of India’s ‘Make in India’, ‘Aatmanirbhar Bharat Abhiyan mission towards making India Self-relian ‘as we believe that they are essential for India’s economic development. We are committed to continue investing in India and collaborating with our customers to propel India’s growth. This expanded Mehsana Mill will allow us to enhance our capabilities in application tubing for the Chemical and Petrochemical segment and enable us to move into the Renewable segments,” said Sharath Satish, President of Alleima Tube division in the Asia-Pacific (APAC) region.
