Distribution centre helps protect wire rod
A
Corus Automotive product story
Edited by the Engineeringtalk editorial team
Mar 30, 2006
Improvement in delivery standards follows the opening of distribution centre for storing, handling and despatching damage-critical grades of wire rod for automotive manufacturers around the world.
Corus customers have reported an 85% reduction in instances of materials being damaged in transit.
The improvement in delivery standards comes six months after the opening of a Corus distribution centre for storing, handling and despatching its damage-critical grades of wire rod destined for automotive manufacturers around the world.
Importantly, the improvements to stock delivery will let Corus meet the continued high demand for quality wire rod material for the growing and emerging markets in Eastern Europe and China.
In China alone, consumption of steel tyre cord has increased 30% a year since 2001 and in 2006 the market is expected to continue growing.
Corus also anticipates growth in demand from component manufacturers in Eastern Europe.
Wire rod despatched from the new facility is being used to manufacture automotive components from tyre reinforcement cord, valve springs, piston rods, headrest supports and airbag wire to car keys, seatbelt wires and windscreen wiper components.
The high strength steels used in these automotive applications are more susceptible to surface damage.
These steel grades must be free of surface damage because they have to withstand rigorous manufacturing processes that transform wire rod into finished components.
However, unlike Western Europe, the logistic routes in many of the emerging markets pose more problems.
Crucially, delivery of damaged material can result in production downtime when the cord is replaced having a knock on effect on tight manufacturing schedules.
Eric Bruneel, Technical Manager for Wire Rod Supply at Bekaert, said: "Quality of steel supply is essential to produce the high-performance products demanded from our customers today".
"Even the slightest scratch on the surface of a wire rod can alter its microstructure causing the rod to break during the wire drawing process".
"Despite some difficult supply routes, Corus' new distribution centre has helped to decrease significantly the incidents of delivery-damaged wire rod coils to our facilities".
"We congratulate Corus on its investment in the new warehouse and this will certainly improve the performance of its products".
The warehousing system at Corus is a key part of the company's £14m investment in its wire rod business based in Scunthorpe, UK.
Peter Hogg, Director of Wire Rod Business at Corus, said: "Because we have been able virtually to eliminate damage incidents attributable to warehouse, storage and distribution, we are now able to look at other areas of the material supply chain, including our mill processes, to see where other improvements can be made".
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