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Casting Buyers Sound Off

I had the opportunity to be a fly on the wall at a recent casting purchasing roundtable, and boy was it eye-opening. I knew metalcasters were passionate about castings, but these ladies and gentlemen have put as much thought into the metalcasting industry as anyone. Following is a look at a few things they had to say.

On industry capitalization:

  • “Most industries that were at 90% of capacity would be capitalizing like crazy.”
  • “With the recent industry growth, why are metalcasters not embarking on modernization?”
  • “I was recently in Brazil. They are recapitalizing and becoming competitive.”
  • “Metalcasters think, why capitalize for 5% ROI when the buyers are making several times that.”

On a lack of capacity:

  • “There isn’t a capacity problem if the relationships exist.”
  • “We don’t get responses to many of our requests for quote. The only way we can ensure we get the castings we need is if we have relationships already in place.”
  • “Many OEMs are forced to look outside the country because of a lack of capacity.”

On surcharges:

  • “Some metalcasters want to start surcharging for sand. You can’t surcharge everything that is variable. If you do, what’s the point of a base price?”

On foreign sourcing:

  • “Foundries need to think of new ways to add value, like vendor-managed inventory, to gain on their competition. This is the type of stuff that drives us back across the pond. “
  • “Most domestic sources have no appetite for taking control of the whole supply chain.”
  • “Tooling prices are increasing rapidly. Some metalcasters may need to move this in-house to become more competitive.”

—Shea Gibbs, Metal Casting Design & Purchasing Managing Editor


Will Expansions Keep Coming?

Take a look at the top stories on our web page this week. Three new foundry expansions, a new casting facility launch and a major new casting program won. It’s a stark contrast to where this industry was two years ago, and our recent forecast indicates growth in the casting industry should continue through the next three years. The industry’s capacity shrank, but as manufacturing is seeing growth, much of that capacity must return.

Our editorial staff is working on a special purchasing issue for March/April in which we’ll try to answer questions about casting capacity, total landed cost, and selecting a casting source.

We want to hear from you. How is your casting supply? Are your suppliers increasing their capacity? Do you find yourself looking for untapped metalcasting facilities that will help facilitate your own company’s growth? 

The news is good today. What will it take to make it last?


America the Bacon

 

 

 

Yes, bacon.
 

As if America were not already beautiful enough, we can now use a set of cast-iron skillets to intensify that beauty with the bubbling grease of bacon or the colorful sizzle of a stir fry.
 

The skillet set, a replica of the 48 contiguous United States cleverly titled “Made in America,” was crafted by metal sculptor Alisa Toninato and took a year and a half to finish.  Toninato did most of the work herself, but the last 28 states were poured by Smith Foundry in Minneapolis so they would be ready for a showing at the 2011 ArtPrize in Grand Rapids, Mich. 
 

The set is available for purchase, so save up and you could be starting the day with pancakes in California, snacking on hot dogs in Kansas and finishing off the day with steak in Texas.  America has never tasted so good.


Jillian Knuerr, Assistant Editor 


The Double-Edged Sword of Efficiency

By most reports, the metalcasting industry is bouncing back from the recession. Forecasts indicate an industry wide upswing is coming, and anecdotal evidence of facilities running full-out abound. So why do we keep opening the papers and hearing the economy is struggling? Why are millions of people still out of work and protesting in the streets about their situation?

Certainly, this is a difficult question with no single answer. But an article featuring Chicago White Metal Casting on NPR’s website offered at least one valuable insight: our efficiency has allowed us to satisfy the demands of our customers without rehiring some of the less specialized workers we’ve lost.

This is good news for Chicago White Metal Casting and many other small metalcasters across the nation. It is not so good news for workers who have made their living in the manufacturing sector all their lives. But while the situation may cost the country some manufacturing jobs in the short-term, the hope is that efficiency will increase our ability to compete on the global scale in the future.

Doing more with less may seem to be a double-edged sword, but we’ll put our faith in a lean, efficient metalcasting industry rehiring those unemployed workers over an inefficient one any day of the week.

-Shea Gibbs, MCDP Managing Editor


Keep Tabs With Twitter

Do you tweet? Or do you at least lurk on your Twitter feed, getting the latest updates on Tebow mania, CNN news, or your favorite musician’s concert dates? We’re not the first ones to announce this, but Twitter can be more than a guilty pleasure. It’s also way to touch base with your casting suppliers.

More metalcasters are on board the Twitter train than you might expect, including Bremen Castings (@bremencastings), Sivyer Steel (@SivyerSteel), and Waukesha Foundry (@waukeshafoundry), to name a few. Many news and industry organizations dealing specifically with metalcasting are on there, too, including Metal Casting Design & Purchasing magazine (@Metal_Castings), the American Foundry Society (@amerfoundrysoc),  Foundry-Planet.com (@foundryplanet), the North American Die Casting Assocation (@NADCAblog), and our own Al Spada (@SpadaLuvCasting).

If you’re on Twitter, let us know—we’ll follow you! If you’ve avoided Twitter, reconsider dipping in. Tell us about that major program you’ve just launched, the casting facility you’ve just toured, the supply issues you’re facing. Get breaking news and insider information on the casting industry that you would miss sticking to primary news outlets.  Share your experiences with other design engineers and casting buyers. 

When you’re stuck in an office, it’s easy to feel like you’re in a vacuum. Let Twitter be your wormhole to the rest of the world.

-Shannon Wetzel, Digital Managing Editor


Intern's Blog: A Final Reflection on Casting

Well ladies and gentlemen, all good things must come to an end, and this will be my last blog posting. My internship is ending, but I’ve enjoyed the time I have spent with Metal Casting Design & Purchasing learning about the metalcasting industry. I have learned the basics and seen first-hand how a foundry works. I had no idea what I was getting myself into but am glad I immersed myself into a subject I had no previous knowledge about: castings.

In my journey navigating this industry, I learned that metal castings are all around us. Touring a metalcasting facility was something I will never forget. Witnessing all the steps involved from concept to casting and seeing the glowing molten metal being poured into molds was like getting backstage passes for the castings arena and meeting the talented foundry “rock star” workers (I guess “metal stars” would be more appropriate). I also gained knowledge about everyday items I use in which castings play a significant role. I think people would be shocked that they are never more than 10 ft. from a casting, as I was at first. Castings are so close to us, helping us in our everyday lives.

I hope you have enjoyed my impressions on the metalcasting industry and have been reminded of when you were a newbie, when there was so much to take in but you were gratified by learning along the way.  I may not be a metalcasting expert quite yet, but I still have a lot of casting knowledge under my belt.

My favorite experience throughout this venture was learning how metal castings can be molded into almost anything. The possibilities are endless, ranging from a functioning part in a car engine to a beautiful work of art. This reminds me of how anything is possible, with just a few modifications. 
 

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