THACO speeds up auto spring exports
As the largest investor in automobile supporting industries in Viet Nam, THACO constantly increases not only the rate of use of local parts in its cars, buses and trucks, but also exports of parts, with automotive springs being one of its key export items.
Through a joint venture with South Korea’s Daewon Group, a tier 1 supplier for Hyundai and Kia, THACO has mastered the technologies required to manufacture and supply various springs meeting quality standards required by automakers around the world.
In 2015, THACO tied up with Daewon, benefited from technology transfer and build an automotive spring manufacturing plant at the THACO Chu Lai Industrial Park in Quang Nam Province.
The 2ha plant has a capacity of producing 12,000 tonnes of springs a year.
It is equipped with advanced technology lines and automatic machinery like hydraulic shearing machines, furnace coils, end heating furnaces for eye rolling process, end forming machines, end heating furnaces before taper, end forming machines, heating furnaces, cambering machines for long/short leaf, tempering furnaces, shot peeing - primer coating (dipping paint).
The heat treatment stage uses fully automatic equipment and technology that match Daewon's most advanced spring manufacturing line.
Product quality is strictly controlled to ensure they are suitable for both conditions in Viet Nam and overseas markets.
The plant’s production management system is based on digitisation through investment in the supervisory control and data acquisition, or SCADA, system and manufacturing execution systems (MES), which help improve production capacity and reduce costs by 5 per cent.
With Daewon's technology transfer, the plant has mastered the design, manufacture and development of a wide range of springs for the domestic and export markets.
With materials meeting Japan’s JIS G 4801: 2011 standards and carefully designed and tested to meet JIS B 2710 standards, the factory's products are of the same quality as springs manufactured in Korea.
With advantages like high elasticity and durability, good loading capacity, smooth operation, and meeting operating requirements in various terrains, THACO's springs are used in range of vehicles such as trucks, dump trucks, buses, and trailers.
The main products include springs for light trucks (Kia, Hyundai), medium trucks (Ollin), dump trucks (Forland), and semi-trailers, leaf springs and spring kits.
The products are not only supplied to THACO’s plants and other domestic enterprises but also exported to South Korea, Australia, Germany, and Dominica, with South Korea being the key market.
Last year, THACO exported 2,200 tonnes of springs, and this year plans to ship more than 5,100 tonnes.
To meet THACO's target of increasing the use of local content and satisfying customers’ increasing requirements, from 2020 the plant will develop new products such as springs for heavy trucks, parabolic springs, coil springs, and stabiliser bars, invest more in new machinery and equipment for research purposes, and improve design capacity.
With an eye on both domestic and export markets, THACO and Daewon are seeking to set up the THACO DAEWON spring manufacturing joint venture to become a production base for Southeast Asia, expand export markets and increase exports to South Korea, the EU, the Middle East, and South America.
THACO will also focus on expanding its domestic market by entering OEM component supply chains, promoting sales of spring products and enhancing its after-sales service in the domestic market and Southeast Asia.