The maximum of aluminum

Mica tapes

“Aluminum prices keep on rising, aluminum isn’t available, aluminum stocks have fallen to critical levels” just a handful of headlines out of the news from the past year. Due to a broad variety of reasons the prices of all raw materials, including aluminum keep on rising and availability is getting less. Of course, the wire and cable market is seeing the disadvantages of these developments.

Right at the start of this situation, HEC saw an opportunity instead of a threat. HEC Shanghai Office kept on building the relationship with our aluminum supplier, which has been leading to ongoing supplies for a good price. In the same time, our supplier has been looking into their supply chain. They made sure the supply chain was optimized for a solid corporation with HEC-Holland.

This collaboration, combined with the ability to slit aluminum tapes in The Netherlands (after the purchase of an aluminum cutter last year), made HEC-Holland a stable factor in the market.

Currently, HEC is still able to supplier her customer which is something we are very proud of.

In the future, we will keep collaborating with our partners to be able to deliver the best quality, for the best price in any market situation. In this way, we are sure we won’t let our customers down.

Curious about opportunities for your company? Don’t hesitate to contact your account manager

Suez Canal – Global supply chain impact

Evergreen Suez Canal

Global supply chain impact is caused by imbalance in available freight space and equipment.

The supply chain consequences of the Suez Canal blockade in March will be clearly felt in the coming months. In our operations this will mostly affect the operational activities and pricing for the coming period. Where there were hopes for more stability, prices in container shipping are still sky-high. Also the tariff levels may reach new record highs as of May 1. We continue to be confronted with limitations and delays due to blank sailings, equipment shortages and congested ports worldwide.

Partly because of the aforementioned congestion in the Suez Canal, we are also seeing extra pressure in the availability of containers and the spot market. The shortage of ship space and containers will largely persist this year, resulting in high transport rates and operational restrictions. This is predicted by a maritime research firm Drewry in its latest report about developments in the container market. The prospects also note that there will be considerably more orders for the construction of new ships. There are 1.77 million TEU across 166 ships ordered in Q1 only. However, whether this capacity expansion will eventually lead to the extremely low rates of few years ago seems unlikely, according to Drewry.

Our advices to prevent possible inconveniences in your supply chain 

We would like to advise you to pay attention to matters listed below in order to limit any nuisance and to anticipate the aforementioned market situation:

  • We recommend booking your shipments well in advance. This enables us to provide you with the best possible arrangements.
  • Prioritize the most critical shipments as capacity is scarce and we face constraints and delays.
  • Include longer lead times in your supply chain calculations. Keep in mind that the average delay is currently almost 7 days.

The aforementioned challenging and volatile market situation puts a lot of pressure on our operation. Therefore, we must continue to emphasize that the options are limited and ask you to continue to take into account possible delays in the coming period.

We are here for you

We at HEC-Holland do everything we can to continue to serve you optimally and to keep any inconvenience to a minimum. Please feel free to consult your account manager and ask for our possibilities and solutions. We will also keep you updated related to this theme and future developments. 

If any questions arise, please also get in contact with our team!

HEC-Holland LinkedIn

New distribution center

New distribution center HEC Holland Germany

As mentioned in our previous newsletter, HEC-Holland is continuously working to meet customers demands and requirements.

Besides the expansion of our converting/slitting capacity with 2 newly build production halls we also build 2 new warehouses to double our capacity to approximately 5.000 mt. 

Our new distribution center is built according to the latest standards and features, and both warehouses are scheduled to be ready by July this year. 

New distribution center HEC Holland

We as HEC-Holland are proud to have made this big step consolidating  all our services at one location. This will create higher speed and flexibility between order intakes and the delivery schedule.

In total we nowadays have 3 distribution centers all across Europe, namely in Goch, Germany (cross border Netherlands), Helsinki, Finland and Jonkoping region, Sweden.

Presence of HEC-Holland during the Wire 2020 – Düsseldorf (rescheduled)

HEC Holland at Wire 2020

HEC-Holland team will also be this year present at the Wire Show in Dusseldorf where we are present at the booth of Hanwha Chemical, Deuk Young and Shanghai Wangxun.

Hanwha compounds

Hanwha is pleased to announce that they are investing their production capacity on XLPE compounds which will be completed by the end of 2021, including an automatic warehousing system, thus further improvement on possible cross contamination.

Developments of Shanghai Wangxun & Deuk Young

Shanghai Wangxun is there with its team of experts to tell you the latest about their newest product(ion) developments, which same to count for Deuk Young.

Thus, we would say that there are enough reasons to come to our stands to get the latest product and market updates! Please get in touch with your account manager or our stand/facility manager Mrs. José Schut j.schut@hec-holland.com. Looking forward to meet you.

The world’s biggest and most important forum of the industry’s experts – wire 2020 – will again be presenting itself in Düsseldorf as the hub of the trade from 30th March – 3rd April 2020.

Wire 2020 HEC Holland Hanwha

Team HEC-Holland is present at:

Hanwha Chemical | Hall 1 – stand B71
Deuk Young | Hall 10 – stand B68
Shanghai Wangxun | Hall 11 – stand D54

ATTENTION: Due to the Corona virus, the Wire 2020 has been moved to 7-11 December 2020

Working visit Hanwha

Hanwha

Yeosu / Seoul, 25th of September 2019

This September HEC-Holland team members made a tour with one of our valuable customers to Hanwha’s premises in South Korea. Main purpose of this trip was to further extend our collaboration with our partner. Additionaly we wanted to show our team members Hanwha’s newest expansion on production of crosslinkable polyethylene (XLPE) at their site in Yeosu -in the South of the Korean peninsula – where the ground-breaking ceremony took place.

XLPE capacity

We are pleased to see that due to this new fully automated production system our XLPE capacity will grow further and will be ready by 2021 ~ early 2022. Along with this expansion Hanwha also will invest into an own automated warehouse especially dedicated for its Wire and Cable products, which will be ready at the same time.
Furthermore has Hanwha Construction Corporation completed nearly the overhaul of Hanwha’s HQ building in downtown Seoul, where the building is ready for the 21st century. It has nice features such as solar panels, which are integrated in the exterior of the building – produced by Hanwha’s sister company Q-Cell.

Focus on Europe

The smooth transport of our valuable customers took place by Hanwha’s own helicopter service which was reserved for this memorable and special occasion. We as HEC-Holland are confident that our partner Hanwha Chemical is ready to further roll out its strategy to strengthen its presence within the Wire and Cable market with a specific focus towards Europe.

Comment or contact?

Do you want to leave a comment on this post or do you have a question? Feel free to contact us!

Disclaimer

Working Visit Hanwha
Working visit Hanwha plane
Logo Hanwha

The Final Handshake with SHWX

collaboration agreement

Shanghai, 23th of September 2019

We are pleased to announce that Mrs. Fu – CEO of Shanghai WangXun New Material and Mr. Lurkin – managing director of HEC-Holland have signed officially their collaboration agreement.
This official signature ceremony is a big step towards the joint collaboration between the two esteemed companies.

Tailormade convert

At the same time has and will HEC-Holland further invest into their converting station by extending its product lines and capacity which they are able to tailormade convert as per customers wishes and desires.
For this HEC-Holland has invested into a new state-of-the-art slitting machine which is able to handle and convert the nowadays requested sizes on aluminium tapes up to 4.100 meter per pad.

New expansion

With our new expansion will HEC-Holland and SHWX further increase their market share within the European market. The new local capacity will get into place within Q1-2020 to serve its customers.
Mr. Lurkin commented: “this partnership is for both companies a step ahead where the European cable industry can benefit from – due to its flexibility and short lead times of high-end quality products”.

More information?

If there is more information on this article required, than please get in contact with one of our account managers who will be more than happy to give you more details on our services and possibilities.

Disclaimer

SHWX_team