Aluminum casting & mold design services

The Japanese manufacturing industry is currently facing two major challenges: skyrocketing raw material prices and a shortage of skilled labor. Aluminum casting (aluminum alloy casting) is once again drawing significant attention as a key solution to overcome these hurdles. This technology, which offers high strength despite being lightweight and allows for the forming of complex shapes in a single process, is indispensable in fields ranging from automobiles and industrial machinery to next-generation energy equipment. However, it is not uncommon for minor oversights during the design stage to lead to increased post-processing costs or worsening defect rates.

In this article, we will provide a thorough explanation of everything from the basic characteristics of aluminum casting to design tips for reducing costs by over 30%, as well as the latest supply chain strategies utilizing Vietnam—a leading “China Plus One” candidate. By reading this, the optimal solution for “Quality, Cost, and Delivery (QCD)” in aluminum casting procurement should become clear.

Aluminum alloy has a specific gravity of approximately 1/3 that of iron (about 2.7g/cm³), yet it can achieve diverse mechanical properties through the addition of elements such as silicon, magnesium, and copper. Management in the manufacturing sector should particularly note its thermal conductivity and recyclability. The thermal conductivity of aluminum is approximately three times that of iron, making it exceptionally well-suited for heat dissipation components. Furthermore, the energy required to produce recycled ingots is only about 3% to 5% of that needed for primary ingots, making it an excellent material from the perspective of recent Green Transformation (GX) investments.

Aluminum casting methods are mainly categorized into three types: Sand Casting, Permanent Mold Casting (Gravity Die Casting), and Die Casting. Selecting the appropriate method is crucial to the success of a project.

The most critical aspect of aluminum casting design is wall thickness control. When thick and thin sections are mixed, the difference in cooling rates likely causes shrinkage cavities (internal voids). To prevent this, wall thickness should be kept as uniform as possible (generally 3mm to 6mm is standard). If thickness is necessary, design changes such as placing “risers” effectively or using ribs to reduce unnecessary material are effective.

A draft angle is essential for smoothly removing the product from the mold. Generally, an angle of 1 to 3 degrees is provided; if this is insufficient, “galling” occurs, leading to appearance defects and accelerated mold wear. Additionally, providing appropriate radii (fillets) at corners avoids stress concentration and dramatically improves the flow of molten metal (melt flow).

Key Data: Current Status of the Aluminum Casting Market and Manufacturing Costs

Currently, small-to-medium scale aluminum casting manufacturing in Japan is facing an extremely difficult situation. In addition to rising labor costs, soaring electricity rates (up approx. 20% to 30% compared to 2021) are putting pressure on management. Meanwhile, in Vietnamese manufacturing sites, labor costs are kept to about 1/4 to 1/5 of those in Japan. Factories that have introduced the latest automated equipment can maintain quality equal to or better than in Japan while achieving total cost savings (including processing and freight) of 20% to 40%.

The era when people said “overseas procurement is worrying in terms of quality” is over. In particular, Vietnamese aluminum casting manufacturers have a long-standing track record as Tier 1 and Tier 2 suppliers for major Japanese automakers.

Taking Daiwa Aluminum Vietnam as an example, we have established a thorough quality management system compliant with ISO9001/IATF16949, and an integrated production system covering everything from casting to T6 heat treatment and precision CNC machining. This allows for shorter lead times and clear accountability.

Due to rising geopolitical risks, many Japanese companies are attempting to move away from over-concentration in China. Vietnam is pro-Japanese and, backed by a young and abundant workforce (average age approx. 32 years), the nation is actively promoting the attraction of the manufacturing industry.

Furthermore, Vietnam is a member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Japan-ASEAN Comprehensive Economic Partnership (AJCEP). The ability to maximize tariff benefits is a point that procurement managers cannot afford to overlook.

The ocean freight duration from Vietnam (Ho Chi Minh/Haiphong ports) to Japan (Tokyo/Osaka ports) is approximately 7 to 14 days. With container ships operating several times a week, flexible operations comparable to domestic procurement are possible in terms of inventory management. In emergencies, air freight (approx. 3 days) can be used, providing resilience against unforeseen circumstances.

To succeed in overseas procurement, confirm whether the partner meets the following five items, beyond simply being “low price”:

Aluminum casting is a material that will play a leading role in the coming circular economy due to its excellent physical properties and recyclability. Considering “castability” at the design stage and incorporating insights from the manufacturing floor (Design for Manufacturing) is the shortest path to cost reduction and quality improvement.

Furthermore, by utilizing Vietnam as a strategic base, you can simultaneously maintain cost competitiveness and strengthen your supply chain. Now, with volatile raw material and energy prices, a shift toward an “aggressive procurement strategy” that is not bound by conventional wisdom is required. Daiwa Aluminum Vietnam will continue to provide optimal solutions as a partner to everyone in the Japanese manufacturing industry, merging the technical expertise we have cultivated over many years with Vietnam’s production power. As a first step toward overseas procurement, why not start with a cost simulation based on your existing drawings?