Released on January 12, 2010

First Automobile Works Foundry Co. Ltd. (FAW), Changchun, China, has entered into a long-term agreement that will allow the company to produce compacted graphite iron (CGI).

FAW, the metalcasting research and development branch of China FAW Group Corp., has contracted SinterCast, Stockholm, Sweden, for the use of its process control technology for CGI production. Under the terms of the agreement, a CGI system will be installed at FAW and used to support CGI product development. The system is expected to facilitate transport to any of the series production metalcasting facilities within the FAW Group. The system provides the company with the capability to independently conduct CGI product development leading toward series production.

“As the largest vehicle manufacturer in China, FAW has taken the initiative to become the first Chinese OEM to adopt [this] technology,” said Steve Dawson, president and chief executive officer of SinterCast.

China FAW Group Corp. was China’s first integrated vehicle producer. The company manufactures passenger vehicles and commercial vehicles and has annual sales in excess of one million units per year. FAW currently employs more than 133,000 internationally and sells its vehicles in more than 70 countries.