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China Venture

History:

In 1986 SKS was invited by the Chinese Government to establish an operation in China to manufacture Aluminum and Zinc Die Cast machined and finished components for China’s emerging hard disk drive industry.

The initial concept was to tie the SKS operation with an experienced Chinese metal processing company to insure complete support from the local provincial administration. The Chinese Government had established “Special Economic Zones” that allowed foreign companies to operate without the normal restrictions on personnel access, money transfers, installation of equipment, and the employment of Chinese citizens.

The contract included the following items:
1.All the original manufacturing equipment would be American "made" and would be the same make and model as used by SKS in its United States operations.
2.The Chinese would send a team of qualified engineers to be trained at the SKS facility in the United States.
3.In China, SKS would provide on-site activation of the equipment and training of personnel. Elements 2 and 3 would provide the necessary “technology transfer” to enable the plant in China to operate successfully.
4.SKS would provide production contracts from outside China by marketing the facility’s joint-venture capabilities in the United States and in Asia.

Current Operation:

Once the Joint Venture became firmly established, the previous relationship with the local Chinese company, Gree Metal Forming Company, was discontinued and the new company was established as Metal Enterprise Company, Ltd. (MEC). Metal Enterprise Company is a separate corporation operating under Chinese law, with 51.5% ownership by the Chinese Company and 48.5% ownership by SKS Die Casting and Machining Inc.

Location: Metal Enterprise Co., Ltd. Of Zhuhai
South Side Jinhin Road
Jinwan District
Zhuhai, SEZ, China 519041
Plant Size:120,000 sq. ft.
    • Production – 90,000 sq. ft
    • Office & Engineering 30,000 sq. ft.
Employment:Total 225 employees
    • Administration and Management – 12
    • Technical – Engineering and Quality – 26
    • Production – 185

The Capabilities and Core Competencies:

1. Designs and manufacture of high quality, long life die cast tooling for precision components: Our tooling designs produce near “net shape” parts, minimizing secondary operations. SKS and MEC unconditionally guarantee that each die cast tool will produce a minimum of 80,000 die cast parts.

2. Manufacture of aluminum and zinc die cast components meeting or exceeding industry standards: MEC’s and SKS’ components are produced to ½ the NADCA allowable tolerances.

3. MEC has six (6) die casting machines capable of producing castings weighing from one (1) oz. to twenty-five (25) lbs.: Our machining capability consists of four (4) lathes and twelve (12) vertical and horizontal fully automatic mills. The manufacturing operation is supported by a complete metrology and inspection laboratory with two (2) CMM measuring machines.

4. MEC and SKS furnishes “finished” machined components, complete with helicoils, dowel pins installed, alodine, anodized, powder coated, painted, plated, etc. surface finish. The parts sent to the customer are ready for the final assembly operation.

5. MEC and SKS are certified as ISO9001:2008 manufacture. MEC is also certified to the AS9100 standard.

Method of Operation:

The current contractual arrangement with our United States’ customers provides the following options:
1. Build the tooling and the parts in the United States.
2. Build the tooling in China and produce the parts in the United States.
3. Build the tooling and the parts in China
4. All Purchase Orders for parts and tooling are placed with the SKS – Alameda, -California operation.
5. Parts are shipped to the United States, inspected by SKS, and stocked at SKS for JIT delivery to our customers. In addition, parts may be shipped directly to customers in Asia.

In 2003, SKS/MEC began supplying Honeywell with a range of components. After ten (10) plus years’ experience, SKS/MEC has achieved “World Class Manufacturing Company” status due to our record of excellent quality, on time delivery, and low cost operations.”