12th Rare Earth Summit
May 27-28, 2021
Hangzhou, Zhejiang, China
11th Aluminum Raw Materials Summit
May 20-21, 2021
Hangzhou, Zhejiang, China
9th Magnesium Summit
April 15-16, 2021
Hangzhou, Zhejiang, China
13th World InBiGeGa Forum
March 25-26, 2021
Hangzhou, Zhejiang, China
7th World Antimony Forum
June 13-14, 2019
Changsha, Hunan, China
7th Refractory & Abrasive Materials Summit 2019
May 23-24, 2019
Qingdao, Shandong, China
10th Aluminum Raw Materials Summit
May 16-17, 2019
Zhengzhou, Henan, China
11th Rare Earth Summit
May 9-10, 2019
Qingdao, Shandong, China
8th Magnesium Summit
April 11-12, 2019
Zhuhai, Guangdong, China
12th World InBiGeGa Forum
March 14-15, 2019
Zhuhai, Guangdong, China
6th World Manganese & Selenium Forum
May 21-22, 2018
Hainan Sanya, China
Interview with Dr. Andreas Meier, CEO of H.C.Starck
H.C.Starck is a leading global supplier of metals and advanced ceramics. Based on broad and unique expertise H.C.Starck is the preferred supplier for innovative products with high added value. H.C.Starck is an international group of companies with more than 2,700 employees at 12 production sites in Europe, North America and the Far East.
Dr. Andreas Meier: Developing H.C.Starck & JXTC Tungsten Project in Jiangxi
----Interview with Dr. Andreas Meier, CEO of H.C.Starck
Asian Metal: Thank you for granting our interview. I’m so glad to be invited to the groundbreaking ceremony of Sino-German H.C.Starck & JXTC tungsten project. Why does your company choose Jiangxi Rare Metals Tungsten Group Holding Co. Ltd. (JXTC) as a partner?
Andreas: We are happy to do this foundation laying ceremony after long negotiation about details of the joint like the share structure. I think it’s a very strong partnership because it equally benefits from the strengths of both partners.
One reason why we choose JXTC as our partner is that having stable access to raw materials for the supply chain is very important for the success of the entire joint venture. The other reason is that JXTC already has experience in doing international business. The company is sizeable and has support from the community, as well as from the local, provincial, and central government in Beijing.
Asian Metal: What are the greatest challenges you are facing in order to achieve this tungsten processing project? What competencies and advantages does the project have?
Andreas: The biggest challenge in a joint venture like this is having the right partners and bridge cultural differences. You need to work together; you need to explain; you need to respect and also you need to take care of your partners. This is really fundamental. It’s a pre-condition. Another crucial part of such a project is getting the approval from the authorities. The presence of very high officials at our groundbreaking ceremony proves the support from the authorities for our joint venture.
A key strength of our project is the combination of high technology and a vast resource base. The technology competence of H.C. Stark and JXTC’s resource base are both extremely important in our market. With our joint venture, we will be able to provide qualified and reliable tungsten specialty products to the Chinese market. We know that all productions steps from APT to tungsten metal powders and carbides are very important. A stringent control process is necessary to achieve the right specification of the chemical and physical properties, which are essential for the metal industry. So our joint venture will serve the growing demand for higher quality material for Chinese companies and will enable us to serve our global key accounts in China.
Asian Metal: What ultimate role do you see both companies to meet the international demand for APT and tungsten carbide powder? Will you export materials in near term? What type of support have you seen from Jiangxi government?
Andreas: The joint venture is designed predominantly for the Chinese market. We had discussed exporting materials, but there are limited possibilities in terms of export licenses for these materials. But nevertheless, the joint venture makes us the one and only global player in tungsten market because H.C. Starck is now the only company that has a production base in Europe, North America, and in Asia. It makes us the number one in global coverage.
I know that our partner JXTC has tried and done their utmost in making sure that the project succeeds by convincing all the authorities, get approval from Beijing and also getting the clearance for the joint venture to get started. There are still some issues but I’m very optimistic it will be resolved. Deputy Governor Hong and his staff have been very supportive of this project all through.
Asian Metal: Since Q4 last year, tungsten market has kept dull. What’s your opinion about the future market?
Andreas: I think there is globally a growing demand for tungsten specialty products because there is no substitute foreseeable in the application of these products. It’s very indispensable material and you can’t replace it by other materials. Right now, the market is sluggish because predominantly exporting companies have a gloomier outlook because of the Euro zone crisis. Emerging countries are experiencing slower GDP growth. However, what we see is that the supply chain is still very long in the industry. There is some kind of inventory reduction program going on now. The market will generally grow, still above GDP growth and this will also lead to the recovery of APT prices. The market is somehow volatile but fundamentally demand is still there and still growing. I’m an optimistic person and I always believe the future will be better.
Asian Metal: Do you plan to set up cemented carbide plant in the future?
Andreas: We have defined our value chain. We don’t go downstream in terms of cemented carbide production because it will interfere with our customers, which we don’t intend. Anyway, JXTC is already active in this area. Some of the downstream activities of JXTC productions will be our customers as well.
Asian Metal: How about personnel training? How about middle-level personnel?
Andreas: This is part of the commission: We are going to train the people. There will be an exchange program, but the venue of the training depends on the people hired. Some people will be sent from Germany to do training on-site in China. Other people, like those who will later direct major operations will be sent from China to Germany for special training sessions.
Asian Metal: Thanks for your time!
Andreas: Thank you!
Andreas: We are happy to do this foundation laying ceremony after long negotiation about details of the joint like the share structure. I think it’s a very strong partnership because it equally benefits from the strengths of both partners.
One reason why we choose JXTC as our partner is that having stable access to raw materials for the supply chain is very important for the success of the entire joint venture. The other reason is that JXTC already has experience in doing international business. The company is sizeable and has support from the community, as well as from the local, provincial, and central government in Beijing.
Asian Metal: What are the greatest challenges you are facing in order to achieve this tungsten processing project? What competencies and advantages does the project have?
Andreas: The biggest challenge in a joint venture like this is having the right partners and bridge cultural differences. You need to work together; you need to explain; you need to respect and also you need to take care of your partners. This is really fundamental. It’s a pre-condition. Another crucial part of such a project is getting the approval from the authorities. The presence of very high officials at our groundbreaking ceremony proves the support from the authorities for our joint venture.
A key strength of our project is the combination of high technology and a vast resource base. The technology competence of H.C. Stark and JXTC’s resource base are both extremely important in our market. With our joint venture, we will be able to provide qualified and reliable tungsten specialty products to the Chinese market. We know that all productions steps from APT to tungsten metal powders and carbides are very important. A stringent control process is necessary to achieve the right specification of the chemical and physical properties, which are essential for the metal industry. So our joint venture will serve the growing demand for higher quality material for Chinese companies and will enable us to serve our global key accounts in China.
Asian Metal: What ultimate role do you see both companies to meet the international demand for APT and tungsten carbide powder? Will you export materials in near term? What type of support have you seen from Jiangxi government?
Andreas: The joint venture is designed predominantly for the Chinese market. We had discussed exporting materials, but there are limited possibilities in terms of export licenses for these materials. But nevertheless, the joint venture makes us the one and only global player in tungsten market because H.C. Starck is now the only company that has a production base in Europe, North America, and in Asia. It makes us the number one in global coverage.
I know that our partner JXTC has tried and done their utmost in making sure that the project succeeds by convincing all the authorities, get approval from Beijing and also getting the clearance for the joint venture to get started. There are still some issues but I’m very optimistic it will be resolved. Deputy Governor Hong and his staff have been very supportive of this project all through.
Asian Metal: Since Q4 last year, tungsten market has kept dull. What’s your opinion about the future market?
Andreas: I think there is globally a growing demand for tungsten specialty products because there is no substitute foreseeable in the application of these products. It’s very indispensable material and you can’t replace it by other materials. Right now, the market is sluggish because predominantly exporting companies have a gloomier outlook because of the Euro zone crisis. Emerging countries are experiencing slower GDP growth. However, what we see is that the supply chain is still very long in the industry. There is some kind of inventory reduction program going on now. The market will generally grow, still above GDP growth and this will also lead to the recovery of APT prices. The market is somehow volatile but fundamentally demand is still there and still growing. I’m an optimistic person and I always believe the future will be better.
Asian Metal: Do you plan to set up cemented carbide plant in the future?
Andreas: We have defined our value chain. We don’t go downstream in terms of cemented carbide production because it will interfere with our customers, which we don’t intend. Anyway, JXTC is already active in this area. Some of the downstream activities of JXTC productions will be our customers as well.
Asian Metal: How about personnel training? How about middle-level personnel?
Andreas: This is part of the commission: We are going to train the people. There will be an exchange program, but the venue of the training depends on the people hired. Some people will be sent from Germany to do training on-site in China. Other people, like those who will later direct major operations will be sent from China to Germany for special training sessions.
Asian Metal: Thanks for your time!
Andreas: Thank you!