Ocean Grand Holdings plans to spend $600 million to boost aluminium extrusion capacity, fend off competition and capitalise on growing overseas demand. Deputy chairman Herbert Hui Ho-ming said yesterday the company would expand capacity by 100,000 tonnes in three years to 145,000 tonnes with the addition of a new plant in Sanshui, Foshan. The new capacity would be devoted to higher-end products, mainly for export to the United States, Britain and Europe. The expansion plan also comes amid rising demand from overseas markets, which are growing about 3 to 5 per cent annually. The mainland market, meanwhile, expanded about 10 per cent to 15 per cent per year. 'We want to compete on higher-profit margin and higher-value products, but not on volume production,' Mr Hui said. The company's planned Sanshui plant will cover 600,000 square metres, or about 10 times larger than its existing production base in Nanhai. The first phase of production is scheduled to begin at the end of the year. Mr Hui said the investment would be funded by internal resources and debt.