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The eBearing News
February 9, 2004
SKF Brazil Expands Bearing
Production and Exports
copyright © 2004 eBearing Inc.
Production at SKF do Brasil (Brazil, a division of SKF AB, Sweden) has been expanded yet again, to both
meet continuing strong domestic demand and move more aggressively into nearby export markets.
Although SKF, the world's largest bearing manufacturer, operates a large number of manufacturing facilities
worldwide -- approximately 80 -- most are oriented toward servicing local markets. Relatively
few meet -- approximately 15 -- meet the company's internal
standards and qualify to sell their output globally through the SKF distribution network.
In an extensive four-year program, SKF has invested more than USD $10 million in manufacturing
and quality initiatives at the Cajamar plant outside Sao Paulo. It is now a world-class
facility with both quality and production capacity sufficient to sell its output globally. Until now,
production at Cajamar has primarily targeted only its traditional Brazilian and Mercosur markets.
Cajamar joins facilities in Europe, India, China, India and the U.S. as a global supplier, and is
the only plant in South America certified that way.
Currently, SKF do Brasil supplies the domestic Brazilian auto industry -- Fiat, Ford, General Motors
and Volkswagen -- along with some aftermarket and replacement bearings. Annual sales have been hovering
around $100 million, and employment stands at almost 550 people.
In 2004, Cajamar will begin targeting new OEM customers in the U.S., China and Mexico, based on the products
it now manufactures for automakers in Brazil. SKF do Brasil has been given a corporate sales target to
raise exports to 30% of sales during 2004, up from only 10% of sales in 2003. By the end of 2005, Brazil's
target is to be exporting fully half of the bearings manufactured there.
The plant currently runs five lines, defined as taking a raw forging through to a finished and packaged bearing.
Running at approximately 80% capacity, those five lines are expected to be out of capacity in 2004,
so another line is being built. SKF said it does not yet know how many new employees will be
added in 2004, but at least 100 more should be needed.
Although it is relatively small -- SKF Brazil represents approximately 3% of the company's worldwide
sales -- it has been growing in stature within the company for its operations, growth, and ability to
secure strategic joint ventures. Highlighting its presence, in September 2003, SKF do Brasil's President,
Alrek Danielson, moved to Sweden to succeed Christer Gyberg as President of SKF Industrial Division.
• article: SKF announces senior management changes
SKF Brazil recently won Fiat's Five Star award for being its best automotive supplier in Brazil for the
past five years running. In 2002, it won a coveted contract to supply Ford wheel bearing hub assemblies.
• article: SKF expanding hub production in Brazil
The company also has joint ventures involving Timken, ZF/Sachs, and Emerson CSI.
• article: SKF and ZF Sachs form marketing joint venture in Brazil
• article: SKF and Emerson/CSI establish maintenance services partnership
• article: Timken and SKF producing forged rings in Brazil
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- by Bruce A. Carr
from individual research,
tips and commercial sources.
Bruce Carr edited this content.
Copyrighted material; unauthorized reproduction prohibited.
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eBearing.com ... for everything that moves™
Entire contents Copyright © 1999-2011, eBearing Inc. All rights reserved.
eBearing.com and "... for everything that moves" are registered trademarks of eBearing Inc.
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