Trelleborg transfers unit to Brazil
Valor Econômico
Swedish Trelleborg Sealing Solutions, which operates in the segment of precision seals, invested € 5 million in the expansion of its activities in Brazil, with the transfer of the silicone sealant systems unit, which operated in Canada. The production of the new unit, according to Peter Nilsson, the CEO of the Trelleborg group, should supply mainly the domestic market, but some lines are exported to the USA, Argentina, Uruguay and Peru.
The total investment of the company in the new unit, according to Nilsson, should get to € 10 million, also including part of technological development in the silicone area, which did not exist in Brazil. The new manufacturing process will cater mainly to the automotive segment, with the production of silicone sealants for fuel and air induction systems. The unit opened yesterday is prepared for an additional production of 90 different items.
The facility of São José dos Campos is the only unit of the Trelleborg Sealing Solutions division in Latin America and is the third one in the world, after the United States and England, with a participation of 11% in the activities of the company in the Americas. The main business of the Brazilian branch, according to the CEO of the group, is the line of seals and rubber for fuel systems, which accounts for nearly 70% of Trelleborg's earnings. The company is also focused on the production of hydraulic and pneumatic sealants and sealants for aircraft landing gear.
The enlargement of the Brazilian branch, according to Nilsson, was driven primarily by the lower costs of operation and also by the perspective of new businesses with strategic clients, such as Embraer, to which Trelleborg already supplies special sealants for the landing gear of its aircrafts.
According to Nilsson, the interest in the Brazilian market also includes the segment of biofuels, which the company is looking closely at and to which it is ready to offer its solutions, with cutting edge technology in sealants for fuel injection systems. The investment plans of Trelleborg in Brazil will also be focused on the oil platform projects, on the printing industry and on the agricultural market, with its sealant systems for the tires of tractors and harvesters. The company has been in Brazil for 10 years and had net sales of R$ 17 million (US$ 9.3 million) last year. It produces nearly 20 million parts a year and employs 1,065 employees.