World's Bearing SKF Acquires Zhejiang Peel Bearing

On the afternoon of July 9, Zhejiang Xinchang Peel Bearing Co., Ltd. held a staff meeting to formally announce that the company was acquired by Swedish company SKF. SKF has signed an acquisition agreement with Peel Bearing Co., Ltd. and successfully completed the transaction. This signifies that SKF, which is known as the “leader” of the world’s bearing manufacturing industry, has settled in Xinchang.

SKF is a global top 500 enterprise and a world leader in bearing manufacturing. The group is headquartered in Gothenburg, Sweden. SKF's bearing business is extensive. Its subsidiary production bases cover 25 countries and its sales network covers more than 140 countries and regions. In 2007, the group's annual sales exceeded 70 billion yuan.

With the rapid growth of the Chinese economy, SKF is actively seeking to develop everything possible in China in order to further establish a production base and expand the Chinese market. Zhejiang Xinchang Peel Bearing Co., Ltd. is a Sino-foreign joint venture company, the company has advanced bearing testing equipment and professional automated production lines, more than 95% of the products are sold to the United States and Europe, the majority of customers for the world's top 500 companies. In the mediation of relevant personnel in the international market, starting from last year, the two companies began to negotiate on acquisitions. At the end of June this year, the acquisition agreement was formally signed and the transaction was completed in early July.

According to Tang Yurong, vice president of international business of SKF, the Xinchang bearing industry headed by Peel Bearing has nearly 1400 bearings and supporting processing enterprises, employing 43,000 people. Despite the overall low, small and scattered situation in the industry, the development potential is huge. It may become an important position for the company to explore the Chinese market.

Wu Shouming, head of Xinchang Peel Bearing Co., Ltd. believes that from the perspective of the overall development of the bearing industry, it is necessary to avoid the market of large road products, pay attention to engineering bearings, supporting bearings for main engines, large and medium-sized bearings, bearings for key parts of vehicles, special bearings, etc. Aspect development. After SKF's move into Xinchang, it will focus on these fields with its advanced technology, which will surely drive the overall technical level of the Xinchang bearing industry. At the same time, the mature management system of SKF will also bring a new concept to the Xinchang bearing industry.