Chinese domestic parts and components can fully meet supporting requirements

"Equipping the world with knowledge" has become a core philosophy that Sweden's SKF has been promoting in recent years. During a visit to SKF's North American headquarters, several Chinese journalists repeatedly asked: What does this phrase really mean? Trig, President of SKF Automotive Stan (Trygve Sthen), explained, "We have a joint venture in southern Beijing. Since its establishment nine years ago, there have never been any quality issues in the market. That’s the result of applying our knowledge and technology to customers." After touring the company's technology center, the reporters gained a deeper understanding of this statement. They observed that SKF doesn’t just conduct basic product tests but also performs detailed analyses on raw materials—such as steel hardness, geometric measurements, metal composition, and heat treatment structure requirements. Some of the lab work and equipment are as advanced as those found in university chemistry labs. Stan emphasized that SKF's vision is to equip the world with its accumulated knowledge. This knowledge stems from over 100 years of collaboration with various industries globally. The goal is to pass this expertise to customers through SKF’s products, solutions, and services. When asked whether Chinese customers receive the same level of support, Stan responded positively: “We develop products exclusively based on customer needs. If Chinese companies have specific requirements, we will bring the most advanced technology into China without hesitation.” However, he also noted that some Chinese companies are hesitant to adopt new technologies due to concerns about costs and risks. For instance, while SKF has developed the third generation of bearings and units, many Chinese automakers still use the first generation, and the second generation is only gradually being adopted. This contrasts sharply with the proactive approach seen in European and American markets. To balance innovation with cost efficiency, SKF is working to localize its supply chain in China. Over the past decade, 90% of their suppliers have been localized. Their goal is to achieve 100% local product support by 2008. Stan confirmed that Chinese suppliers meet SKF’s high standards, not only in technical performance but also in quality, financial stability, and other key areas. Local sourcing also allows for faster response times, reducing matching costs and improving overall efficiency. SKF was one of the earlier foreign-invested companies to enter China. But Stan believes more can be done. He expressed plans to further accelerate investment in China, including expanding through mergers and acquisitions. On the topic of sole proprietorship versus joint ventures, Stan said both models have their strengths. “In the past, we used joint ventures to enter the Chinese market more quickly. Now, our joint ventures in China are performing well, and both parties benefit. While we now understand the market better, it doesn’t mean we won’t consider joint ventures in the future.” This year marks SKF’s 99th anniversary. Currently, the company operates five production plants in China, with two more under construction. These will be launched one after another this year. Last year, SKF’s annual sales in China reached 517 million yuan, reflecting its strong presence and continued growth in the region.

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