Académique Documents
Professionnel Documents
Culture Documents
Recommendations
References
2
AUTOMOTIVE IS ONE OF THE LARGEST
MANUFACTURING INDUSTRIES IN BRAZIL
Automotive 28.9
• Automotive industry has a strong
Siderurgy 20.6 presence in the market.
Passenger Cars
Commercial Vehicles
Suppliers
Recommendations
References
4
INFORMATION AND STATISTICS ARE MANY
TIMES NOT AVAILABLE IN BRAZIL
5
THE TURNOVER Of THE CAR AND COMMERCIAL
VEHICLE SECTOR TOTALS USD 28.9 BILLION
- the industry grew 26% over the last 3 years
USD Billion
35.0 Domestic Export
28.0
7.0
Information about
21.0
turnover per type of
vehicle is not
14.0
available
7.0
21.9
0.0
2000 2001 2002 2003 2004 2005
year
VEHICLE MANUFACTURERS
7
ce: Automotive Business
A MAJORITY OF THE AUTOMOTIVE COMPANIES MAKE
THEIR PURCHASE DECISIONS LOCALLY 1(2)
Vehicles manufactured in
Brazil
Manufacture Employee Business Purchase decisions
r s
Honda 1284 Cars Does not disclose information
Karmann-Ghia 542 Cars Mainly local
Vehicles manufactured in
Brazil
Manufactu Employe Business Purchase decisions
rer es
DaimlerChrysl 13014 Commercial and Mainly locally approved by HQ in Germany
er Cars
Fiat 8187 Commercial and Locally
Cars
Ford 9156 Commercial and Worldwide agreements and regional
Cars decisions
General 19193 Commercial and HQ in Sao Bernardo dos Campos or by
Motors Cars worldwide agreements.
Peugeot 2145 Commercial and Does not disclose information
Citroën Cars
Renault 2676 Commercial and Does not disclose information
Cars
VW 24582 Commercial and Worldwide agreements and regional
Cars decisions
9
rce: STC interviews
CONTENT
Passenger Cars
Commercial Vehicles
Suppliers
Recommendations
References
10
THE CAR PRODUCTION IS GROWING IN BRAZIL
11
Source: Anfavea
SOUTH AND SOUTHEAST REGIONS ARE THE MAIN
AUTOMOTIVE INDUSTRIAL CENTER OF PASSENGER
CARS
Map of Brazil
Gravataí, RS 120
GM Total 475000
Honda Sumará, SP 65000
PSA PegeotCitroën Porto Real, RJ 93500
Renault São Jose dos Pinhais, PR 75306
Toyota Indaiatuba, SP 57000
Volkswagen São Bernardo do Campo, SP N/A*
Taubaté, SP N/A*
São José dos Pinhais, PR N/A*
VWTotal 725888
13
rce: STC interviews
FLEXFUEL ENGINES AND SMALL CARS ARE THE MOST
IMPORTANT TRENDS IN THE BRAZILIAN CAR INDUSTRY
Increased competition and continued price reductions within the small car segment
The segment “small cars” has experienced greatest growth
The margins on domestic produced vehicles has dropped
Competitio Brazilian cars manufacturers remain competitive. A majority of the exports are made to emerging markets
n and
price
reductions
Exports
14
Source: STC
CONTENT
Passenger Cars
Commercial Vehicles
Suppliers
Recommendations
References
15
THE COMMERCIAL VEHICLE PRODUCTION IS A
HUGE MARKET AND HAS INCREASED OVER THE
LAST YEARS
Commercial Vehicle Production
in Brazil Development the last 5 years
18
rce: STC interviews
BRAZIL IS ONE OF THE BIGGEST EXPORTS OF
COMMERCIAL VEHICLE IN THE WORLD
Trends within the Brazilian commercial
vehicle industry
Commercial vehicles production increases in all segments: light commercial vehicles, buses and trucks
Export volumes of commercial vehicles is booming
VW and DaimlerChrysler are the biggest players in the truck and bus production respectively
Market
The demand for commercial vehicle is on the rise due to:
A stable economy and inflation under control
Lower interest rates and hence cheaper financing of vehicles
Demand
Growth
19
Source: STC
CONTENT
Passenger Cars
Commercial Vehicles
Suppliers
Recommendations
References
20
THERE ARE ABOUT 500 AUTOMOTIVE
SUPPLIERS IN BRAZIL
Brazilian automotive suppliers
21
MANY OF THE MAJOR T1 INTERNATIONAL
PLAYERS ARE PRESENT IN BRAZIL 1(2)
THE MAIN T1 / SYSTEM SUPPLIERS
Ss - System Suppl
22
Source: SINDIPEÇAS
MANY OF THE MAJOR T1 INTERNATIONAL
PLAYERS ARE PRESENT IN BRAZIL 2(2)
THE MAIN T1 / SYSTEM SUPPLIERS
23
Source: SINDIPEÇAS
MANY OF THE MAJOR T2 INTERNATIONAL
PLAYERS ARE PRESENT IN BRAZIL 1(2)
THE MAIN T2 SUPPLIERS
Borlen S/A
INA / FAG Proema ZF
SKF
DHB
Litens
GKN do Brasil
Kostal
Industriais Mangotex
Bosch
Parker Hannnfin
Schaeffler Brasil
Sifco
SKF
Takata Petri
Thyssenkrupp Metalurgica
Timken do Brasil
Valeo
Cofap – Magneti Marelli
24
Source: SINDIPEÇAS
MANY OF THE MAJOR T2 INTERNATIONAL
PLAYERS ARE PRESENT IN BRAZIL 2(2)
THE MAIN T2 SUPPLIERS
25
Source: SINDIPEÇAS
THE BRAZILIAN AUTOMOTIVE SUPPLIER
ASSEMBLY
Manufacturer PLANTS Business
Employees Location
Dana Albarus 4,200 Automotive systems and Gravataí (RS), Campo Largo (PR), Diadema, São
chassis components Bernardo do Campo, São Paulo, Sorocaba and
Taubaté (SP).
Main T1 and T2
Delphi 8,000 Electronic, transportation Itabirito (MG), Paraisopolis (MG), Espirito Santo
Suppliers
North
Northeas
t
Central
SoutheaE
a
s
South ts
t
Purchasing decisions
are made locally, but
strategic purchasing
decisions must be
approved by HQ outside 27
THE BRAZILIAN AUTOMOTIVE SUPPLIER INDUSTRY IS
A STRONG AND VERY COMPETITIVE MARKET
28
nterviews and analysis, Anfavea, SindiPeças -Association of Vehicle Component Manufacturers
CONTENT
Manufacturers
Suppliers
Recommendations
References
29
THE TURNOVER OF CONSTRUCTION AND MINING
MACHINES VARIES OVER THE YEARS
800
.3 %
70
700
600
500
400
300
200
100
0
01 02 03 04 05*
Year
Compactors
5% Crawler Dozers
15%
Moto Grader
unit 20%
20000
17,786 Backhoeoaders
16000 19%
4000
Hydraulic
Wheeled
0 Excavators
Loaders
12%
01 02 03 04 05 25%
Year
Crawlers Backhoe Wheel Loader Hydraulic Off high way TruckMotor grade Compactors
(2,681) (3,421) (4,527) (2,060) (715) (3,579) (803)
6 5 5 3 5 3
3
manufacturer manufacturers manufacturer manufacturers manufacturer manufacturer manufacturer
AGCO Caterpillar
s s s s s
Caterpillar Case
Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar
Case New Holland
New Case Random Case Ingersoll*
New Holland Komatsu
Holland New Volvo New Dynapac
Random Volvo
Komatsu Holland Holland Ciber
JCB Bobcat* * Imported Brands
Komatsu Komatsu
Volvo Volvo
32
urce: DEEE/ ABIMAQ
MOST OF THE COMPANIES PURCHASE DECISION ARE
MADE LOCALLY
33
rce: STC interviews
SOUTHEAST REGION IS THE MAIN CONSTRUCTION
EQUIPMENT CENTER
Map of Brazil
Manufacturers
Suppliers
Recommendations
References
35
CONSTRUCTION EQUIPMENT SUPPLIERS
- many of the international suppliers are present
in Brazil
THE MAIN CONSTRUCTION EQUIPMENT SUPPLIERS
Propulsion
Electrical Steel
and running Hydraulics Accessories
systems construction
gear
Cables, sensors, Power train, engines, Undercarriage and All kind of Other components
semi conductors, exhaust systems, axlesbody hydraulic ThyssenKrupp
control units Johnson Controls
ZF cylinders Pilkington
Kabel Lear
Getrag ThyssenKrupp
Webasto
Quantiun Behru
LuK Parker
SiemensVDO SiemensVDO
Bosch Webasto
Bosch
Bosch
Viscont Visteon Hidrover
Delphi
Deutz Soprano
36
SINDIPEÇAS -Association of Vehicle Component Manufacturers
THE BRAZILIAN CONSTRUCTION EQUIPMENT
SUPPLIER ASSEMBLY PLANTS
Manufactur Employees Business Location
er
Siemens VDO 1,200 Electronic systems Guarulhos (SP), Salto (SP), Gravataí
(RS), Resende (RJ), Manas (AM)
Bosh 11,000 Machined components and modules 2 Campinas (SP), Barueri (SP),
Main Construction and
for engines, transmissions and chassis Curitiba (PR) and Aratú (BA)
Equipment Suppliers
Visteon 2,061 Climatization, audio and electronics Camaçari (BA), Manaus (AM),
components Guarulhos (SP)
ThyssenKrupp 3,200 Body & Chassis and powertrain Campo Limpo Paulista (SP) and Santa
components Luzia (MG)
Map of Brazil
North
Northeas
t
Central
SoutheaE
a
s
South ts
t Purchasing decisions
are made locally, but
strategic purchasing
decisions must be
approved by foreign HQ
38
THE BRAZILIAN CONSTRUCTION EQUIPMENT
INDUSTRY IS A HUGE MARKET
Market
Recommendations
References
40
STC IS THE RIGHT PARTNER FOR SWEDISH
COMPANIES TO DO BUSINESS WITH THE BRAZILIAN
AUTOMOTIVE INDUSTRY
Country
specific
Do a thorough analysis of the market - how to enter and work on it, plus costs and legal issues. Find the right partners.
1.
Industry
specific Make sure you reach your most important customers – be close to where they are located. The country is big
and the OEM plants are spread out
1.
All OEM´s strive for as much local content as possible: If possible produce some part of the product in
2. Brazil
Develop a strategic plan for establishing a proper local company to reduce import costs, reduce costs and to be
3. close to the customers
41
Source: STC
CONTENT
Recommendations
References
42
HOW CAN STC IN BRAZIL SUPPORT COMPANIES
TO DO BUSINESS IN BRAZIL
Country
specific
Market STC performs research that can be smaller market check up to big market analyses. Examples are identifying market size, find potential
Market customers, how to enter the market, competitor analyses and legal and cost issues
Research
Partner STC searches, identifies and evaluates potential partners for example: Distributors, Representatives, Suppliers and Contracts Manufactures. The
Project normally starts with market check
search
Visiting STC sets up visiting programs with companies, institutes, authorities, supports with languages,
Program cultural understanding and advises the company on business issues
Pre
STC analyses and scans potential acquisition targets from smaller company analyses to complete due diligence
Acquisition
analysis
Business Support Office (BSO), where STC Brazil provides a variety of services for Swedish companies to support business activities. Examples are
company registration, administration of the subsidiary, infrastructure such as office space, and consultancy
BSO
STC provides referral to reputable law firms or experienced lawyers with expertise on the subject matter, when needed. Among examples are assistance with contracts/agreements, trademarks, patents, and incorporation.
Legal
43
STC HAS HELPED NUMEROUS SWEDISH COMPANIES
TO DO BUSINESS WITH THE BRAZILIAN
AUTOMOTIVE INDUSTRY
- some of them are:
COMPANY PROFILE
44
STC OPENED UP SUBSIDIARY AND PRODUCTION
FACILITIES FOR THULE IN BRAZIL
Goal
Thule had sales in Brazil through a distributor but wanted to increase
market of rooftop boxes in Latin America.
Results
• Production on Brazil of rooftop boxes and increase sales volume in
Latin America of these products.
45
STC PARTICIPATED IN ALL THE STEP REGARDING
THE ESTABLISHMENT IN BRAZIL OF