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SKF adds to investment in Dalian

By Zhu Chengpei and Zhang Xiaomin (China Daily)
Updated: 2008-05-23 14:36

SKF, the world's leading bearing supplier, announced on Friday a new investment of 580 million yuan ($83 million) to the second phase of its Dalian factory in Northeast China's Liaoning province.

With a 25,000 sq m facility added its current 80,000 sq m factory, completion of the second phase project in 2009 is expected to double manufacturing capacity.

The new factory is to support continued business growth in China and other parts of Asia, especially in the areas of renewable energy, metalworking, mining, construction and industrial transmission industries, according to Tom Johnstone, president and CEO of Sweden-based SKF group.

As a leading global supplier in the areas of bearings, seals, mechatronics, services and lubrication systems, SKF is represented in more than 130 countries and has 15,000 distributors worldwide.

The Dalian factory mainly manufactures large and medium size bearings. It was planned to go through three phases as it was launched in March 2005.

"Reviewing the past three years since the company's establishment, the company's business develops fast, stable and healthy," said Sunny Chan, general manager of SKF (Dalian) Bearings and Precision Technologies Co Ltd.

The investment in the first phase of the Dalian factory was $20 million.

Johnstone said the group decided to accelerate the second step of the Dalian project because of "the strong demand of customers" and "strong performance of the facilities in Dalian".

Earlier this year, SKF Dalian won the SKF group's Excellence Award as well as the 2007 Dalian Preferred Employer Award.