Thyssenkrupp announced it has combined its forging and machining activities and its undercarriage businesses at several North American locations, including facilities in Puebla, to form one of the largest forging companies in the world.
The new business, Thyssenkrupp Forged Technologies, began operations October 1, with about 7,000 employees at 18 production sites in North and South America, Europe, India and China and a broad distribution network in more than 70 countries. The business operates more than 50 forging presses worldwide with more than US$ 1.17 billion in sales.
The North American locations that are part of the global integration are Thyssenkrupp’s undercarriage businesses in Waukesha, Wisconsin; Kilgore, Texas and Puyallup, Washington, and Thyssenkrupp’s machining and forging businesses in Indiana, and Puebla, Mexico.
Kellie Harris, director of media relations for Thyssenkrupp, called the integration of businesses “a positive” for the communities where the Forged Technologies facilities are located. “It will allow us to make local products with local vendors and open up some additional opportunities. We’ll be able to create new innovations and customize our products,” she said.
Thyssenkrupp’s headquarters in Essen, Germany, manages the business side of Forged Technologies.
“By combining our forging activities, we are positioning Thyssenkrupp’s components business to achieve further profitable growth. Central management of our worldwide production network will enable us to use our facilities more efficiently and align them even more closely to customer requirements. ... We also aim to develop new products for new industries and markets,” Karsten Kroos, CEO of Thyssenkrupp’s components business area, said in a press release.
“In the future, we want to reduce our dependency on previous applications, such as the traditional internal combustion engine for which we still produce a large part of our forged components,” he added.
Combining the businesses will enable Thyssenkrupp to further expand its existing product portfolio, which includes forged and machined components and systems for the automotive, construction, mining and agricultural sectors as well as general mechanical engineering. The company sees promising applications in raw materials mining, energy generation, the mobility sector and medical engineering.
The new company group holds a leading market position in crankshafts and in construction machinery components for the construction, mining and agricultural sectors.
“In recent years our product portfolio for the automotive segment has shifted toward chassis technology. Engine components now account for only 20% of our sales. By developing new forged products for new markets and customers, we aim to reduce this share even further in the future and tap into growth potential in the industrial components business,” Kroos said.