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As part of the ongoing separation of its Automotive business, SKF is consolidating its manufacturing footprint in Americas to strengthen the long-term efficiency and competitiveness. The factory in Monterrey, Mexico, will become redundant and manufacturing capacity will be relocated to strengthen SKF's Automotive operation in Puebla as well as its Industrial operation in La Silla, also located in the Monterrey area.

The Monterrey factory was originally established as a shared factory for both Industrial and Automotive, and to support a forecasted increase in demand for electric vehicles (EV) in the Americas. Following the decision to separate the businesses, combined with the lower than anticipated EV growth, the Monterrey facility exceeds the operational requirements of each individual business. The new manufacturing set-up aims to become more efficient and competitive, while having the capabilities to meet future increased electrification demand.

The relocation will cause redundancies of around 390 roles at the Monterrey site, while around 100 new positions will be created at the Puebla and La Silla sites. The cost for the consolidation of approximately BSEK 0.5 will be charged in Q2 and is part of full-year 2026 guidance for Items affecting comparability.

Source：PR Newswire