Italy's GSI Group opening 3 plants in Brazil

By Bob Moser
Correspondent

Published: August 1, 2014 9:18 am ET
Updated: August 1, 2014 9:22 am ET

Image By: Global Systems International SpA Italy's Global Systems International SpA invested BRL35 million ($15.5 million) over the past year in three new production plants in Brazil.

Related to this story

Topics Automotive, Agricultural, Automotive parts

SÃO PAULO — Italy’s Global Systems International SpA, a producer of assembled plastic parts for machinery and vehicle manufacturers, has invested BRL35 million ($15.5 million) over the past year in three new production plants in Brazil, with all opening in September to serve growing demand in Brazil and Argentina, the company’s commercial manager told Plastics News.

GSI, which has operations in England, Germany, China and the United States, entered the Brazilian market in 2012 with a commercial office. The company closed a deal last year with Deere & Co. to produce external shields for its Andromeda line of agricultural machinery, prompting GSI to build three Brazilian plants in 12 months.

“We’re betting on Brazil because we see very important growth here in demand for heavy machinery, especially in the agribusiness market,” said Anderson Proença in a recent interview. “The technology with which we work doesn’t have many competitors here, so GSI sees this as a major growth opportunity.”

The company’s main plant in Sete Lagoas will have a 4,000-ton press for sheet molding compound parts, which Proença said is the largest machine of its kind in Latin America. The other two plants, in Curitiba and Horizontina, will focus on paint and assembly.

The three plants feature a combined 50,000 square feet of operating space. Production capacity will total 1,000 tons per year, with scheduled expansion to 2,000 tons by 2016.

The company expects its local production to supply Brazil and Argentina initially, with plans to add a plant in Argentina as soon as 2016. The company is considering two more plants in Brazil, Proença said.

GSI projects 2015 sales of BRL20 million ($8.9 million), rising to BRL34 million ($15.1 million) in 2016.

Of the BRL35 million ($15.5 million) invested, part was from the GSI parent company in Italy and part from Brazilian private investors, which Proença declined to name. Another BRL5 million ($2.2 million) will be invested in the plants over the next 12 months.

GSI Group produces a variety of transformed plastics auto parts for clients worldwide like Case IH, New Holland and Deere in agricultural machinery, as well as automotive and truck manufacturers including Volkswagen, Audi and BMW.


Comments

Italy's GSI Group opening 3 plants in Brazil

By Bob Moser
Correspondent

Published: August 1, 2014 9:18 am ET
Updated: August 1, 2014 9:22 am ET

Post Your Comments


Back to story


More stories

Image

Lund adds to aftermarket auto products portfolio with buy of Bushwacker

January 29, 2015 2:49 pm ET

Lund International Inc. has expanded its portfolio of plastic aftermarket vehicle accessories by acquiring Bushwacker Inc.    More

Image

Plastics News Now: Losing weight with style, plastics in the Dragons' Den

January 29, 2015 6:00 am ET

A 19-year-old entrepreneur brings business to a U.K. injection molder after winning support on TV's Dragons' Den, auto suppliers combine...    More

Image

Plastics help Volt hit new target

January 28, 2015 1:54 pm ET

The 2016 Volt, unveiled at the North American International Auto Show in Detroit in January, features a sportier exterior design — GM calls it...    More

Image

Bain buying TI Automotive

January 27, 2015 8:49 am ET

After months of speculation, Auburn Hills, Mich.-based TI Automotive Ltd. entered into an agreement Tuesday to be acquired by private equity firm...    More

Image

Auto industry on the hunt for new lightweight materials

January 26, 2015 4:03 pm ET

The auto industry is focusing on lightweighting, and this is igniting a race to find new materials that can meet ever-changing performance needs of th...    More

Market Reports

Plastics in Automotive: Innovation & Emerging Trends

This special report newly released by PN and sponsored by The Conair Group examines current trends in the use of plastics in automotive, materials innovations and the changing landscape. It includes a review of legislative/regulatory activity impacting vehicle development and lightweighting, market opportunities & challenges for mold and toolmakers, innovative design strategies being implemented by major OEMs and suppliers, as well as a review of key indicators in Canada, Mexico, Brazil and China.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molding Market Analysis & Processor Rankings

Plastics News BUNDLED package contains our in-depth Market Analysis of the Injection Molding segment. You will gain keen insight on current trends and our economic outlook.

As a BONUS this includes PN's updated 2014 database of North American Injection Molders RANKED by sales volume. Sort, merge, mail & prospect by end market, materials processed, region, # of plants and more.

Learn more

Upcoming Plastics News Events

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events