Seinsa, manufacturer of brake, suspension and transmission systems for cars of 83 automobile brands such as Daimlier-Mercedes Benz, ZF-TRW or Valeo-FTE, belonging to the Azkaetxa group, in the hands of the Azcárate family, saw how the health crisis caused a drop in its turnover. A circumstance that meant the review of their objectives and caught them with the implementation of their 2021-2023 strategic plan. “Far from crumpling and seeing how the crisis was taking us away, we are looking for new markets and products to grow,” says Mikel Azcárate, director of strategy development at the company. A step forward that culminated in the creation of the Strategic Development and New Businesses department with which they want to grow 40% in the next three years over current billing. A turnover that in 2020 represented a box of 22.5 million euros.
A department created to seek new destinations and resume the strategic plan, which is developed around its factories in Eugi and Egués in Navarra but, above all, the factory in Chennai (India) that they inaugurated in 2005, and which meant a investment of 10 million. “We came to India because to be competitive we needed to manufacture in a low-cost country. Now we have invested in machinery and we have quadrupled production ”, explains Azcárate. An increase in the manufacture of parts that will boost its implementation in new markets such as Mexico. “For now we are going to establish ourselves there through alliances with local partners.” A jump that will serve as a springboard to reach the United States. “From here it is easier to approach a market that has a lot of potential”, confirms the manager.
Seinsa has 300 employees (210 in Spain and 90 in India) and exports 98% of its production to 85 countries, especially in central and eastern Europe, “where the brakes deteriorate a lot due to the cold.” Although it is a sales leader in Europe, it wants to continue growing in the old continent. For this, it has among its plans the launch of a new logistics base to distribute its products.
Despite its low turnover in the Spanish market, barely 2% of its sales, the new ideas development center resides here, for which it allocates 15% of its turnover to R + D + i. “In Spain we have few options to grow with our products, with a climate that does not damage the brakes”, smiles Azcárate. Even so, it seems that this situation could turn around due to the fall in the purchase of new vehicles, which has made the repair experience its moment of glory with positive effects on companies such as Seinsa. “The older a car gets, the more our repair kits are used and we have noticed. We had a growth forecast of 20% for the whole year and we have already exceeded this figure ”, concludes the Seinsa executive.