Back to Brazil

In June, Senior Editor Derek Korn attended the Feimafe trade show in Sao Paulo, Brazil for the third time. This year’s show took place June 3 to 8 at the Anhembi Exhibition Pavilion, attracting more than 68,000 attendees and 1,466 exhibitors of machine tool and manufacturing equipment. The show is organized by Reed Exhibitions Alcantara Machado, and Derek was the guest of Brazil Machinery Solutions (BMS). BMS is the branding face of a joint project between ABIMAQ (the Brazilian Agency for Exports and Investments Promotion) and APEX (the Brazilian Agency for Exports and Investments Promotion). The goal of BMS is to improve awareness of Brazilian industrial equipment manufacturers in key foreign markets including the United States.

This year’s show featured a more palpable international feel. Nearly half of the exhibitors are based outside of Brazil. In fact, AMT—The Association For Manufacturing Technology participated again with its AMT/USA pavilion. This pavilion featured 19 U.S. exhibitors showcasing technologies included grinding, waterjet cutting, tooling, turning, milling, forming and more. In addition, AMT announced that it has opened its AMT Sao Paulo Technology Center, located in the city of Sorocaba. The Technology Center will enable AMT members to establish operations within Brazil to build relationships and explore the market’s potential. Services include sales and marketing assistance for reaching customers in Brazil; HR tools such as employee proxy hiring for sales, service, and engineering positions; office space for customer and prospect meetings; field service support for equipment in Brazil; and in-depth assistance for navigating Brazilian business practices. AMT has similar operations in Monterrey, Mexico; Shanghai, China; and Chennai, India.

Brazil’s industrial economy has seen significant expansion in recent years, and the country has seen a period of sustained growth. The Brazilian government has implemented policies to expand its openness as a global trading partner, and its focus on increased exports has strengthened its manufacturing industry. “As U.S. manufacturing technology builders look to build global relationships, Brazil is a market of growing importance and a critical place for AMT members to establish a presence,” said Douglas K. Woods, AMT president. “We look forward to providing our members with a place to take some of their first steps into this market, and we are excited to see the possibilities that will come within Brazil.”

That said, the country’s strong currency makes it difficult for Brazilian machine tool builders to competitively export their products. In addition, they are facing greater competition in their home market from imports. According to Gardner Business Media’s “2013 World Machine Tool Output and Consumption Survey,” Brazil ranks 8^th in worldwide machine tool consumption (up from 9^th in last year’s survey) but dropped to 17th in machine tool production: Output by Brazilian machine tool builders fell 28 percent in 2012. With consumption remaining high and domestic output lower, it’s clear that Brazilian manufacturers are importing more of its machine tools than in the past. Regardless, Brazilian machine tool builders continue to refine their machine designs to realize improved performance and capabilities. Click here to see a slideshow of new Brazilian machine tool and related equipment on display at this year’s show.

Feimafe, visit feimafe.com.br/en.