UAB Panevėžio Aurida finished 2019 by finding new sales channels in strategically important Eastern European countries and by opening a company in Germany. The company, which produces compressors, machines parts, melts and casts aluminium and thermally treats parts, has expanded its assortment orientated to agricultural equipment, but also plans in the near future to produce more advanced models of compressors and to increase production efficiency.

Although the company has long years of production experience and reliable clients, the company constantly introduces innovative technology into its production processes. To remain competitive in the market, in 2019 the company expanded its assortment of compressors for the agricultural sector. The company also began to cooperate more closely with the Minsk Motor Plant (MMZ), and the first orders from MMZ were filled.

The compressor manufacturer occupies strong positions in Eastern Europe, but is now expanding its sales network into smaller regions. Deputy CEO Mantas Klupšas says, “We see a lot of potential for growth in the Western market, too. Starting in the third quarter of 2019, we began to operate more actively in the Western market, and we opened a company in Germany.” The company participates in international trade fairs, forums and conferences, seeking to expand its customer base.

One of the company’s exceptional features is its more than 60 years of manufacturing experience. As deputy CEO Mantas Klupšas says, “We are the only compressor factory in the Baltic countries and we are in the top 5 in the world, having such long experience and an extensive knowledge base.” Another of the company’s advantages is the highly-qualified personnel working in the factory. The deputy CEO is convinced that “thanks to a devoted staff which loves what it does, we are among the strongest compressor manufacturers, with an assortment of more than 50 compressor models.”

Most of the company’s production is exported to Ukraine, Russia, Belarus, Kazakhstan, Turkmenistan, Uzbekistan and other CIS countries. The company also has clients in Germany, Poland, Italy, Cuba and countries in Africa. Only about 1-2% of the company’s production is sold in Lithuania.

According to deputy CEO Klupšas, “The indisputable factors that have made us successful and which drive the company’s growth are our long years of experience, modern production equipment, highly-qualified staff and flexibility in manufacturing.”

The company has set important objectives: to deepen its know-how in the area of producing compressors for the agricultural sector, to expand its assortment of products, to increase production efficiency, to implement a modern enterprise resource planning system, to invest in new equipment, to expand production volume, to expand into the Western market and to establish cooperative relationships with large European manufacturers of commercial vehicles.

       

The launch of a modern manufacturing line using robots, a project to build three warehouses, selling to world-famous automotive industry brands and fast-growing sales: this is the non-photoshopped everyday reality of the Marijampolė-based company CIE LT Forge and its CEO, Darius Masionis.

Tell us about the greatest challenges the company faced in 2019. What successes can the company take pride in?

In 2018 and 2019, our greatest challenge was managing the increase in production. Production volume increased significantly, compared with that of several years ago. We had an especially large number of orders and new manufacturing projects. As production volume grew, we had to seriously focus on managing that process. Our sales grew and grew, and have tripled since 2016, from 14 million euro to 45 million euro! A new crankshaft-production line, into which we invested 10 million euro and which began operating in spring 2018, contributed a lot to our especially fast growth. The startup of the new production line allowed us to triple our production capacity. We encountered another challenge, too: lack of space for storing raw materials and finished product, so last year we started a warehouse-expansion project and new construction. We can take pride in another production line modernisation project using robots, which we carried out in 2019.

What makes your company different from other companies with a similar profile?

We can offer the client a finished product, performing all necessary operations, from forging to machining. All of the parts we produce (crankshafts and parts for engines, transmissions and trucks) end up in the vehicles of world-famous manufacturers, including Audi, Renault, Fiat, Volkswagen, Skoda, Scania, Porsche and others.

What factors do you think are behind the growth of the company?

A major influence is the fact that we belong to CIE Automotive, a global group of companies having its own know-how.

We use Lean manufacturing principles in the company, and the Lean method helps us find ways to more effectively manage all our production processes. We have been working with the Lean method for several years and we invest in improving our efficiency.

What portion of production do you export? What portion stays in Lithuania?

Everything we make is exported, nothing stays in Lithuania. We work only with mass and serial production of automotive components. We have long-term contracts. Unfortunately, there simply aren’t any clients in Lithuania.

In what countries are your main partners/clients?

Our main clients are in Germany, Hungary and Poland. We also supply product to clients in Austria, Czechia, Romania, France, Italy, Sweden, the United Kingdom, Mexico and the USA.

What are the most important objectives for the company in 2020?

This year, we are concentrating on finishing the strategic projects we have already started: the construction of three warehouses and the modernisation of another production line using robots. We also plan to continue implementing Lean principles. In 2020, we plan to concentrate more on developing opportunities in IT and on social accountability.

In 2019, the sheet-metal pressing, welding and cutting company Nitator-SLT diversified part of its production and began to orientate toward providing specialised services to industrial companies in Lithuania. Although 99% of the company’s production goes to Sweden, the company does not intend to remain focused just on the Swedish market. The company is actively searching for new growth opportunities. The 20% growth in Nitator-SLT’s profit is proof of that.

One of Nitator-SLT’s main activities is supply of sheet-metal components to clients with especially demanding requirements for quality, environmental responsibility and delivery precision. The company manufactures and supplies parts to clients including Scania, Volvo Trucks, Volvo CE, Volvo Cars, Renault and Nolato.

CEO Liutauras Variakojis explains that in 2019, it was especially important for the company to diversify its manufacturing capacity. In the last year, the focus was on the search for and realization in new areas of operation. He says that the company is open to actively cooperating with companies in the Baltic Automotive Components Cluster (BACC) as well as other companies operating in Lithuania. At present, specialised cutting (shearing) and welding works are performed at the factory for companies lacking such specialised equipment for order fulfilment.

As one excellent example of such cooperation, the CEO mentions Utena-based Elameta, which belongs to the BACC. Powder coating of parts produced by Nitator-SLT is performed at the company in Utena.

As one of the distinctive features of Nitator-SLT, Variakojis draws attention to the production of hose clamps, using specialised stainless steel with rounded edges. The hose clamps are made for Volvo and Renault trucks.

Asked if employees are hard to find, the CEO says that “the Biržai area was always an agricultural region, so there are plenty of qualified employees capable of working with welding, cutting (shearing) and other specialised equipment. Employees are loyal to the company, with some having worked at the company for 15 years. For its part, the company encourages all-round employee involvement in the company’s operations.”

In 2020, the company has set the goal of remaining profitable and focusing not only on the automotive industry, but also supplying even more specialised services to clients and achieving maximal productivity.

About the company’s headquarters in Sweden. Since 1983, Nitator has been a family-owned business. The company seeks not only to preserve its roots in responsibility and tradition, but also to make use of the most up-to-date production technology available. Nitator has grown rapidly since it began to focus on contract production for the automotive industry. In Lithuania, the Nitator-SLT unit was established in 2005. The quality of its products and services is especially important to the company, as it seeks to satisfy the needs of some of the most demanding clients in the world. Nitator management emphasises the responsible attitude of employees to the highest standard of quality throughout the production process, the purpose of which is to avoid even the smallest of manufacturing defects.

Happy to participate at the CEE Automotive Forum 2019 in Budapest. Latest data, forecast, trends and challenges, which face the automotive industry in Europe and globally. Baltic Automotive Components Cluster (BACC) has fruitful and interesting meetings with OEM and TIER1 representatives.

 

Over 960 Automotive members has Society of Motor Manufacturers and Traders (SMMT) in the UK! Opportunities, Supply Chain, Networking and Investments were the topics of a very interesting discussion regarding co-operation between SMMT and Baltic Automotive Components Cluster (BACC).

Big thanks Ruta Aisthorpe, the Deputy Head of SMMT for professional input and hospitality!

Baltic Automotive Components Cluster (BACC) Executive Director Darius Lasionis with the Vice-minister of Economy and Innovation Dr. Marius Skuodis, Lithuanian commercial attache in Germany Sarune Sableviciene and Head of Business Development in Germany of Invest Lithuania Arnoldas Dapkus had more than 10 high-level meetings with the world global automotive players in 2 days at IAA2019.

Big thanks for meeting us: MAHLE, SCHAEFFLER, BROSE GROUP, ZF GROUP, LEOPOLD KOSTAL, WEBASTO, MAGNA INTERNATIONAL EUROPE, DELPHI TECHNOLOGIES.

The automotive is undergoing a profound transformation and digital transformation is fundamentally reshaping the automotive industry.

Lithuanian automotive industry is rising and takes a more and more important role in the automotive supply chain, especially in cooperation with German OEM, TIER1 companies.

MAGNA Supplier´s Day in Lithuania, Vilnius, will take place on 30th of May, 2018, 8:00–17:00 pm, Novotel Vilnius Centre Hotel, Gedimino av. 16.

MAGNA is a global automotive supplier with 335 manufacturing operations and 96 product development, engineering and sales centres in 28 countries. They have over 168,000 employees focused on delivering superior value to the customers through innovative processes and World Class Manufacturing.

Each participating company will have max 30 minutes on disposal for presentation and questions to the representatives of MAGNA. Companies will introduce their samples and marketing materials. The form of the event is speed-dating, following a strict agenda with specific meeting times.

Language of the event – English.

BACC together with government agency Invest Lithuania and with over 250 delegates attended one of the largest automotive event in the 12-country CEE region.

OEMs, T1 and T2 suppliers, as well as solutions providers al gather in Prague each year for 2 days of news and networking.

This year Invest Lithuania at a forum session “EUROPEAN TRENDS & CEE REGION – forecasts, policies and investments” presented opportunities doing business in Lithuania and encouraged expand operations in our country.

Trend is expected that both suppliers and manufacturers already operating in CEE are more likely to consider a new location either nearby their current CEE location, or to one of the other countries in the region.

Last week Baltic automotive components cluster (BACC) and startup “Rubedo sistemos” participated in AUDI innovation scouting event which was held in Riga.

Startup Rubedo sistemos presented 2 products/services they are currently working on: Carefree Mirrors and Rubedo CVM. There were very interesting and exciting.

More information about products:

  • Carefree Mirrors – depth sense technology application in human driver operated cars which automatically adjusts side mirrors based on the estimated 3D position of driver’s eyes.
  • Rubedo CVM – stand-alone depth sense and 3D perception system based on passive stereoscopic vision. The system addresses mobile robot navigation needs in outdoor environment and is capable of natural object identification and their spatial properties estimation in real-time.

We hope Rubedo sistemos will be selected for further discussion rounds with Audi and VW group.

Baltic Automotive Components Cluster (BACC) and two members of BACC CIE LT Forge and Hi-steel participated in the international trade fair “Global Automotive Components and Suppliers Expo”, Stuttgart, on 20, 21, 22 of June.  During the fair companies met existing and new potential clients, signed new NDA’s and started a new collaboration.