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Japan Seiko plans to start production of low-cost automotive bearing products in South Korea

April 16, 2023

According to the "Nikkei Shimbun" report, Japan Seiko plans to begin production of high-precision bearings for automotive transmissions in South Korea next year. Its production costs at Korean factories are only equivalent to 80% of Japan's domestic production costs.


Prior to Seiko Japan, the company mainly produced bearing products at its Japan Aitama plant because of the high demand for steel products and processing techniques for producing these products. Later, the company started to use lower-priced steel products in China through technology research and development. Bearing products, the quality of these products can be comparable to bearing products from Japanese factories.


Japan Seiko predicts that by 2019, the global demand for automotive transmission systems will increase by at least 30%.


The automobile production of local auto companies in Japan and South Korea is continuously increasing. Japan Seiko is expected to obtain 3 billion yen in this business in 2015 by supplying high-precision bearing products with lower production costs to Japanese and Korean local automakers. Million U.S. dollars in operating income.



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