SKF Secures €430 Million EIB Loan to Advance Green Technologies in Bearings and Seals

SKF Secures €430 Million EIB Loan to Advance Green Technologies in Bearings and Seals

(IN BRIEF) SKF has secured a €430 million loan from the European Investment Bank (EIB) to advance research, development, and innovation in bearings, seals, and lubrication systems across six European countries. The funding supports green technologies in sectors like renewable energy, electric mobility, and low-carbon solutions, including hydrogen systems and wind energy. The loan aligns with EU climate goals, such as Horizon Europe and REPowerEU, and aims to enhance efficiency in key applications like electric traction systems and wind turbine gearboxes. SKF’s CEO, Rickard Gustafson, emphasized the loan’s role in driving sustainable innovation and supporting Europe’s green transition.

(PRESS RELEASE) LUXEMBOURG, 22-Nov-2024 — /EuropaWire/ — The European Investment Bank (EIB) has approved a €430 million loan to SKF, a global leader in bearings, seals, and lubrication systems, to bolster research, development, and innovation (RDI) efforts aimed at supporting Europe’s transition to renewable energy and electric mobility. The funding will enable SKF to enhance technologies over the next four years at facilities in six European countries: Austria, France, Germany, Italy, the Netherlands, and Sweden.

SKF’s RDI activities will focus on critical green sectors, including electric traction for railways, wind energy, and low-carbon technologies such as hydrogen systems and heat pumps. The initiatives aim to improve efficiency and sustainability in these industries, supporting the EU’s environmental and climate-action objectives.

“This loan demonstrates our commitment to fostering innovation that drives the green transition,” stated EIB Vice-President Thomas Östros. “SKF’s advanced work in bearings and seals is pivotal for renewable energy and electric mobility, aligning perfectly with Europe’s vision for a sustainable future.”

The EIB loan aligns with EU priorities, such as Horizon Europe and the REPowerEU plan, designed to accelerate the shift from fossil fuels to renewable energy sources. Specific projects under the loan will include materials research, advanced manufacturing processes, and the digitalization of predictive technologies. Key areas of focus include reducing friction in electric traction systems and enhancing the efficiency of wind turbine gearboxes, which will contribute to longer maintenance intervals and greater energy savings.

Rickard Gustafson, President and CEO of SKF, emphasized the strategic importance of the loan: “This partnership with the EIB enables us to deliver intelligent and sustainable solutions that align with our strategy to create value in targeted markets. With this long-term financing, we’re reinforcing our commitment to innovation and supporting the global transition to a more sustainable future.”

The EIB’s support not only advances SKF’s technological innovation but also diversifies its funding sources. By providing a tailored, long-term financing structure, the EIB ensures the viability of SKF’s green projects while encouraging further investment from other financial institutions.

This collaboration positions SKF as a critical contributor to Europe’s sustainable transformation, reinforcing its role as a leader in advancing renewable energy and electric mobility technologies.

Background information

EIB Group

The EIB finances sound investments that contribute to EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing for over 900 projects in 2023. These commitments are expected to mobilise around €320 billion in investment, supporting 400 000 companies and 5.4 million jobs.

All projects financed by the EIB Group are in line with the Paris Climate Accord. The EIB Group does not fund investments in fossil fuels. We are on track to deliver on our commitment to support €1 trillion in climate and environmental sustainability investment in the decade to 2030, as pledged in our Climate Bank Roadmap. Over half of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.

The EIB Group signed nearly €3 billion in financing for 32 projects in Sweden last year, a record high, with more than three quarters of these commitments channelled to climate action and environmental sustainability investments. For more details about our projects in Sweden and their impact, please visit our country page for Sweden.

SKF

SKF is a world-leading provider of innovative solutions that help industries become more competitive and sustainable. By making products lighter, more efficient, longer lasting, and repairable, we help our customers improve their rotating equipment performance and reduce their environmental impact. Our offering around the rotating shaft includes bearings, seals, lubrication management, condition monitoring, and services. Founded in 1907, SKF is represented in approximately 130 countries and has around 17,000 distributor locations worldwide. Annual sales in 2023 were SEK 103,881 million and the number of employees was 40,396.

Media Contact:

Thomas Eriksson
t.eriksson@ext.eib.org

Press Office

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SOURCE: European Investment Bank