---

Automotive Industry Is Engine of Growth for U.S. Bearings Market

9 November 1999

Frost & Sullivan: Automotive Industry Is Engine of Growth for U.S. Bearings Market

    SAN ANTONIO, Nov. 8 -- Although the bearings market has been
stagnant, rebounding growth is around the corner.  The automotive industry in
particular is a promising avenue for development.
    In 1998, the U.S. bearings market generated $6.45 billion in revenues.
Frost & Sullivan's strategic study, U.S. Bearings Market, divides the market
into three segments:  ball bearings, roller bearings and plain bearings.  It
provides detailed market analysis for all three segments.
    The U.S. bearings market has been experiencing little growth because of a
severe reduction in demand for original equipment manufacturer (OEM) products
sold in Asia.  The Asian economic crisis has also influenced the U.S. bearings
industry by increasing competition as foreign manufacturers seek to benefit
from the strong U.S. market.  The automotive industry however, seems untouched
by the decline in the bearings market.
    Strong growth in the automotive industry is sustaining the market
according to Frost & Sullivan analyst Michael Rasche.  "A bright side to the
market has been extremely strong build rates from the automotive industry in
the U.S.  Passenger vehicles, light trucks and heavy trucks have experienced
double digit growth during 1998 and it has continued into the first half of
1999 and is expected to remain strong," says Rasche.
    Railroads, increased automation and a great demand for computers are also
contributing to maintaining growth in the bearings market.  Additionally, the
strong U.S. economy has provoked increased consumer spending, particularly
recreational and exercise equipment that employ bearings, and continues to
fuel growth.
    Frost & Sullivan present Market Engineering Leadership Awards to companies
that have made a positive contribution to the U.S. bearings market.
    The 1999 Market Engineering Leadership Award is given to SKF USA; the 1999
Market Engineering Customer Focus Award is presented to Timkin; and the 1999
Market Engineering Product Innovation Award goes to Neuman Microtechnologies
Inc.
    Frost & Sullivan is an international marketing consulting company that
monitors the U.S. bearings industry for market trends, market measurements and
strategies.  This ongoing research is utilized to update a series of research
publications such as #5742-17 U.S. Bearings Market and to support industry
participants with customized consulting needs.
    Visit the Frost & Sullivan web site:  http://www.frost.com .

    Report:  7065-17      Date:  September 1999      Price:  $3,450