HERZOGENAURACH (dpa-AFX) - Franconian supplier Schaeffler is venturing into aerospace technology as part of its strategy to reduce its reliance on the automotive industry. Schaeffler is set to manufacture highly complex reaction wheels for satellites for the U.S.-listed company Spire Global. These components are essential for maintaining a satellite's trajectory and orientation in orbit. Spire is scheduled to open a production facility in Munich in 2025.

250 million euros in revenue over five years

Spire is expected to become the first major client for Schaeffler's aerospace ambitions. 'We will, of course, remain open to other interested parties,' Schaeffler CEO Klaus Rosenfeld told the Deutsche Presse-Agentur. The partnership with Spire is projected to generate a revenue volume of 250 million euros over the next five years.

'We share a long-term vision with Schaeffler for an independent European space industry that is developed, built, and operated within Europe itself,' said Theresa Condor, CEO of Spire Global. The objective is to establish a more autonomous and reliable European industrial base capable of achieving the speed and scale required by modern space missions.

Reducing automotive dependency

Rosenfeld has been working for some time to diversify Schaeffler's portfolio and mitigate the supplier's exposure to the weakening automotive sector. Recently, Schaeffler announced its entry into the humanoid robotics market as well as the defense industry. To this end, a dedicated defense subsidiary was established in the defense hub of Munich, where aerospace activities will now also be centralized. 'We are serious about these sectors,' Rosenfeld stated.

Schaeffler's production focus remains centered on the automotive industry, where it supplies vehicle manufacturers with components such as powertrain systems. However, due to domestic and international headwinds in the sector, growth in traditional fields has recently stalled. In the first quarter, Schaeffler only recorded growth within its e-mobility division./dm/DP/jha