AGCO Power Reman offers parts with 0km performance and performance

Line of remanufactured engines contributes to the environment and reduces costs for producers who seek safety and guarantee of original factory items

Since the end of 2020, it has been possible to purchase remanufactured parts for agricultural equipment from AGCO Power Reman, a division created by AGCO, a world leader in the design, manufacture and distribution of agricultural equipment and solutions, to offer equipment replacement alternatives for the Massey Ferguson brands and Valtra, quickly, low-cost and sustainably.

The remanufacturing industry generates US$100 billion worldwide, according to ANRAP (National Association of Auto Parts Remanufacturers). In Brazil, the sector grows 10% per year and accounts for 50% of spare parts. Remanufacturing is a process in which previously used parts are recovered and returned in new condition. “The Reman engine is designed according to factory specifications, has the same guarantees as a new part, but at a 30% lower cost”, highlights André Rocha, sales and after-sales manager at AGCO Power for South America .

Used engines are disassembled down to the last screw and inspected. Parts that have suffered wear and tear are promptly exchanged and those that can be refurbished are remanufactured within AGCO Power, ensuring the same performance and performance as new items and avoiding disposal in the environment. The equipment undergoes all gas emission, torque and power tests, consumption efficiency, temperature pressure, rotation control, torque and acceleration.

“The solution reinforces AGCO’s concern with not only increasing the volume of machines in the field, but with adding value to the business through new features that benefit producers in their different needs”, says Breno Cavalcanti, business manager AGCO Power and Reman AGCO .

Remanufacturing is different from rectification. The rebuilt engine usually has some defect and is repaired only when it fails, which results in a shorter service life. The work is carried out in a mechanical workshop; and the warranty is, on average, six months. The remanufacturing process takes place in a factory environment, with specialized professionals, knowledge and technical know-how, offering a product with a longer useful life and a 12-month warranty, in addition to lower fuel consumption when compared to a rebuilt engine. “By choosing AGCO Reman, the customer knows that the process was carried out by the manufacturer itself, with original parts and under the same quality controls as a new product”, highlights Cavalcanti.

The AGCO Reman exchange process can also be carried out in very quick time frames. “If available at the distributor, the exchange can be completed in one day, minimizing machine downtime”, explains André Rocha. Payment through AGCO Finance, AGCO's factory bank, is another differentiator, offering the farmer flexible financing options. 

Since the launch of AGCO Reman, 40 units have already been sold and for 2021, the goal is to double sales volume. Billed at the AGCO After-Sales unit, based in Jundiaí, reman engines are another solution for replacing parts for the customer.

In Europe, remanufacturing is an established and very common practice in the heavy vehicle segment, such as trucks and agricultural machinery. AGCO has been remanufacturing engines for 25 years, serving machines from the 1970s to current models. “It is a global project, which has been working for many years in North America and Europe and is expected to grow in South America, Asia-Pacific and Africa”, highlights Cavalcanti.

The solution is aimed at machines with or without warranty, in addition to being an alternative for producers with little credit to renew the equipment. Currently, AGCO Reman is available for tractors and harvesters with mechanical engines, but the portfolio is expected to be expanded. For the future, the company is considering offering reman electronic engines and reman transmissions.

Remanufacturing also contributes to the environment. The process consumes around 85% less materials, energy and water than manufacturing new components. Remanufactured products reduce greenhouse gas emissions, increase recycling and boost sustainable development and job creation. “AGCO Power Reman is AGCO’s value proposition to contribute to the circular economy of reducing, renewing and reusing”, highlights Rocha.