Experience, Technical Expertise a Formidable Combination

Q: How has Paulo Heat performed in the aerospace industry over the past year? 

A: Paulo Heat experienced significant growth in the aerospace industry over the past year, particularly in our Cleveland, Ohio plant. Paulo specializes in special processes, such as heat treatment and surface finishing in our six plants in North America. We follow the trajectory of OEM volume and demand. We noticed a significant increase in demand after the pandemic, with a strong recovery over the past two years. The accumulated workload nearly exceeded our capacity in 2023, but recently we have observed a more stable and predictable volume; we also added capacity in preparation for future projects.

We are optimistic about the second half of 2024, which shows strong demand, especially in commercial aviation programs and new EV platforms. We expect significant growth in 2025 and beyond for Paulo, which could even reach double digits. 

Q: Which of Paulo’s processes has the highest demand among its clients?

A: Paulo’s portfolio includes a wide range of processes in about 100 different categories. The one in higher demand in Mexico is ferritic nitrocarburizing (FNC), an innovative, cost-effective, and highly efficient process for protecting components against corrosion and wear. FNC is one of our flagship processes. Following closely is vacuum heat treatment. These two processes dominate our clients' preferences for their critical components.

Q: What made Paulo Heat one of the most specialized companies in metal surface treatment, especially in such a demanding industry like aerospace?

A: The first key element behind our growth is our technical specialization. We have a robust corporate department for R&D and metallurgical engineering, staffed with highly trained experts boasting impressive credentials. Our teams at plant level include individuals with strong academic backgrounds and field experience. We actively participate in numerous committees and are members of various technical associations where innovation and regulatory matters are discussed. The talent and knowledge at Paulo Heat surpass those of our competitors.

The second element behind our success is experience. Paulo has been in the market for more than 80 years, allowing us to learn and master both technical processes and administrative aspects. This enables us to solve problems for our clients, which remain loyal to our solutions and improvements. The combination of experience and technical expertise makes us formidable in the industry.

Q: How does Paulo Heat address and resolve customer needs? 

A: Typically, the customer comes to us with rigid and inflexible technical requirements. Our direct customer is the manufacturer, who presents us with a project, a drawing, and specifications. We analyze these and provide a quote accordingly, but also suggest innovative processes or technologies that may not have been considered during the part's initial design.

It is not easy to deviate from an established process, but with our knowledge of key OEM standards and the committees that design specifications, we can suggest changes that enhance performance. To achieve this, we maintain close communication and provide personalized service, conducting one-on-one follow thru. Our technical sales team, knowledgeable in metallurgy, speaks the same language as our clients, facilitating effective communication and understanding.

Q: How is Paulo Heat innovating in metal surface treatments, considering new composite materials, alloys, and technologies like metal 3D printing?

A: We have a dedicated innovation team actively working on these fronts. For example, we have an Engineering team focused on additive manufacturing solutions. We have partnerships with universities in the United States and are engaged in a prototyping phase to enhance this technology.

Paulo engaged in metal 3D printing technology years ago. Post-printing, metals need to be heat and pressure treated to achieve specific properties, an area where Paulo has been proactive. We have a specialized group in the United States collaborating with universities and clients on these confidential programs, and we expect to publish results from these studies soon.

Q: What new products and services have emerged from these innovation efforts? 

A: We have been closely collaborating with customers in the electromobility sector. We have collaborative work initiatives to improve surface finish for brake friction systems, which applies to both automotive and aerospace industries. Our focus is on friction and brake systems applicable for both cars and airplanes.

We are gathering historical data and applying AI to predict future outcomes and optimize parameters in our equipment, aiming for energy savings and reducing our carbon footprint. We aim to apply processes as efficiently as possible, minimizing energy impact and improving efficiency. These equipment setups typically involve electric or gas combustion furnaces.

Q: What other sustainability initiatives or projects is the company launching to achieve a greener industry?

A: We have several initiatives focused on sustainability across all plants. One major initiative revolves around chemical surface treatments, which historically require significant water usage. We are innovating with systems for capturing, recirculating, and reusing wastewater across various plants. While we already comply with emissions and water usage regulations, we aim to further reduce our water consumption. We are implementing advanced filtration and neutralization systems not only to meet legal requirements but also out of ecological awareness. This is an ongoing project, but we are committed to reducing our environmental impact and promoting more sustainable practices in our processes.

Q: How is Paulo Heat adapting technologies like the Internet of Things or machine learning?

A: We are advancing in automation and improving our processes. We are exploring the use of robots in certain processes, with prototypes aimed at automating lines and assisting our staff in reducing physical effort. 

We have implemented a centralized network for monitoring all our furnaces as part of our Industry 4.0 initiative. We are adapting our legacy equipment to new technologies that are increasingly lean, wireless, and centralized. Paulo has developed software that enables real-time monitoring of all furnace equipment and parameters. This system can be accessed from remote devices and provides early alerts, allowing timely adjustment of parameters to avoid energy waste and optimize performance. These ongoing automation and digital unification of information projects are crucial parts of our technological modernization strategy.

Q: How have you managed the automation and digitization of legacy equipment in these extreme heat conditions?

A: It has been a significant challenge. Sensors, thermocouples, cables, and data collection equipment are exposed to substantial heat sources, putting hardware under considerable stress. However, we have found solutions with certain technology partners to ensure the heat is not a limiting factor. 

Our team works continuously in high-temperature conditions, and we have implemented technologies and equipment that can withstand these extreme environments. We have successfully integrated sensors and data collection systems that operate effectively in this setting, enabling us to progress in our automation and digitization efforts without compromising the quality or safety of our processes.

Q: How has Paulo Heat contributed to improving the space and aerospace industries? 

A: Paulo is a key link in the supply chain for propulsion engines in commercial aircraft, providing final finishing to next-generation turbine blades, particularly in our Cleveland plant. Many of these engines are for high-volume aircraft from well-known EU and US companies. These opportunities reflect our commitment to innovation and technological advancement in the aerospace sector. We aim to contribute our specialized processes to enhance both space exploration and advances in aerospace technology.

Our central R&D group also focuses on space and telecommunications applications for the future. While the footprint is still modest compared to our established market projects, we are dedicated to exploring and expanding our presence in these emerging sectors.

Q: What is Paulo Heat’s next major goal in innovation or processes?

A: We will likely expand the use of equipment that supports additive manufacturing, which is in its early stages, exploring the combination of additive manufacturing with Hot Isostatic Pressing (HIP). Another goal is the modernization of our furnaces toward more energy-efficient technologies, such as hybrid furnaces that combine electric and combustion systems. We are working to improve the efficiency of our thermal processes through these furnace innovations.

Q: What are the company’s main plans for 2024?

A: During 2024, we will continue advancing our innovation projects, which are expected to deliver positive results within three to five years. We are in the experimentation and optimization stages. We expect to gradually incorporate our projects into regular production over the coming years. This requires new certifications and approvals, which can be a complex process.

These changes can take a long time, reflecting our commitment to sustainable and efficient innovation at Paulo.

 

Paulo specializes in metal surface treatment and thermal processing, ensuring precision and repeatability through its unique "datagineering" approach. Serving critical industries like aerospace and automotive, among others, it provides innovative solutions backed by engineering and metallurgy expertise, playing a decisive role in advancing metal treatment technology and quality control.