Capital Equipment News July 2016

CONSTRUCTION

WACKER NEUSON plans to open new factory in China

Start of a partnership: from left: Cem Peksaglam (CEO Wacker Neuson SE) and Yongbiao Qian (Vice Mayor of Pinghu City).

W acker Neuson will further extend its production capabilities in Asia and strengthen its local presence in China with the construction of a new pro- duction plant in Pinghu, about 30 km from Shanghai. Cem Peksaglam, the chief exec- utive officer of Wacker Neuson SE, recently signed the corresponding contracts. “We decided on the Pinghu location in Zhejiang Province as it best fulfills our re- quirements, and the support of the local authorities has been outstanding,” says Cem Peksaglam. “We are continuing our strategy of internationalisation and with this step into the largest construction machine market, we underline our commitment to our Chinese customers and trading partners.” The strategically favorable position, between the cities of Shanghai and Hangzhou, as well as a good infrastructure are key advantages of the new location. Manufacturing facilities, research and development, quality manage- ment, logistics, service and training will be located on approximately 135 000 m² of ground with approximately 30 000 m² of

building space. Construction is planned to start towards the end 2016, with completion slated by the end of 2017. At first, compact excavators will be produced for the local market and further products will follow. It is planned that the first compact excavator should roll off the production line at the be- ginning of 2018. The Wacker Neuson Group has sold con- struction equipment in China for over 20 years. The product portfolio for the Chinese market was extended in 2015 to include compact equipment. An increasing need for improved infrastructure and the extension and modernisation of the road and rail net- work while trending towards more efficient and environmentally friendly compact con- struction equipment, offers attractive growth opportunities for the Wacker Neuson Group. A stronger presence in the country, including R&D and production will lay the groundwork for being part of future growth and improve- ments in the Asia-Pacific region. Initially the Chinese and later the Asian markets will be served with products tailored to local re- quirements. b

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CAPITAL EQUIPMENT NEWS JULY 2016