Joint venture for LiuGong and ZF

LiuGong and ZF are intensifying their cooperation by building a new joint venture axle company in Liuzhou. Called ZF Liuzhou Axle, the new company will produce wheel loader axles that are specially tailored for the requirements of the Chinese market. By 2018 some 190 employees will be working at Liuzhou Axle. Since 1995, ZF and LiuGong have been operating a joint venture company in Liuzhou, a major industrial city in the south of China. The two parties have now decided to further intensify their cooperation
November 27, 2012 Read time: 2 mins

LiuGong and ZF are intensifying their cooperation by building a new joint venture axle company in Liuzhou. Called ZF Liuzhou Axle, the new company will produce wheel loader axles that are specially tailored for the requirements of the Chinese market. By 2018 some 190 employees will be working at Liuzhou Axle.

Since 1995, 2304 ZF and 269 LiuGong have been operating a joint venture company in Liuzhou, a major industrial city in the south of China. The two parties have now decided to further intensify their cooperation. The new joint venture will be established in the same location. The joint venture will strengthen ZF’s activities in China. “During the past years, the country has experienced a rapid development of construction machinery,” explained Dr Stefan Sommer, CEO of ZF. “More than half of the world’s wheel loaders are produced in China. A considerable amount of machines are also being exported abroad from there. The impressive export rate, in particular, represents a big challenge since it frequently leads to market fluctuations. With the new joint venture company, ZF will continue its growth in China.”

Wang Xiao Hua, chairman of LiuGong, also said, “The new venture will benefit from the many successful years of cooperation already between LiuGong and ZF and by further extending this beneficial cooperation, we will continue to set many things in motion on the fiercely competitive construction machinery market.”

A team of engineers from ZF Headquarters, LiuGong and ZF China have been working together to upgrade the existing axle models for LiuGong wheel loaders since October 2011,” said Hermann Beck, head of the ZF Business Unit Off-Highway Systems. “These joint efforts brought about a modular axle concept which, besides the standard version with dry disc brake, offers the possibility to supply a new, even more sophisticated solution with wet multi-disc brake using a large portion of common parts.”
Engines, Components & Tyres

For more information on companies in this article

Related Content

  • International Growth for Liugong with European expansion plans
    November 26, 2012
    LiuGong is one of China’s longest established construction equipment firms – Mike Woof reports Based in Liuzhou, LiuGong is one of China’s longest established construction equipment manufacturers and the company dates back to the 1950s. This large and successful firm has grown both organically and by acquisition and its most recent strategic purchase has been for the Polish HSW company making the Dressta range of bulldozers. This plant forms a key part of LiuGong’s international growth plans and will be use
    Read More
  • LiuGong embraces Industry 4.0
    November 27, 2018
    LiuGong chairman Zeng Guang’an says that the firm is fully embracing Industry 4.0 technology. Coupled with ongoing machine development, an expanding global sales and manufacturing network and long-established strong relationships with customers and suppliers, this is enabling the Chinese construction equipment giant to target RMB 50 billion (US$7.18bn) operating revenue by 2025. Chairman Zeng outlined the impressive scale of LiuGong’s future ambitions during an impassioned speech in front of an audi
    Read More
  • 50 years of driveline technology
    May 14, 2012
    ZF has celebrated 50 years of developing and producing driveline technology and axle systems for construction machinery at its location in Passau, Germany. The company is also celebrating two world premieres: ZF cPower, a continuously variable construction machinery transmission, and ZF Ergopower Hybrid.
    Read More
  • LiuGong is investing in product development and manufacturing
    October 11, 2013
    LiuGong has been investing heavily in manufacturing and product development, as well as building international distribution – vice president David Beatenbough spoke with Mike Woof One of Chinese leading producers of wheeled loaders, LiuGong has an increasingly international flavour. The company has perhaps a larger contingent of North American and European executives and employees working in China than most of its competitors in the country.
    Read More

Highlighted Content