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

  • XCMG develops overseas presence
    April 29, 2015
    Chinese construction equipment manufacturer XCMG is in the process of developing its operations outside of its home market, in a bid to strengthen its international profile XCMG recently won a large export order of 80 machines to the Middle East, which will raise the profile of the brand in this market. The deal is significant for XCMG as it gives the company a stronger foothold and greater brand recognition in the Middle East, helping with its plans to develop exports. The machine order includes an a
    Read More
  • The new agile world of the construction equipment industry
    June 22, 2015
    while worldwide for 2015 a crystalball would be helpful, in Europe the sector has already listed specific priorities it wants to tackle, and among these are the upcoming emissions regulations (see separate story), external trade and access to foreign markets, and market surveillance.
    Read More
  • Innovative fuel injection reduces emissions
    February 24, 2012
    Stricter emissions legislation mean that new engine technology and integrated drivetrain systems are being developed. With the Tier 3/Stage IIIA emissions legislation now in place in North America and Europe, the major engine manufacturers already have an array of solutions on the market. The coming Tier 4 interim/Stage IIIB legislation will be tougher still and most firms are well in hand with their plans to use both in-cylinder and exhaust after-treatment technology. While engines themselves are staying b
    Read More
  • A bridge of hope?
    July 18, 2012
    As Russia prepares for a major Asia Pacific conference in nearly four years' time, the economic climate is felt in other countries in the region. Patrick Smith reports AUS$1 billion-plus suspension bridge is to be built to link the city of Vladivostok in the far east of Russia and Russky Island. Russia's President Dmitry Medvedev has signed an instruction for construction of the 3,150m long bridge, which is intended to provide access to the 24th Asia Pacific Economic Cooperation (APEC) summit, to be held o
    Read More

Highlighted Content