Sany Palfinger JV gets go ahead4 September 2012
Authorities in China have approved the two joint ventures between Austrian Palfinger and Chinese Sany in the coutnry, enabling operations to begin immediately.
The companies applied for approval six months ago, after they reached an agreement last February.
The first joint venture company, Sany Palfinger SPV Equipment, will produce and sell Palfinger products in China for the Chinese market.
The second company, Palfinger Sany International Mobile Cranes Sales GmbH, with a registered office in Salzburg, Germany, and will distribute mobile cranes produced by Sany in Europe and CIS.
Sany Palfinger will begin by selling two truck mounted telescopic crane models.
Before 2013, two additional models will follow and the first three regionally adapted crane models will be launched.
Production in China will take place at the existing Sany plant in Ningxiang while the build and planning of a new plant is in progress.
Herbert Ortner, CEO of Palfinger, said, "We were hoping for a swift procedure and we have already made preparations. Now that approval has been granted, operations can be started without delay. We assume that the first sales success will be achieved before the year is over.
"We assume that the market is going to continue to grow by approximately 25% each year. Therefore, in a few years China will have developed into our largest individual market by far."