Shandong Heavy Industries Group to accelerate overseas expansion
by Jennifer Chen
JINAN, Shandong – “Shandong Heavy Industries Group aims to achieve sales revenue of ¥200 billion ($31.75 billion) in 2015 with overseas sales taking up one-third of the total and tries to become a member of the top 500 enterprises,” said Tan Xuguang, chairman of Shandong Heavy Industries Group, at the company’s overseas strategic agent conference on June 18.
Almost 200 agents from 60 countries around the globe attended the conference.
Founded on June 18, 2009, Shangdong Heavy Industries Group is a state-owned enterprise jointly established by Weichai Holding Group Co., Ltd., Shandong Engineering Machinery Group Co., Ltd. and Shandong Automobile Industry Group. The group currently has six subsidiary companies and four listed companies, namely Weichai Power (2338HK/000338SZ), Weichai Heavy-Duty Machinery (000880SZ), Yaxing Bus (600213SH) and Shantui Machinery (000680SZ). Production and sales of Weichai high-speed engines, Shantui bulldozers and Fast heavy-duty transmissions all topped the world in respective segments. With total assets of ¥94 billion, the group posted sales revenue of ¥122.5 billion with ¥8.6 billion profits in 2011, according to the company.
“The group has set up plants in East Europe, Southeast Asia, South Asia and South America and plans to establish 5-10 overseas plants by 2015,” introduced Tan.
Up to date, Shandong Heavy Industries Group has set up 50 overseas agents and 200 service centers in Russia, Iran, Vietnam, Brazil, South Africa and India. The group also registered brands such as Weichai Power and Shantui Construction Machinery in more than 150 countries and built technical centers in North America, France and Italy, said Tan.
“Shandong Heavy Industries Group will set up 100 overseas agents and 300 overseas authorized service centers by 2015,” said Tan. The group will insist on the localization and export and will launch product lines tailored for overseas market, he added.