XUZHOU, Jiangsu – Weichai Power and Xugong Construction Machinery Group (XCMG) signed a strategic cooperation framework agreement here on September 22, according to a Weichai Power press release.
Under the agreement, the two companies will cooperate in areas including capital, marketing, R&D, and overseas market exploitation.
Weichai Power has been supplying engines to XCMG’s loading machinery and road surfacing machinery for more than 20 years, while XCMG has been providing its products to Weichai Power’s subsidiaries including Hande Axle, Fast Gear and Shaanxi Auto.
The strategic cooperation will promote Weichai Power to focus more on construction machinery, buses, and agricultural equipment and will also upgrade XCMG’s transmission technology in energy saving and emissions reduction.
“We have maintained a good cooperative relationship with Weichai Power for many years, no matter in products or in marketing. We believe that the cooperation between the two national brands will make a difference in the Chinese equipment manufacturing industry,” said Wang Min, chairman of XCMG.