Tag Archives: China

DEUTZ to supply SANY with China emission-compliant engines

DEUTZ has entered a joint venture agreement with SANY that will see the Germany-based company take over production of the China construction equipment manufacturer’s current engine range.

DEUTZ says it will be investing a mid-double digit million euro amount in the new joint venture and will hold a majority share of 51%. The closing of the transaction is expected by the end of the year. This agreement follows a memorandum of understanding the two companies signed in December last year (pictured).

The JV is aimed at supplying SANY with around 75,000 new engines in 2022, all of which will comply with the China IV emissions standard for off-road applications and China 6 for on-road applications, DEUTZ said.

“In addition to the successful conclusion of the joint venture deal with SANY, other elements of the international growth strategy are also going to plan in China,” DEUTZ said.

These include the strategic alliance with BEINEI to carry out production locally, with the DEUTZ management team overseeing the manufacture of about 20,000 engines for the Asia market in 2022 at a new factory in Tianjin, China. The ramp-up is set for 2020, when around 2,000 to 3,000 engines are to be produced, DEUTZ said.

“Further progress has also been achieved in the partnership between DEUTZ and FAR EAST HORIZON to expand the local service business,” DEUTZ said. “With more than 80 branches, FAR EAST HORIZON is the largest player in China’s construction equipment rental business and the ideal partner to meet the growing demand for innovative engines. DEUTZ customers will soon be able to benefit from digital services such as a shared online shop.”

DEUTZ CEO, Dr Frank Hiller, said: “The joint venture agreement marks an important milestone in the implementation of our new China strategy. We are now ideally positioned to take advantage of the rapid growth in the world’s largest individual market for engines.

“The alliances with our local partners will enable us to significantly increase our local presence for engines and we now have access to an attractive production network that will enable us to efficiently meet customer demand in the region. We can also tap into an extensive service network that we will systematically enhance with digital solutions. In an initial stage, we aim to achieve revenue of around €500 million ($550 million) by 2022.”

DEUTZ said the Chinese engines market has grown steadily in recent years and the uptrend is set to continue for some years to come. “Growth of up to 5% is forecast in China’s construction equipment application segment in 2019, while in material handling it is set to be up to 10%.”

Xinhai adds management and operation services to EPC mining mix

Xinhai Mining Technology & Equipment is expanding its turnkey mineral processing plant solutions in order to help manage and operate the projects it helps construct for mining clients, it said.

Xinhai has proposed a mineral processing EPC+M+O (engineering, procurement, construction and management and operation) service as part of this plan, which, it says, “can provide clients a complete mineral processing turnkey service to solve all the problems about mine management and operation”.

“Specifically, Xinhai mineral processing EPC+M+O service is a customised service through the actual condition of plant,” the company said.

Xinhai said it found that many clients were in urgent need of services including mining engineering before the dressing plant, construction engineering, tailings pond management, and even the plant management and operation. Therefore, this new service was proposed to solve such problems.

“So far, Xinhai accomplished over 2,000 mine design, research and equipment supply projects, over 500 EPC+M+O service around the world, and exported products to over 90 countries and districts,” it said.

“Briefly, Xinhai EPC+M+O service contains every single link of modern mine cooperation construction. The essence of EPC+M+O service is to consider each link of mineral processing project service in a more comprehensive and detailed way.”

thyssenkrupp wins gyratory crusher order for Julong copper mine in China

thyssenkrupp Industrial Solutions says it has won an order to supply two sets of gyratory crushers to the Julong copper mine, in China, an operation situated at an altitude of over 5,000 meters above sea level.

“Once again, it shows our solutions and engineering capabilities are able to work under the toughest environmental conditions,” the company said.

thyssenkrupp will support the second phase of the productivity expansion and reconstruction project of the mine, which is operated by Western Mining Group.

The company says it has also recently made progress on two other fronts: First, winning an order to supply two sets of bi-direction drum reclaimers to be used in a “transaction centre” of iron ore in Hebei, China, and, second, witnessing the successful delivery of steel parts for the Hesteel Laoting project.

Dana builds out China electrification capabilities

Dana has added five facilities in China since the start of 2019 as it looks to strengthen the company’s capabilities for electrification and hybridisation across several markets, including the off-highway sector, throughout the region.

The expansion is the result of Dana’s recent acquisition of the SME Group, as well as the Drive Systems segment of Oerlikon Group, including the Graziano and Fairfield brands, Dana said.

The added facilities expand Dana’s engineering, manufacturing, testing, and aftermarket service in China, and are located in:

  • Shanghai, which engineers and manufactures SME AC electric motors, inverters, controllers, and accessories;
  • Changshu, which produces planetary gear reducers for e-Drives;
  • Baoding, which will make e-Axles for new energy buses, and;
  • Suzhou, one which produces city bus axles; and a second that produces drives, axles, and gears primarily for off-highway mobile equipment and industrial machinery.

Dana’s footprint in China now encompasses more than 6,750 employees at 23 operations, including those in which Dana holds an interest.

Jim Kamsickas, President and CEO of Dana, said: “Dana has been operating in China for more than 25 years and we see a strong opportunity to accelerate our growth in the Asia-Pacific region.

The addition of these facilities shows how Dana will continue to invest in expanding our capabilities for vehicle manufacturers in China – especially for those that are bolstering their electrification initiatives.”

Solar power up and floating at former coal mine in Anhui, China

China state-owned developer CECEP has completed a 70 MWp floating solar plant on a former coal mining area, in Anhui Province, China, following tests and monitoring, according to the company that supplied the plant.

France-based Ciel & Terre said the floating photovoltaic (PV) plant will mainly aim to improve the energy structure in the province and quality of the environment on site. Constructor China Energy Conservation Solar Technology Co and the engineering procurement and construction contractor China Energy Engineering Group Shanxi Electric Power Design Institute Co contributed to the build, the biggest floating solar plant in the world.

To connect the 70 MWp floating PV power generation project to the national grid, a brand new 18-km-long 110 V overhead line was built to optimise the transport of electricity.

Ciel & Terre said: “Behind the installation of this complex is the will to improve the energy structure of Anhui Province as well as the ecological environment quality of the Lianghuai mining subsidence area.

“In the meantime, the initiative enables the promotion of the development of the ‘floatovoltaic’ technology, which also preserves water bodies. It prevents them from algae proliferation and oxidation, and even conserves water sources by reducing evaporation.”

The floating solar plant covers an area of 1.4 km² and is expected to generate up to 77,693 MWh in its first year, according to Ciel & Terre. This represents the electricity consumption of some 20,910 households.

“Within 25 years, the solar farm should generate around 1.94 million MWh,” the company said, saying the project adds to another 32 MWp GCL floating PV plant it supplied in Anhui.

Headed by CECEP, the complex was built using the tried-and-tested Hydrelio® technology designed by Ciel & Terre.
Ciel & Terre said: “CECEP chose Ciel & Terre for this major project for three complementary main reasons: the 13-year experience of the company in the field, the broad portfolio of 140 projects worldwide and the characteristic reliability and bankability of the Hydrelio system.”

Through this technical system, the company contributed to the Chinese National Energy Agency’s aim to “bolster energy infrastructure and environmental quality”, Ciel & Terre said.

Central inverters integrating medium voltage transformers have been used on this project – they stand on the water and not on the banks – while concrete poles support the electrical installation.

The anchorage system was designed and installed under the supervision of Ciel & Terre China, a subsidiary of the French company. Overall, 1,500 helical anchors were used for the project and buried from 8-m to 15 m-depth to fit the configuration of the site.

BQE Water moves a step closer to first SART application in China

BQE Water has signed agreements with two of the top 10 gold producers in China to complete engineering feasibility studies to integrate the sulphidisation, acidification, recycling and thickening (SART) process and modernise cyanide destruction and residue management at existing operations in Shandong Province.

These studies are being undertaken in response to advancing environmental regulations and to enable the processing of feedstock with elevated levels of cyanide soluble copper, BQE said.

The feasibility studies will see BQE Water, which focuses on management of mine wastewater and metallurgical bleed streams, complete metallurgical and wastewater treatability test work in China and develop a sufficient level of engineering to confirm overall project economics, construction budget and schedule for possible implementation, the company said.

BQE Water calls itself a global leader in the SART process, which enables cyanide consumed by base metals to be recovered and recycled, lowering the cost of gold extraction and reducing the environmental footprint of gold mining projects.

David Kratochvil, President and CEO of BQE Water, said: “There is no question these new contracts were enabled by the success of the water treatment plant we designed and commissioned last year at the nearby Guoda gold smelter. That project has made all the major metallurgical operations in Shandong Province take notice of our capabilities.”

Shandong Province is home to some of China’s top gold producers. In the region alone where BQE Water’s new Guoda water treatment plant recently began operation, there are over 12 metallurgical plants that focus on gold extraction and refining, according to BQE.

Songlin Ye, Vice President for Asia at BQE Water, added: “If these new projects move forward to implementation, we will be able to leverage our operations base at Guoda and our partnership with MWT, the Beijing based company with construction capabilities we formed a joint venture with for the Guoda project, to build what would be the first SART application in China and provide ongoing operations services to ensure performance excellence.”

Cyanide regulations around the world are advancing and target not only residual cyanide contained in wastewater and tailings produced by mining and metallurgical operations but also place strict limits for cyanidation and cyanide destruction by-products such as ammonia, cyanate, thiocyanate and nitrite, according to BQE.

“The goal is to ensure all discharges are non-toxic and do not cause impacts to the receiving environment. As such, proper cyanide management is key to the permitting of new projects and securing a social licence for gold producers.”

Metso breaks ground on new valve technology centre in China

Just over two months since announcing the decision to invest in a new greenfield valve technology centre in Jiaxing, China, Metso has officially broken ground on the plant.

The centre will start operations in spring 2020 and serve the local and global markets, according to the company.

Kevin Tinsley, Senior Vice President for Valve Operations at Metso, said this week at the groundbreaking ceremony: “This is an exciting day for both Metso and our valve customers in various process industries globally – we are investing in improving service and delivery capabilities for them. China is an extremely significant market for our valve business, and the new technology centre will have a strong role.”

The new location is designed for a total of 400 valve technology employees, and the focus is on producing high-volume standard products and parts for all Metso’s valve plants. Metso’s technology centre in the Waigaoqiao Free Trade Zone in Shanghai is continuing its operations, with a focus on highly engineered products, the company said.

Metso has valve technology or production centres in several locations around the world including China, North America, Brazil, Germany, Finland, South Korea and India. The company employs more than 1,100 people at seven locations in China, serving all customer industries.

LiuGong achieves wheel loader milestone as it celebrates 60th anniversary

LiuGong celebrated its 60th Anniversary at a ceremony in LiuGong International Industrial Park in Liuzhou, Guangxi, China, today, at the same time as heralding the production of its 400,000th wheel loader.

Attendees at the event included domestic and overseas customers, distributors, suppliers, government officials, shareholders, and stakeholders who have worked with LiuGong throughout its 60 years.

LiuGong, in addition, said the milestone wheel loader achievement was made through the “unremitting efforts and proactive technological innovation of all LiuGong people in the past six decades”.

“This is a milestone worthy of celebration in the history of LiuGong,” it said.

At the same time as all of these celebrations, the company debuted at the ceremony six new products including a 990F excavator, B170DL bulldozer, S935 sugarcane harvester, TC800C5 crane, 4180D motor grader and 886H loader.

Six decades of history

Established in 1958, LiuGong not only pioneered the production of loaders, it also laid a solid foundation for the technology, talent cultivation and management for the development of the construction equipment (CE) industry in China, the company said.

In 1958, Shanghai Huadong Steel Factory allocated some employees and pieces of equipment to Liuzhou, Guangxi, to facilitate the economic development in southwest China. In a wilderness on the west bank of Liujiang River, they built a factory from nothing.

In 1966, LiuGong rolled out the first wheel loader accredited by China, which opened a new chapter in the company’s development. In 1993, LiuGong began trading on the Shenzhen Stock Exchange and became the first listed company of the CE industry and Guangxi. Since 2000, LiuGong has been looking beyond its loader business and working on cross-regional operations and expansion of its product lines. So far, LiuGong has 32 complete product lines in six categories to meet customer demands of various applications as well as extreme operations.

In April 2002, LiuGong successfully produced 899 loaders in one month, which was known as ‘899 Campaign’, a huge leap of production at that time.

“Taking this opportunity, the company launched its reform towards becoming a modern company. Afterwards, its Board of Directors promoted to build an ‘open and globalised’ LiuGong, boarding the fast lane for the company’s globalisation, which was shown in its fast growth of overseas revenues,” the company said.

“Backed by its historical legacies, LiuGong has developed the core values of “customer oriented, assuring the future by quality; people foremost, create value through cooperation”, striving to build an international brand that leads China’s machinery industry.”

Along with China’s entry into the World Trade Organisation, LiuGong started to build its eastern bases and added multiple product lines into its portfolio. In 2003, LiuGong developed its first overseas distributor in Morocco, north Africa, and started its globalisation. LiuGong has been building its global presence of 10 overseas subsidiaries, nine overseas regional parts distribution centres and more than 300 distributors in over 100 countries. All LiuGong products and customers are supported by five R&D centres worldwide.

In 2012, by the acquisition of civil construction machinery segment of HSW in Poland, the company laid a solid foundation for export of China’s proprietary technology and products to the European Union. Today, LiuGong produces its products in China, India, Poland, and Brazil.

Also, LiuGong India Company and LiuGong Dressta Machinery have been awarded the ‘Best Foreign Investor’, ‘Model Enterprise for China-India Cooperation’, and the ‘Best Employer’ by local governments.

As the “Belt and Road” initiative continues to advance, LiuGong has expanded its footprint to 85% of the countries among the 65 key countries along the route. Its products participated in many major projects along the belt such as the Pakistan PKM Motorway, China-Laos Railway, and Jakarta-Bandung Railway.

In 2008, LiuGong set up SinoEver Financial Leasing Company in Beijing, becoming the “pioneer company in manufacturer leasing” and LiuGong entered the crane business by acquiring Zhengchonganli Engineering Machinery Company in Bengbu.

In 2010, LiuGong acquired Liuzhou OVM, a world leader of pre-stressing products and technology, and started the construction of an eastern manufacturing base for excavators in Changzhou. In 2011, LiuGong bought into the piling foundation industry by holding shares of Jintai, China’s leading brand in piling machinery, and opened a JV with Cummins in Liuzhou.

In 2012, LiuGong opened its hydraulic company and, in 2013, LiuGong and Metso started a joint venture to produce mobile mining crushers and grinding mills, while the company took over an air compressor business in Liuzhou.

In 2016, LiuGong entered the modern agricultural equipment sector when the Luzhai plant, with world-class technologies, was put into operation. And, in 2018, LiuGong started forward with producing intelligent manufacturing systems, mining machinery, forestry machinery, and aerial work platforms.

R&D

“LiuGong has never stopped investing in R&D even during the most difficult years. In 2015, LiuGong launched National Earthmoving Machinery Engineering Research Centre and LiuGong Global R&D Centre, making LiuGong the only national demonstration base for technological innovation and industrialisation of earthmoving machines.

“A total of 19 product lines at LiuGong have been upgraded and 18 new products have hit the market, including a range of machinery for sugarcane planting, heavy-duty mining excavators and loaders, mining trucks, large dual-wheel cutters, smart manufacturing system, and mobile compressors.

“LiuGong has evolved to be a global provider of total solutions. In 2016, LiuGong presented the world’s first vertical lift wheel loader. And, the new generation products of H-series loaders, E-series excavators, D-series rollers and motor graders, and C-series forklifts now are available all over the world and have been contributing more and more in sales revenue.

“A custom designed torque convertor was independently developed and manufactured for LiuGong’s 8128H with many innovative technologies and approaches; and the hydraulic grab by Shanghai Jintai is among the best of its kind globally.”

In the past five years, LiuGong, OVM and Jintai had numerous achievements in R&D, including three National First and Second Prizes for Progress in Science and Technology, and 14 ministerial and provincial-level science and technology awards. LiuGong also participated in drafting of industry standards, both for international and domestic markets, making its own voice heard in the industry.

“Today, with more than 1,000 engineers and a continuous investment in R&D, LiuGong comes up with an outpouring of products with cutting-edge technologies,” the company said.

“Over the past six decades, LiuGong has kept a close bond with its customers, distributors, suppliers, shareholders, and other stakeholders to weather through difficulties and share success together.

“During industry downturns, LiuGong took a series of quick actions like capacity adjustment, organisational reform, team optimisation, cost control, sustained input into technological innovation and product development internally and optimise the marketing channels externally. As a result, distributers, direct subsidiaries and joint ventures have become new drivers of our rapid growth in China.

“As the economy warms up, the excavator business becomes our growth pillar with the highest revenue and profit and LiuGong has significantly improved market competitiveness on a global level.”

Aiming for 100

LiuGong says it is committed to providing extraordinary construction machinery products and services to customers around the world.

“Our endeavour of developing first-class advanced technologies is a valuable asset to LiuGong’s ambition to be a century-old enterprise in the world.

“Sixty years is but a brief moment for LiuGong, who is setting sail on its next journey. Amid the national reforms and industry transformation, LiuGong will adhere to a ‘Total Globalisation, Total Solution, and Total Intelligence’ approach with greater intelligence, courage, and passion.

“Standing at not only a historic stage but as at a turning point for the company, LiuGong will insist on SOE (state-owned enterprises) reform and development; insist on focusing on customer service; insist on innovation and independent R&D; insist on building a dynamic and motivated team to continue to write a new chapter for the company.

“And, in the future, we will continuously provide products and services tailored for local market; we will outdo ourselves in branding, manufacturing, R&D and marketing and strive for continuous progress; we will take on the mission of revitalising the CE industry in China.”

The company concluded: “The one who digs deep will someday leap high and become a legend. Guided by our mission and vision, LiuGong will usher in a new era with much greater confidence and look forward to a centurial business.”

Rio signs up three Chinese EPC contractors for Oyu Tolgoi power plan

Rio Tinto has entered into agreements with three Chinese EPC contractors that could potentially solve the company’s domestic power challenge at its majority-owned Oyu Tolgoi copper-gold operation in Mongolia.

The three state-owned contractors – China Machinery Engineering Corp, Harbin Electric International Co Ltd and Power Construction Corp of China – have been asked to submit a bid for the engineering, design and construction of a power station.

“The agreement entered into with each bidder provides that, where a bidder submits a conforming bid and it is not accepted by Oyu Tolgoi LLC, Oyu Tolgoi LLC will pay $500,000 to that bidder to offset the costs of preparing that bid and the early engineering and design work packs,” Rio, which has a 33.5% indirect ownership interest in the limited company, said.

In its June quarter results, released earlier this week, Rio said Oyu Tolgoi LLC was “progressing studies and preparations for suitable power solutions and continues to discuss the provision of domestic power with the Government of Mongolia”.

Earlier in the year, the Southern Region Power Sector Co-operation Agreement, under which Oyu Tolgoi was committed to working with the Government of Mongolia on a Tavan Tolgoi Independent Power Provider project, was cancelled.

The government gave the company four years, from February 2018, to find a domestic power supply for the operation.