Weichai Continues to Contribute the Belt and Road Initiative

Date:2017-05-15 Source:www.chinsapv.com

www.chinatrucks.com: In 2016, it shows that Weichai generates a total of 44.38 billion in revenues in overseas market, nearly half (47.6%) of all income.

As part of Weichai’s European strategy, it invested in Kion to make a strategic reconstruction and its core capital Linde Hydraulic in 2012, following the acquiring of Moteurs Baudouin in 2009. While in North America, Weichai invested nearly 10 billion to acquire Dematic, a world leading intelligent in-house logistics company. Seen from Asia-Pacific market, Weichai had been expanding its footprints among countries along the Belt and Road routes as aftermarket parts have been already available in Iran, Russia and some Middle East Countries.

Weichai to Join the Belt and Road Initiative

“Weichai will continue its contribution to “Belt and Road” in such ways as trade export, technology export and localized production”, according to Dai Lixin. The trade export is the most direct way to go out and a mature business model Weichai develops, but currently, technology export is defined as a model the company wants to further improve. It is said that Weichai has achieved the technology export by CKD in countries including Ethiopia and Vietnam. In addition, the localized production is also a way in which Weichai participats in the “Silk and Road” initiative. The referential cases include the India Moshu engine plant put into use at the end of 2014 and Fast’s Thailand factory. In 2016, Weichai’s Indian plant has achieved a sales income of 27.76 million RMB and targets at a doubled sales income in 2017.

By 2016, Weichai has basically finished its international layout in main markets. It is gradually transforming from a heavy truck and engineering company centering around powertrain, whole vehicle and complete machine, to a global equipment manufacturer with core technologies in equipment manufacturing and system integration, engaging in businesses including powertrain, complete vehicle and whole vehicle, hydraulic control, intelligent logistics, and forklift as well as storage technological service both at home and abroad.