Caterpillar (NYSE:CAT) recently announced it'll be acquiring the 15.9 percent stake of Xuzhou Construction Machinery Group in their joint venture Caterpillar Xuzhou Ltd., and after a period of expansion, will increase excavator manufacturing capacity by five-fold by 2014.
The two companies, which had been in the joint venture since 1995, didn't reveal any of the terms of the deal.
“In the next few years, we expect China to continue to invest heavily across the country in a wide range of infrastructure improvements,” Rich Lavin, Caterpillar group president with responsibility for emerging markets, said. “It is critical for Caterpillar and its dealer network to continue investing in China.”
The new plant, which had a groundbreaking ceremony on Tuesday, will manufacture larger excavators than they have been there.
No comments:
Post a Comment