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23 April 2015

Shantui has major plans for the European market

First publishedINTERMAT
Daily News
Day 4
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Shantui SD16-3 dozer
The hydrostatic SD10YE and SD16-3 dozers are Shantui's key offerings in Europe
Chinese firm Shantui sees Europe and the US as key markets where it can develop its sales presence. Vice president of Shandong Shantui Construction is Zhu Zhi and he said, “We need to upgrade our engines and develop new machines for this market.”

As part of its expansion into Europe, the company is also looking to further develop its dealer network and service support. At present the hydrostatic SD10YE and SD16-3 dozers are Shantui’s key offerings in Europe. But Zhu explained, “At the beginning of next year we will have seven machines for sale in Europe and the US. Of those seven machines, four will be bulldozers and three will be excavators. For all seven of those machines, we will have US-made Cummins diesels.”

He said that two of the models will feature hydrostatic drives, with power ratings of 74.6kW and 96.4kW, while the other two will have powershift drivelines and power outputs of 119kW and 164kW. The excavators meanwhile will be the 6tonne, 12tonne and 21tonne machines and he said, “…one mini, one midi and one large one.”

There is a clear logic in why these units have been selected and Zhu said, “We are good at the earthmoving market.” He added that getting the necessary certification for the road machines to allow them to be sold in Europe or the US and installing suitable engines would lower the profit margins, with strong competition making this a difficult segment to enter.

However, Shantui does have plans to introduce further machine models and he added, “Earthmoving is our first step and in two or three years if the market is growing we will have other machines.”

Another possible growth area will be for the parts business, an important part of Shantui’s operations in China. The firm supplies parts to users of its own machines, as well as supplying other major OEMs, including Komatsu and Volvo CE. The company has had interest from some US parts suppliers and Zhu said that the company may opt to develop this area in the future also.

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