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LiuGong, Cummins, ZF Partnerships To Intensify

Posted on April 15, 2013

At a press conference to mark the progress of its technical partnerships with Cummins and ZF on wheel loaders, LiuGong Machinery Corp. Vice Chairman and President Zeng Guang’an indicated that much more would come in the next few years.

“Today, with the involvement of these world-class partners, LiuGong is one of the few manufacturers capable of manufacturing all major components for the whole machine,” said Zeng. He added that LiuGong’s eventual goal is to have Cummins as its exclusive supplier of engines for all LiuGong machines, with ZF as the exclusive supplier of axles and transmissions.

In 2011, LiuGong and Cummins established their engine joint venture and last month commenced production of the L9.3 diesels at the GCIC facility in Liuzhou City, China. The engine, specifically designed for the wheel loader application, meets China Tier 2 emissions standards and standards in other developing markets, up to EPA Tier 3. The Liuzhou City facility, which also manufactures 6.7 L diesels, has a production capacity of approximately 50,000 engines a year.

LiuGong’s joint venture with ZF began 18 years ago when  in 1995, LiuGong partnered with ZF to open a jointly owned factory in Liuzhou, with LiuGong holding 49% ownership. In 2012, the two partnered again in a second joint venture called ZF Liuzhou Axle Co. Ltd., focused on developing and producing construction machinery axles for the Chinese market. A factory in Liuzhou is under construction. By 2014, 3300 newly designed axles are scheduled to be delivered to the market and annual production volume is targeted to increase to more than 30,000 by 2018, ZF said.

 “To fulfill the commitments we have made to all of our markets, we looked for only the best partners and aligned with companies that share our commitment to excellence and strive to fulfill the needs and expectations of customers at every turn,” said Zeng. “With Cummins and ZF we believe we have found two of the best.”