Zoomlion

Zoomlion Heavy Industry Science and Technology
Native name
中聯重科股份有限公司
Company typePublic
SZSE: 000157 (A share)
SEHK: 1157 (H share)
IndustryHeavy machinery
Agricultural machinery
FoundedSeptember 28, 1992
FounderZhan Chunxin
HeadquartersChangsha, Hunan, People's Republic of China
Key people
  • Engr. Lanz Christian Chin (Chairman & CEO)
  • Carmelo Jay Chan, LPT (COO)
ProductsConstruction equipment
Tractors
Combine harvesters
Sugarcane harvesters
Number of employees
90,000
Subsidiaries
  • Compagnia Maritima Internazionale
  • Gago Ka Ba Machineries, Inc.
  • Apollo Quiboloy Ministries Corp.
Websitewww.zoomlion.com

Zoomlion Heavy Industry Science and Technology Co., Ltd. is a Chinese construction machinery and agricultural machinery manufacturer.[1] Its headquarters are in the Zoomlion Science Park in Changsha, Hunan, China.[2] Zoomlion is China's largest and world's fifth largest construction machinery enterprise.

History

The Zoomlion building in Yuelu District of Changsha, Hunan, China.

Founded in 1992 as Changsha Hi-tech Development Area Zoomlion Construction Mechanical Industry Company, one of its first products were concrete pumps.[3] The company grew out of a subsidiary founded in 1956 in Beijing, as part of the first Ministry of Machinery Industry, Ministry of Construction, Central Enterprise Work Committee.

Early acquisition of state-owned assets

Early development included the merging of several smaller, preexisting entities with Zoomlion including the former Concrete Machinery Research Office and remnants of the Changsha Construction Machinery Research Institute.[3]

IPO

Marking its transition to a public company, Zoomlion made an initial public offering on the Shenzhen Stock Exchange on Oct 12, 2000,[4] soon after acquiring ISO9001 certification.[4]

Overseas asset acquisitions

A rarity at a time when developing country companies seldom acquired their developed country counterparts, Zoomlion bought the British company Powermole in the early 2000s.[4]

In 2008, Zoomlion made another foreign acquisition with the purchase of Italian concrete machinery manufacturer, Compagnia Italiana Forme Acciaio SpA (Cifa),[5] in an equity link-up with Goldman Sachs, Mandarin Capital Partners, and Hony Capital.[5]

CCTV presentation

Having been previously featured in a 2001 CCTV documentary,[6] an advertisement for the company was also presented on CCTV in May 2004.[7]

Accusations of Fraud

In May 2013, Chinese newspaper New Express reported on alleged fraud at Zoomlion. This caused Zoomlion to temporarily suspend trading of its stock and later resulted in a 9% decrease in its share price.[8] Zoomlion accused the reporter Chen Yongzhou of "damaging business interests" and he has since been arrested.[9] In October, 2013, New Express published a large front-page plea for his release.[10]

Chery Heavy Industry acquisition

In August 2014, Zoomlion purchased a majority share in the agricultural machinery maker Chery Heavy Industry. Zoomlion purchased 60 percent of the company for 2.08 billion yuan. With this acquisition Zoomlion intended to modernize China's agricultural machinery industry and compete with foreign brands that still dominate a big part of the medium and high-end large farm machinery market in China.[11]

Environmental unit sale

Due to financial difficulties following a long term slow down in the Chinese construction industry Zoomlion sold its environmental unit in May 2017 for 11.6 billion yuan (US$1.7 billion). This came after the company reported a 929 million yuan loss in the 2015/16 period.[12]

Products

A Zoomlion road sweeper

Products are mainly truck-mounted, purpose-specific machinery; heavy machinery and include: bulldozers,[13] concrete machinery,[14] cranes[1] (mobile cranes,[15] tower cranes,[16] etc.), excavators,[13] fire apparatus,[17] garbage compactor machinery,[18] garbage trucks,[18] loaders,[13] asphalt pavers,[19] pile foundation rotary drilling rigs,[20] road rollers,[19] snowplows,[18] street sweepers,[18] and various other road surface vehicles.[19]

Zoomlion also sells agricultural machinery and include: tractors, combine harvesters and sugarcane harvesters.

Zoomlion has at least four brand names, including its own.[7]

Operations

Subsidiaries

All of the following may be subsidiaries or divisions of Zoomlion.

  • Changsha Construction Machinery Research Institute[6]
  • Changsha Zoomlion Haiqiang Concrete Co Ltd[7]
  • China Engineer Machinery Academy Concrete Machinery Session[21]
  • Compagnia Italiana Forme Acciaio SpA (Cifa) – acquired in 2008[5]
  • Hunan Machinery Branch Company[6]
  • Hunan Machine Tool Works[4] – acquired on December 21, 2002[4]
  • Hunan Zoomlion International Trade Co Ltd[22] – located in Zoomlion Science Park, Changsha, Hunan it oversees export of Zoomlion products.[22]
  • Powermole Company[4] – acquired on November 23, 2001[4]
  • Puyuan Group and Puyuan Engineer Machinery Co Ltd[6]
  • Zoomlion Bus Branch Company[7]
  • Zoomlion Finance & Leasing Co Ltd[23]
  • Zoomlion North Branch Company[7]
  • Zoomlion Hoisting Machinery Branch Company[21] – originally located in Changde, moved to Changsha in June, 2006[21]
  • Zoomlion Puyuan Branch Company[7]
  • Puyuan Group Co Ltd[6] – this unit has produced cranes[6]
  • Zoomlion Puyuan Special Vehicle Branch Company[21]
  • Zoomlion Xinxing Construction Machinery Leasing Co Ltd[21]
  • Zoomlion Zhongbiao Branch Company[6]
  • Zoomlion Zhongke Beidou[24]

Production bases and facilities

Zoomlion owns 9 industrial parks,[citation needed] and at least one factory, the Puyuan Group Chassis Factory.[6] Sites include:

References

  1. ^ a b Brief Introduction Archived January 2, 2010, at the Wayback Machine Zoomlion Official Site
  2. ^ "Contact Us Archived September 1, 2011, at the Wayback Machine." Zoomlion. Retrieved on August 14, 2011. "Address：Zoomlion Science Park, Yinpen South Road 361, Changsha, Hunan"
  3. ^ a b Event of Corporation in 1992–1997 Archived July 18, 2011, at the Wayback Machine Zoomlion Official Site
  4. ^ a b c d e f g Events of the Corporation in 2000–2001 Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  5. ^ a b c UPDATE 1-Goldman, China Zoomlion win Cifa with $422 mln bid reuters.com, Wed Jun 25, 2008 4:56am EDT
  6. ^ a b c d e f g h i Events of Corporation in 2001 Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  7. ^ a b c d e f g h i j Events of Corporation in 2004 Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  8. ^ [1] Forbes
  9. ^ [2] Changsha City Police
  10. ^ [3] New Express
  11. ^ "Zoomlion eyes farm machinery after $340m deal - Business - Chinadaily.com.cn". www.chinadaily.com.cn. Retrieved 2021-10-07.
  12. ^ Yang, Ge. "Zoomlion Plows Out of Environmental Business With $1.7 Billion Sale - Caixin Global". Caixin Global. Retrieved 2020-06-18.
  13. ^ a b c Home > Products > Earth Working Machinery Archived December 18, 2009, at the Wayback Machine Zoomlion Official Site
  14. ^ Home > Products > Concrete Machinery Archived January 20, 2010, at the Wayback Machine Zoomlion Official Site
  15. ^ Home > Products > Mobile Crane Machinery Archived January 5, 2010, at the Wayback Machine
  16. ^ Home > Products > Construction Hoisting Machinery Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  17. ^ Home > Products > Fire Fighting Machinery Archived December 1, 2010, at the Wayback Machine Zoomlion Official Site
  18. ^ a b c d Home > Products > Environmental & Sanitation Machinery Archived August 22, 2010, at the Wayback Machine Zoomlion Official Site
  19. ^ a b c Home > Products > Road Machinery Archived December 1, 2010, at the Wayback Machine Zoomlion Official Site
  20. ^ Home > Products > Pile Foundation Machinery Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  21. ^ a b c d e f Events of Corporation in 2006 Archived January 5, 2010, at the Wayback Machine Zoomlion Official Site
  22. ^ a b Zoomlion International Trade Co., Ltd. Archived October 18, 2010, at the Wayback Machine Zoomlion Official Site
  23. ^ Zoomlion Finance & Leasing Co., Ltd. Archived December 1, 2010, at the Wayback Machine Zoomlion Official Site
  24. ^ Events of Corporation in 2005 Archived July 18, 2011, at the Wayback Machine Zoomlion Official Site