On 18th August 2015, Xuzhou Construction Machinery Group Co., Ltd (“XCMG”) hosted the Cooperation Seminar on Infrastructure Project under the “One Belt, One Road” (“OBOR”) Initiative in Beijing. More than 130 representatives from government agencies, financial organizations, academic circles, export-oriented complete construction machinery manufacturing enterprises and upstream and downstream enterprises in the industrial chain of the infrastructure projects, such as the Investment Promotion Agency of the Ministry of Commerce, Academy of Macroeconomic Research, (NDRC, China Chamber of Commerce for Import and Export of Machinery and Electronic Products, Export-Import Bank of China, Silk Road Fund, China Export and Credit Insurance Corporation, China Investment Promotion Office(UNIDO), Peking University National Strategic Communication Research Institute, China Top 500 Foreign Trade Enterprises Club, China North Vehicle Corporation Ltd, China National Machinery Import and Export Corporation, China Metallurgical Group Corporation, China Communications Construction Company Limited, Power Construction Corporation of China, NORINCO International and CITIC Construction Corporation Limited, were present at the Seminar. This event was co-sponsored by Shantui Construction Machinery Corporation Limited and supported by China Chamber of Commerce for Import and Export of Machinery and Electronic Products, the Investment Promotion Agency of the Ministry of Commerce, Construction Machinery Technology and Management Press, and www.lmjx.net.
Wang Min, Board Chairman and President of XCMG, delivering speech
Zhang Yujing, President of CCCME, delivering speech
Yang Yihang, Deputy Chief of the Investment Promotion Agency of the Ministry of Commerce, introducing the policies for the OBOR infrastructure construction projects
Zhi kui, Deputy Director for Foreign Economic & Cooperative Affairs Office in Academy of Macroeconomic Research, NDRC, introducing the OBOR Initiative and the "going-out" progammes relating to the development, investment and cooperation of the equipment industry
At the Seminar, Yang Yihang, Deputy Chief of the Investment Promotion Agency of the Ministry of Commerce, introduced the policies for the OBOR infrastructure construction projects; Zhi kui, Deputy Director for Foreign Economic & Cooperative Affairs Office in Academy of Macroeconomic Research, NDRC, introduced the OBOR Initiative and the "going-out" progammes relating to the development, investment and cooperation of the equipment industry; Zhang Yujing, President of China Chamber of Commerce for Import and Export of Machinery and Electronic Products, and Wangmin, XCMG Chairman and President and Secretary of CPC XCMG Committed addressed the participants respectively; Zhang Yunli, Deputy Chief Economist and Executive General Manager of Overseas Business Department for Power Construction Corporation of China, shared experiences on overseas construction project management; Liu Jiansen, Assistant to XCMG President and General Manager of XCMG Import and Export Co., Ltd, shared experiences on the provision of complete set of construction equipment solutions abroad；Sun Jianzhong, XCMG Vice President and Chairman of XCMG Import and Export Co., Ltd, had in-depth discussions with participants about the new cooperative pattern in the OBOR infrastructure construction projects and the “going out” policy support. The Seminar was presided over by Zhang Yanmei, Deputy General Manager of XCMG Import and Export Co., Ltd.
Zhang Yunli, Deputy Chief Economist and Executive General Manager of Overseas Business Department for Power Construction Corporation of China, sharing experiences on overseas construction project management
Liu Jiansen, Assistant President of XCMG and General Manager of XCMG Import and Export Co., Ltd, sharing experiences on the provision of complete set of construction equipment solutions abroad
Zhang Yanmei, Deputy General Manager of XCMG Import and Export Co., Ltd. presiding the seminar
The OBOR Initiative has become the new driver of further development of export-oriented complete construction machinery manufacturing enterprises. As the development strategy enters into the specific implementation stage, there are great market opportunities and brand new development patterns in the fields of cooperation on local infrastructure construction projects. In addition to a series of projects, the OBOR initiative will also fuel the transformation and upgrading of the growth pattern of enterprises. Therefore, the Seminar called for the participants to complement one another, make concerted efforts, adopt new cooperative patterns and create exemplary infrastructure construction projects done by Chinese-funded enterprises, so as to achieve the win-win situations and benefits for all parties involved and promote the industrial transformation and upgrading as well as the change of the economic growth pattern.
Seminar on new cooperation mode between project conTractors and equipment manufacturers
Seminar on “going out”policy support
Since its restructure in 1989, XCMG has been among the top ones of domestic construction machinery industry. Today, it is a large business group with the largest scale, the most complete categories and series of products and the most competitiveness and influence in its sector. Its success comes from its profound & influential enterprise culture, the most types of complete equipment, healthy & complete international network layout, leading localized operations and highly efficient after-sales and spare parts services.
Profound & Influential Enterprise Culture
XCMG Chairman Wang Min has ever said that in domestic equipment industry, XCMG is a prestigious brand that Chinese people have been proud of. Established in the second Sino-Japanese War in 1943 as the Eighth Route Army Lunan No. 8 Arsenal, XCMG has grown into the pioneer and pacemaker and ranked 1st place in China’s construction machinery industry after 72 years of intensified and concerted efforts. In particular, thanks to the development achieved over the decades and the rapid progress made in the innovation, talent pool creation and global layout, XCMG has become a competitive player on global construction machinery market with its mobile crane occupying the most shares in its segment worldwide. As XCMG is striding forward on its way to develop itself into a world-class construction machinery manufacturer, XCMG has become the most outstanding and successful example that represents the enterprising and promising self-developed construction hoisting equipment of China.
XCMG’s Assumption of its CSR
XCMG has been attaching utmost importance to the assumption of it corporate social responsibility (“CSR”) and sticking to the core values of “shouldering more responsibilities, doing greater things and exercising more influences” and the enterprise spirit of “rigorousness, down-to-earth attitude, enterprise and innovation”. XCMG has motivated to contribute over 700 equipment worth of 300 million yuan and send over 600 rescue technicians and workers to the sites of natural disasters such as the 2008 Sichuan earthquake, the 2010 Yushu earthquake, Zhouqu landslide, Fangshan landslide, the 2013 Ya’an earthquake and the 2014 Ludian earthquake within the shortest period of time. Since 2006, XCMG has made donations for the construction of 12 primary schools under the Hope Project and donates 200,000 yuan to students sponsored by the Chunlei Programme, which has significantly supported the growth of dropout students and left-behind children and led them to step forward along the right track. In short, XCMG is always read to offer a hand whenever and wherever possible.
Perseverance & Dominance
XCMG’s success of standing on top of the domestic construction machinery sector over the year cannot be alienated from its perseverance. Chairman Wang Min has been asked the same question for numerous times how XUMG, a local state-owned enterprise under the municipal government, can grow into a world-class enterprise with both national and international presence, and he always gives the same answer that XCMG has been staying more focuses, following the principle of opening-up and reform and taking the construction machinery as its major business instead of making shifts one after another towards lucrative businesses, so it is capable of making progresses and achievements with perseverance in spite of ups and downs.
Dedication & Innovation
With the nurture of the enterprise culture, XCMG has created a team characterized by dedication and innovation. XCMG people have been making enormous efforts to build up a world famous brand and benefit the community and the nation with its industrial strength by following the core values of “shouldering more responsibilities, doing greater things and exercising more influences”.
Over the years, XCMG has been taking the leading position in the industry in terms of product innovation, market innovation and management innovation. Since 2001, XCMG has revolutionized its supply chain, R&D activities, manufacture, marketing and sales, improved its whole-process quality and cost control abilities and formed a consistent upgrading system with XCMG characteristics through the introduction of excellent performance management patterns. With the organizational and cultural transformation, six sigma management and the construction of learning organization as the transformation approaches, XCMG aims to make comprehensive breakthroughs in quality, response, safety, cost and personnel, and to promote the realization of product, profit-making and process innovations and talent cultivations, so as to speed up the process of developing XCMG into a world’s leading construction machinery manufacturer. Successively, XCMG has won the Grand Award for Industrial Enterprises of China, the one and only as well as the top prize for domestic industrial enterprises, the “National May Day Labor Prize Certificate”, the “State-certified Enterprise Technical Center Achievement Award”, the “National Prize for Progress in Science and Technology”, and the “14th China Quality Management Award”. Also, XCMG is the winner of a cluster of honors, such as the “National Technical Demonstration Enterprise” that is a member of the first group of enterprises rated by the State Council and the first one in Jiangsu Province, the “National Excellent Grassroots Party Committee” and the “Meritorious Enterprise of Chinese equipment Industry”. Mr. Wang Min, XCMG Chairman and Secretary of CPC XCMG Committee, was awarded the “Meritorious Entrepreneur of Chinese Equipment Industry”.
XCMG, the Supplier of Most Types of Complete Equipment in Industry
As China’s largest construction machinery manufacturer and equipment solution suppler, XCMG has the most complete product line-ups in the industry with its products covering 14 categories and 70 types. Today, XCMG provides its clients and users with the complete sets of crane equipment, road equipment, earthwork equipment, concrete equipment, fundament pile-driving equipment and mineral equipment, forest equipment, transportation Vehicles for logistics service purposes, fire fighter Trucks, aerial lift Vehicles, etc. At present, XCMG’s primary machines in 9 categories and 3 key and fundamental spare parts have got the market shares in China, and its export volumes and amounts of primary machines in 6 categories stay at the first place in domestic industry. Moreover, it has the largest share on the mobile crane markets, with larger shares on the global markets Road Rollers, road Pavers and concrete machines.
Healthy & complete international network layout
So far, XCMG has exported its products to 173 countries and regions, entered into business partnership with over 280 overseas dealers and established 260 service outlets and over 200 spare parts centers, which has enabled XCMG to provide comprehensive marketing services to its clients and users worldwide. Also, XCMG has successfully acquired and merged three enterprises on European Continent, including Schwing Group, a leading Concrete Machinery manufacturing enterprise in the world. XCMG has set up advanced production facilities in Brazil, Germany, Austria, India and the U.S.A, and the R&D centers in Germany, Brazil, the U.S.A and India. Now, it is working on the construction of KD factories all over the world. It has created a healthy and complete system in the countries under the “One Belt, One Road” (“OBOR”) Initiative framework, with 80 first-class dealers, 3 production facilities and 4 KD factories in the 42 countries that will be benefited from the Initiative. XCMG has had preliminary advantages on some markets, in particular the Central Asia, Middle East, Russia and Australia, in which its market shares are among the top three in the world’s industry.
Leading localized operations
As XCMG has increased its export volumes to more countries and regions over the years, XCMG’s localization strategy has become the leading driving force that promotes the internationalized development of the Group. So far, XCMG has formed its global R&D systems with the establishment of its R&D centers in China, the U.S.A, Germany, Brazil and India, and has built its global manufacturing systems with the establishment and operation of its production facilities in in China, the U.S.A, Brazil, Austria, Poland, India and Uzbekistan. XCMG pays much attention to the adaptive improvements of its products and has completed over 100 certifications including the GOST certification for Russian markets, the CE certification for EU markets, and the certifications necessary for North American markets and Iranian markets, which has contributed a great deal to the smooth and successful export of its products and won favorable comments and recognitions for products “made in China”.
Highly efficient after-sales and spare parts services
XCMG’s 176 overseas marketing and service partners have been playing important roles in the delivery of efficient and time-sensitive after-sales services to local clients and users. Since 2011, XCMG has intensified its efforts to strengthen the construction of its spare parts network systems abroad, and has successfully created the network layout comprising of the overseas dealers’ spare parts centers, the XCMG’s spare parts centers and the spare parts centers jointly built by XCMG and its overseas dealers. By December 2014, XCMG has possessed a total number of 30 spare parts centers abroad, which are mainly located in North America, South America, Middle Asia, Europe, Asia-Pacific Region, West Asia, North Africa and Africa. Today, a total number of over 4,000 overseas employees and 240 professional overseas marketing, service, technical and management talents are showing XCMG’s excellence and making international presence on global markets.
With the implementation of the OBOR Initiative, there will be more and more infrastructure projects for export-oriented complete construction machinery manufacturing enterprises. XCMG will, together with other construction machinery manufacturers, provide a diversity of complete set of machines and equipment in different forms, offer strong and reliable equipment and technical support to “going-out” enterprises, and create better tomorrow for coverage countries of the OBOR Initiative.
