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Shandong Heavy Industry Group Cooperates with Belaz to Develop Large Mining Trucks and Injects “China Power” into Global Mining Truck Industry

2018.11.07

During the 1st China International Import Expo on November 7, 2018, Shandong Province held a new product release meeting and import signing ceremony for multinational companies. Under the witness of Gong Zheng, the deputy secretary and provincial governor of Shandong Province, and Pavel Utyupin, the Minister of the Ministry of Industry of Republic of Belarus, Tan Xuguang, the director of Shandong Heavy Industry Group, signed strategic cooperation agreement to jointly develop large mining trucks, with Petr Parkhomchik, the General Manager of Belarusian Belaz Group to jointly develop large mining trucks and lead the development of the industry.

Weichai mining truck engine goes global

  

Belaz is a major manufacturer of large automobiles in Belarus, as well as the third largest manufacturer of mining trucks in the world. Its products include mining dump truck, loading machinery, heavy transport platforms, etc. The products are sold to more than 50 countries and regions around the world. SHIG is one of the strongest automobile and equipment manufacturing groups in China. Its subsidiary Weichai has been focusing on ICE industry for more than 70 years, and manufacturing products for various applications in every area.

This July, Petr Parkhomchik, General Manager of Belaz, visited Weichai. Both companies reached a cooperation intention on the development of large mining trucks. On September 28th, at the 70th anniversary celebration of Belaz, it launched the first large mining truck equipped with Weichai engine.

In the Chinese market, China-made engines for mining trucks have always been in a blank state, most engines are from foreign brands. In order to break international monopoly on technology and price, Weichai concentrated its strengths to develop high-end engines for mining trucks. At present, Weichai has not only made a substantial breakthrough in mining-truck engine development, but also successfully entered the market to inject a strong “China power” for the development of mining-truck industry in the world.

Create a cooperation benchmark for “Belt and Road”

Following the Weichai-MAZ project, it is another international cooperation project that SHIG cooperates with Belaz to develop large-scale mining trucks. The project has received high attention from Shandong Government and Belarusian Government. On Nov. 6, before the New Product Releasing Conference and Import Agreement Signing Ceremony, Gong Zheng, the deputy secretary of Shandong Provincial Party Committee and governor, met with Pavel Utyupin, Minister of Belarusian Industry Department in Shanghai International Convention and Exhibition Center. Gong Zheng said: China's open door will not be closed, but tends to be wider. According to the spirit of President Xi Jinping's instructions, Shandong will build a new highland for opening to the outside world, and strengthen support for “Belt and Road” projects, especially Weichai-Maz project and the upcoming Belaz project.

Pavel Utyupin expressed that Belarus was the first country to respond to the “Belt and Road” initiative. At this amazing Expo, more than 80 Belarusian enterprises have recommended products to China. Many companies from Belarus and Shandong have established cooperative relations, and Weichai is one of them. Only less than 1 year was taken to build Weichai-MAZ project and put into production, which fully proved the strength of China's manufacturing industry. I hope more and more companies like Weichai will go to invest in Belarus and construct factories to make contributions for the development of both countries.

In recent years, Weichai went abroad to seek development opportunities and constructed a global operation map in “Belt and Road” economic region. Through overseas operation strategy of “commercial export + local manufacturing + technology output + merger and restructuring”, Weichai has merged and acquired Baudouin, Ferretti, KION and Linde Hydraulics step by step; Local manufacturing has been realized in India, Thailand, and Belarus; Technology has been output to Ethiopia, Myanmar to promote local industrial level. It has accelerated product and brand layout in Southeast Asia, Middle East and North Africa, CIS, and South Asia. In 2017, Weichai Group realized annual revenue of 220 billion yuan, 40%of which came from overseas subsidiaries. The global layout was officially completed and Weichai has become the pioneer of the China “Belt and Road” initiative.

Weichai-MAZ project is one of the “Belt and Road” projects General Secretary Xi Jinping witnessed and paid high attention to. In 2016, under the witness of Chinese and Belarussian leaders, Weichai and MAZ signed a cooperation Memo. In Sep. 2017, the foundation of the project was laid, and construction started in Apr. 2018. At present, the project is proceeding smoothly, and expected to be put into production at the end of 2018. The project covers an area of about 33,000 square meters, with an annual production capacity of 20,000 units, which will provide more than 100 working posts. The products will be sold to Belarus, Russia, Ukraine and other countries.

Through the cooperation between SHIG and Belaz Group, the two parties will make great effort to turn the project into a benchmark, and add a splendid color for constructing “Belt and Road”. 

 

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