Atlas Copco signs joint venture agreement with Hongwuhuan Group
Atlas Copco (China) Investment Co., Ltd. signed a surface drilling rig joint venture agreement with Hongwuhuan Group in Quzhou, Zhejiang Province, China.The joint venture will specialize in manufacturing and sales of surface mining equipment for Chinese customers.
This joint venture agreement between Atlas Copco and Hongwuhuan marks an important milestone in the cooperation between the two companies. With the technologies developed by Atlas Copco and Hongwuhuan, the joint venture will dedicate to the development and production of cost-effective, high-performance surface drilling rigs, meeting the upgrade needs of Chinese customers as mining generally becomes more mechanized. The proposed joint venture is subject to regulatory approvals.
“Atlas Copco offers highly competitive products and an excellent corporate culture, as well as management expertise built up over more than 100 years. Hongwuhuan possesses extensive practical experience in China and strong equipment manufacturing platforms. Cooperation will prove mutually beneficial, and will also give us complementary advantages. We believe that the joint venture will create a world-class company,” said Mr. Su Yongqiang, Chairman of Hongwuhuan Group, at the signing ceremony.
“We believe that the fusion of roles under this powerful alliance of Atlas Copco and Hongwuhuan will reshape the mining and construction equipment market in China,” said Thomas Kung, Chairman of Atlas Copco (China) Investment, at the agreement signing ceremony. Expressing confidence about the cooperation, he added, “I sincerely hope that our joint venture will go from strength to strength.”
Atlas Copco’s Mining and Rock Excavation Technique business area provides equipment for drilling and rock excavation, a complete range of related consumables and service through a global network. The business area innovates for sustainable productivity in surface and underground mining, infrastructure, civil works, well drilling and geotechnical applications. Principal product development and manufacturing units are located in Sweden, the United States, Canada, China and India.