A seminar on

GLOBAL HEAVY MACHINERY MANUFACTURING COMPANIES

Submitted by:

V. SESHENDRA

Y9IB20047

DEPARTMENT OF INTERNATIONAL BUSINESS STUDIES

INTRODUCTION

Heavy equipment refers to heavy-duty vehicles, specially designed for

executing construction tasks, most frequently ones involving earthwork. They are also

known as, construction equipment, construction plant, earth movers, engineering

vehicles, or simply equipment. They usually comprise five equipment systems:

implement traction, structure, power train, control and information. Heavy equipment

functions through the mechanical advantage of a simple machine, the ratio between

input force applied and force exerted is multiplied. Currently most equipment

use hydraulic machinery as a primary source of transmission.

HISTORY

The use of heavy equipment has a long history; the ancient Roman

engineer Vitruvius (1st century BCE) gave descriptions of heavy

equipment and cranes in ancient Rome in his treatise De architectura. The pile

driver was invented around 1500. The first tunneling shield was patented by Isambard

Kingdom Brunel in 1818.

From horses, through steam, to diesel

Until the 19th century and into the early 20th century heavy machines were drawn under

human or animal power. With the advent of portable steam-powered engines the drawn

machine precursors were reconfigured with the new engines, such as the combine

harvester. The design of a core tractor evolved around the new steam power source

into a new machine core traction engine, that can be configured as the steam

tractor and the steamroller. During the 20th century, internal-combustion

engines became the major power source of heavy

equipment. Kerosene, ethanol and gasoline engines were used, but today diesel

engines are dominant. Mechanical transmission was in many cases replaced by

hydraulic machinery. The early 20th century also saw new electric-powered machines

such as the forklift. Caterpillar Inc. is a present-day brand from these days, starting out

as theHolt Manufacturing Company. The first mass-produced heavy machine was

the Fordson tractor in 1917.

The first commercial continuous track vehicle was the Lombard Steam Log Hauler from

1901. Tracks became extensively used for tanks during World War I, and after the war

they became commonplace for civilian machinery such as the bulldozer. The largest

engineering vehicles, and the largest mobile land machines altogether, are bucket-

wheel excavators, built from the 1920s.

"Until almost the twentieth century, one simple tool constituted the primary earthmoving

machine: the hand shovel - moved with animal and human powered, sleds, barges, and

wagons. This tool was the principal method by which material was either sidecast or

elevated to load a conveyance, usually a wheelbarrow, or a cart or wagon drawn by

a draft animal. In antiquity, an equivalent of the hand shovel or hoe and head basket—

and masses of men—were used to move earth to build civil works. Builders have long

used the inclined plane, levers, and ignorant to place solid building materials, but these

labor-saving devices did not lend themselves to earthmoving, which required digging,

raising, moving, and placing loose materials. The two elements required for mechanized

earthmoving, then as now, were an independent power source and off-road mobility,

neither of which could be provided by the technology of that time."

Container cranes were used from the 1950s and onwards, and

made containerization possible.

TYPES & USES

Aerial work platform / Lift table

Air-track

Attachments

Agricultural tractors

Articulated hauler

Articulated truck

Asphalt paver

Asphalt plant

Backhoe loader, Backhoe

Ballast tamper

Boomtruck

Bulldozer

Cherry picker

Cold planer

Compact excavator

Concrete batch plant

Construction & mining tractor

Construction & mining trucks

Crane

Cure rig

Dragline excavator

Dredging

Drilling machine

Dump truck

Excavator (wheel)

Excavator (bagger, digger)

Feller buncher

Forklift

Fresno scraper

Front shovel

Grader

Harvester

Highway 10 yard rear dump

Highway bottom dump (stiff), pup (belly train), triple

Highway end dump and side dump

Highway transfer, Transfer train

Highway transit-mixer

Knuckleboom loader (trailer mount) &Knuckleboom loader (trailer mount)

Loader

Lowboy (trailer)

Military engineering vehicles

Pile driver

Pipe layer

Pneumatic tire compactor, Compactor

Reclaimer & Soil stabilizer

Roadheader

Roller (road roller, roller compactor),Compactor

Rotary tiller (rototiller, rotovator)

Scraper

Skid steer loader

Skidder

Skip loader (skippy)

Slip form paver

Soil stabilizer

Steam shovel

Stomper: concrete drop hammer

Street sweeper

Suction excavator

Telescopic handlers

Track harvester

Track loader

Track skidder

Track-type tractors (Bulldozer)

Tractor

Trencher (machine)

Tunnel boring machine

Underground mining equipment

Venturi-mixer

Vibratory compactor, Compactor

Water wagon

Wheel dozers – soil compactors

Wheel forwarder

Wheel loader (front loader, integrated tool carrier)

Wheel skidder

Wheel tractor-scraper

Yarder

The Different Types of Construction Equipment

If you're in the construction industry or are interested in starting your own construction

organization, it's important to understand the many different types of construction

equipment available so that you know what you need for your specific purposes.

Construction equipment ranges from the very large and heavy to the light and portable,

and each piece of equipment serves a useful purpose. However, you may only need a

few pieces of construction equipment to meet your needs. The following article

describes some of the most popular types of construction equipment that you can buy

for a variety of uses that range from farm work to deconstruction to building projects.

Engineering equipment with a front bucket/shovel and a small backhoe in the rear

combined with a tractor is known as backhoe loader. It is mostly used in small

construction sites and in urban engineering such as fixing city roads.

A crawler, which is very powerful and attached with a blade, is called a bulldozer. Even

though any heavy engineering vehicle is known as bulldozer, it is actually a tractor with

a dozer blade.

Combat engineering vehicles are used for engineering work in the battlefield and for

transporting sappers. They are mostly armored vehicles.

A compact excavator is a wheeled or tracked vehicle with a backfill blade and swing

boom. It is also known as mini excavator. The functions and movements of the

machines are carried out by transferring hydraulic fluid. This makes a compact hydraulic

excavator different from other construction equipment. Find more info at

[http://www.construction-equipment4u.info]

To compact gravel, dirt, asphalt and concrete in construction work and road laying a

road roller which is also known as roller-compactor would be used.

A motorized cultivator with a rotating blade to work in the soil is known as rotary tiller.

They are either drawn behind a tractor or self-propelled.

A crane is a derrick or tower equipped with pulleys and cables for lowering and lifting

materials. The cranes used in construction industry are mostly temporary structures.

Dragline excavation systems are heavy equipment mostly used in surface mining and

civil engineering. The smaller type of dragline excavator is used for port and road

construction. The larger type dragline excavator is used in strip-mining operations for

coal extraction.

In the building industry, to make foundations, a drilling machine is used. It is also used

in oil wells and water wells.

An excavator commonly known as a digger is an engineering vehicle, with a cab

mounted on a rotating platform or pivot, and a backhoe on top of an undercarriage with

wheels or tracks. 

In untamed regions which are being reclaimed for construction, a feller buncher, a

machine having an attachment, which fells trees, is used.

A forklift, lift truck or forklift truck is an industrial truck used to pick up and transport

heavy material using steel forks under the material to be lifted. The most common

usage of a forklift is to move materials stored on pallets.

A loader also known as a bucket loader, front-end loader, scoop loader, shovel, or front

loader is a type of tractor using buckets, which can be tilted to lift and move material.

Skid Steer

First of all, skid steers are a general term that describe a variety of equipment that are

all characterized by a specific type of steering called skid steering. A skid steer is

maneuvered through a system of braking and engaging the tracks or wheels on one

side of the vehicle. The wheels on the side are in a fixed condition, and the driver

moves the vehicles by literally making the wheels skid.

Because of their special driving method, skid steers are known for being capable of

turning tightly and adeptly pivoting. And a person can purchase a variety of attachments

for a skid steer in order to make it perform a variety of functions including jack

hammering, loading, digging, and moving. Skid steers are also known for being

particularly durable which is why many choose to purchase used skid steers. Used skid

steers can perform all of the same functions as a new skid steer, but they cost

significantly less.

Crane

The crane is another popular piece of construction equipment that is mainly used for

deconstruction. Cranes are operated by a series of cables that lower and lift materials

and are mainly used on projects dealing with temporary structures.

Backhoe Loader

A backhoe loader is a type of construction equipment that has a front bucket or shovel

and a small backhoe in the rear. And the entire piece of equipment is combined with a

tractor. A backhoe loader has a comparatively small frame which allows the driver to

have more control over its movement. Because of its relatively small size and easy

maneuverability, the backhoe loader is great for small construction projects. It works

well in urban areas for projects such as road repair. In fact, they are one of the most

popular types of construction vehicles used in urban areas.

Crawler

The crawler is another type of construction vehicle and is also called a bulldozer (as are

all heavy engineering vehicles). A crawler is essentially a tractor that has a dozer blade

attached to it. Crawlers are powerful vehicles commonly used for a variety of bigger

construction projects.

Loader

A loader is another type of construction vehicle that is also known as a bucket loader,

front-end loader, scoop loader, or front loader. Essentially, a loader is a tractor that uses

a front mounted square bucket connected to the end of two arms to scoop, lift, and

move materials. Materials often transported with a loader include asphalt, demolition

debris, dirt, feed, gravel, logs, recycled materials, rock, sand, wood chips, and so on.

Loaders are frequently used to move material to another type of machinery such as a

dump truck, conveyor, open trench excavation, or rail car.

Excavator

An excavator is a general type of construction and engineering vehicle that has an

articulated arm and a bucket and a cab that is mounted on a pivot. Excavators have a

variety of uses for both farm and construction work. Some of the projects excavators

can assist in include digging trenches, holes, and foundations, handing materials,

cutting brush, performing forestry work, demolishing structures, gardening, landscaping,

heavy lifting, mining, dredging river, and driving piles.

And a specific type of excavator is the compact excavator. A compact excavator is a

tracked or wheeled vehicle that usually has a backfill blade and an independent boom

swing. Many compact excavators function on hydraulic fluid, which means that the

vehicle's work group and blade are activated by hydraulic fluid that is acting on

cylinders. This hydraulic function of the compact excavator set it apart from other types

of construction equipment.

Forklift

A forklift is a high-powered vehicle used to lift and transport heavy items and materials.

Forklifts come in many varieties of sizes and load capacities. The majority of forklifts are

not used in construction projects, but rather in manufacturing facilities or warehouses

that require frequent lifting and transporting of heavy materials.

Road Roller

A road roller is also known as a roller-compactor and is used mainly in road construction

but can be used for a variety of other purposes including compacting soil, gravel,

concrete, or asphalt. In some parts of the world, road rollers are commonly known as

steam rollers. Road rollers are commonly used with pavers that are used to spread

asphalt on roadways.

Motorized Cultivator

A motorized cultivator is a piece of equipment commonly used for farm work. Motorized

cultivators have rotating blades called rotary tillers that work in the soil. The tillers can

either be drawn behind a tractor or can be self propelled. Motorized cultivators can be

used for a variety of purposes including weeding and digging.

Whether you're looking at used skid steers, compact excavators, or another piece of

construction equipment, knowing more about all the types of construction equipment

available will help you know what construction equipment will be best for your needs

Heavy construction machinery needs vary for different types of construction businesses.

You must decide what to include in your fleet and what to rent, and after checking

construction equipment prices, you need to decide whether to buy new or used

equipment.

Having the right tools for your construction staff to get the job done is essential in saving

man hours of labor. Here are some questions to ask before you make a heavy

machinery equipment purchase:

Does renting or buying new or used heavy construction machinery make the most

sense for my company?

Is my staff trained to operate this type and brand of heavy construction equipment?

Do I need my supplier not only to provide, but also service my fleet of heavy

construction machines?

Do a cost comparison of rented, new and used heavy construction machinery

When you calculate the cost of renting versus owning your heavy construction

equipment, you'll need to take into consideration rental fees, maintenance costs and

man hours wasted on failed equipment. Heavy construction equipment management via

rental may make sense for those companies that need specialized equipment for a

specific job.

Try:  RSC Equipment Rental has a handy calculator to help you determine the lost man

hours you suffer when owned equipment breaks and the time it takes to manage and

service a fleet. Machinery Stock is a free new and used heavy construction equipment

advertising website for dealers and has a great advanced search tool that enables you

to select things like price range, horsepower and year.

Get training for your employees from the right heavy equipment school

Now that you've decided what equipment you need and the acquisition method, you

need to get your staff trained to operate the equipment. The right heavy equipment

operator training school is one that teaches your staff to operate the brand of equipment

safely and effectively, minimizing the possibility of personal injury and equipment

damage.

Try:  The National Association of Heavy Equipment Training Schools has a training

program for both crane operators and heavy equipment operators, including backhoe

and skid steer training with certified instructors. National Training, Inc is an accredited

school and its program, National Heavy Equipment Operators School, is part home

study and part on campus, enabling the majority of the training to be done while your

employees work full-time. The resident training includes a three week training session in

Orange Park, Florida.

Provide service for your heavy construction machines

Don't forget about the service your new fleet of heavy machinery equipment needs.

Even general maintenance tasks need to be done by a specialist. You may want to hire

a construction equipment specialist to do the maintenance tasks if you've purchased a

large fleet, but if your construction business is small, see if you can work out a service

agreement with the dealer.

Try:  At BuyerZone.com you can get free equipment leasing and financing quotes from

multiple companies at once, some of which come with service agreements. Deere &

Company, makers of John Deere products, offer a complete planned maintenance

program with their products plus online support as well.

You should always buy your heavy machinery equipment in person, especially if the

equipment is used. It's nice to search online retailers to find what products are

available, but make sure you choose a local supplier to make your actual purchases.

Keep up with regular maintenance on your equipment; otherwise you may be in for

costly engine repairs.

About Heavy Equipment and It's Uses in Construction

There are different types of construction that can be performed depending on what

needs to be fixed or built in society. For instance one major type of construction is

heavy construction. Heavy construction is the type of work that occurs when

infrastructure is added to an already built up environment, such as building a highway.

Those who own heavy construction projects are typically national or local level

government agencies that deal with large contracts that last quite a length of time.

Heavy construction projects are usually done in the best interest of the public to service

them better. Of course, it is hard to agree with this when you're stuck in traffic while the

roads or the sewers beneath them are being replaced, but indeed the end result has us

in mind. That being said, not every heavy construction project is undertaken by the

government. Some large, private corporations, such as power companies, harbors,

railroads, mines and golf courses, are also involved. These private companies, among

others, undertake heavy construction in order to create dams, railways, massive

earthwork projects, etc.

Some developments that are considered heavy construction projects include:

- Buildings

- Parks

- Playgrounds

- Apartments

- Stadiums

- Factories

- malls

The most important part of heavy construction that makes it successful is the equipment

that is used. Heavy construction equipment is essential to the project, because without

it, even the basic construction work could never be completed. They are typically quite

large, and are created specifically for one or two different uses. The primary equipment

used for heavy construction includes but is not limited to: bulldozers, cranes, well drilling

machinery, earthmoving equipment, loaders, draglines, cable plows, scrapers,

generators, rollers, light towers, etc.

Each piece of heavy construction equipment plays an important role in the project. For

instance, as far as groundwork is concerned, heavy rollers are used. Heavy rollers set

up the project and find the base. They are then used to raise and drag tons of stones

and iron from one place to the next.

The biggest problem that often occurs with heavy construction is the cost of building.

Heavy equipment is quite expensive, and the people needed to work these machines

and tools need to have the skill and experience in order to handle them. That being the

case, many companies make the decision to rent or lease heavy equipment, sometimes

even with or without the operators.

Unfortunately, because operators need to have both the skill and knowledge to work the

equipment, they have become practically as indispensable as the heavy equipment.

This can sometimes cause problems for companies who require heavy construction

projects. To beat this problem, some companies hire people and then pay for their

training, as opposed to trying to find someone who already has the training and is

therefore going to request a much higher salary.

Despite certain problems, and expenses, most heavy construction projects are

completed. The result of a heavy construction project is usually something that many

people can benefit from and enjoy.

World's Largest Equipment Manufacturers

Top 50 manufacturers in the world:

Caterpillar 

Komatsu 

Terex 

Volvo Construction Equipment 

Liebherr 

Hitachi Construction Machinery 

John Deere 

CNH 

Sandvik Mining and Construction 

JCB 

Atlas Copco CMT 

Metso Minerals 

Manitowoc Crane Group 

Oshkosh Access Equipment (JLG) 

Hyundai Heavy Industries 

Doosan Infracore 

Kobelco Construction Machinery 

Wirtgen Group 

Xuzhou Construction Machinery Group (XCMG) 

Manitou 

Ammann 

Putzmeister 

Sumitomo Heavy Industries 

Hiab 

Tadano 

Sany Heavy Industries 

Fayat Group 

Changsha Zoomlion 

Guangxi Liugong 

Wacker Neuson Group 

Palfinger 

Haulotte Group 

Kubota 

Astec Industries 

Bauer 

Altec Industries 

Xiamen Xiagong Group 

Telcon 

Bell Equipment 

Bharat Earth Movers Ltd. (BEML) 

Takeuchi 

Boart Longyear 

Furukawa 

Aichi 

Shantui 

China Infrastructure Machinery Holdings (Longgong) 

Merlo 

Skyjack 

Gehl 

Kato Works

IN THE CONTEXT OF INDIA AND EXPORTS

Capital and Engineering Goods

• Full exemption from basic customs duty on equipment imported for road and highway

construction projects.

• Import of equipment for expansion or setting up of fertiliser projects to be fully exempt

from basic customs duty of 5% for three years.

• Basic customs duty to be reduced from 10% or 7.5% to 2.5% on machinery and

instruments needed for surveying and prospecting for minerals.

• Basic customs duty to be reduced from 10% to 7.5% for equipment required for

installation of train protection and warning system and upgradation of track structure for

high speed trains.

• Full exemption from import duty on certain categories of specified equipment needed

for road construction, tunnel boring machines and parts of their assembly.

• Tax concessions proposed for parts of aircraft and testing equipment for third party

maintenance, repair and overhaul of civilian aircraft.

• Basic customs duty to be reduced from 7.5% to 2.5% on plant and machinery imported

for setting up or substantial expansion of iron ore pellet plants or iron ore beneficiation

plants.

• Full exemption from basic customs duty to automatic silk reeling and processing

machinery as well as its parts.

• Plant and equipment required for the initial setting up of solar thermal projects are fully

exempted from special CVD.

• Reduction in basic customs duty from 7.5% to 5% on specified coffee plantation and

processing machinery.

• Reduction in basic customs duty from 7.5% to 2.5% on sugarcane planter, roof or

tuber crop harvesting machine and rotary tiller and weeder.

• Concessional import duty available for installation of mechanised handling systems

and pallet racking systems in mandis or warehouses for horticultural produce to be

extended.

• Full exemption from import duty on tunnel boring machines and parts of their

assembly.

Positive

Several positive measures focusing on the agricultural and related sectors were

announced,

including reduced customs duty on specified agricultural machinery and processing

equipment. UNION BUDGET 2012-13: Impact Analysis

19 Apart from this, equipment imported for road construction and fertilizer projects also

received a whole bunch of duty exemptions. However, increase in standard rate of

excise duty from 10% to 12% has partially offset the significant positive impact of

reduction or exemption in import and customs duties to some extent on the capital and

engineering goods sector.

The Union Budget FY13 also outlines the importance of the infrastructure sector with

greater emphasis on capital investment required in construction of national highways

and encouraging PPP projects. Demand for construction equipment is likely to be

boosted owing to several positive proposals in the infrastructure sector. Allocation of `

795.79 bn for capital expenditure made in the defence services will also provide a boost

to the capital and engineering goods industry in FY13.

Overall, the Budget is anticipated to have a positive impact on the capital and

engineering goods sector Capital goods industry is the backbone of the manufacturing

activity. A vibrant capital goods industry is a pre-requisite to propel the growth of the

manufacturing activity in any country.

A study commissioned by the Government of India1 has defined capital goods as plant

machineries for agricultural, industrial and commercial segments of economic activities

that have economic asset life of over 3 years.

Considering the list of items covered under the head ‘capital goods’ in calculation of IIP,

this study has analyzed major segments such as machine tools, textile machinery,

electrical machinery, earthmoving and construction machinery, and process plant

equipments.

FUTURE TELECASTS OF HEAVY MACHINERY

Increase manufacturing sector growth to ~ 2-4% more than GDP growth to make it

the engine of growth for the economy and increase its share to ~ 25% of overall

GDP by 2025.

Increase the rate of job creation in manufacturing sector to create ~100 million

additional jobs by 2025.

Increase “depth” in manufacturing, with focus on the level of domestic value addition.

Enhance global competitiveness of Indian manufacturing through appropriate policy

support.

Ensure sustainability of growth, particularly with regard to the environment.

The industry growth during 11th Plan stood is at 14%. The turnover during 2010-11 was

Rs 2, 67,944 crore. There is a need for rapid growth of the sector, for which it is

proposed to initiate some national programmes. These in turn will create additional

demand. It is also proposed to take steps to substitute imports by domestic production.

This is expected to take the sector to Rs 6,81,000 crores in 2016-17 at a CAGR of

16.8%.

The current employment of 1.4 million is proposed to be boosted through a series of

recommendations to reach 2.8 million by the end of the 12th Five Year Plan.

In order to increase technology content in the domestic production, policy and

programme initiatives are proposed for R&D, education and training, technology

development, technology purchase, technology development abroad on contract,

technology acquisition, IPR purchase and ownership, joint technology development and

funding for technology up gradation.

Some sub-sectors of capital goods in Indian manufacturing sector are not upto the

global standards. It is proposed to provide exposure, facilitation, technology

development support and support for acquisition of technology firms abroad. Some of

the PSUs are proposed to be elevated as national/global champions.

Technology and design development support is proposed to be provided to the capital

goods sectors for producing energy efficient machines.

Capital goods & engineering sector as a strategic sector for Indian economy:

"Capital Goods” sector comprises of plant and machinery, equipment /

accessories required for manufacture / production, either directly or indirectly, of goods

or for rendering services, including those required for replacement, modernization,

technological upgradation and expansion. It also includes packaging machinery and

equipment, refrigeration equipment, power generating sets, equipment and instruments

for testing, research and development, quality and pollution control.

In the context of Working Group of Capital Goods and Engineering Sector, sub-

sectors such as machine tools, plastic machinery, dies/ moulds & tools, earthmoving &

mining equipment, heavy electrical & power plant equipment, metallurgical machinery,

textile machinery, process plant machinery and light engineering goods have been

included.

Capital goods sector is extremely crucial for the development of the country‟s economy

for the following two important reasons:

– Capital Goods is considered as a strategic sector and development of domestic

capabilities is essential from a national self-reliance and security perspective

– Capital Goods sector has multiplier effect and has bearing on the growth of the user

industries as it provides critical input, i.e., machinery and equipment to the remaining

sectors covered under the manufacturing activity.

The capital goods industry contributes 12% to the total manufacturing activity (which is

about 15% of the GDP).

With a view to achieve 9% growth in GDP during the 12th Five Year Plan, the

manufacturing industry should grow at least by 11% to 13% per annum. This would

mean that the Capital Goods sector, which is considered to be the core of

manufacturing, should grow at around 17% to 19%.

GLOBAL SCENARIO

In value terms, the global capital goods industry is estimated to have generated total

revenue of US $ 4.5 trillion in 2006, according to a report by Data monitor. The capital

goods industry has seen fluctuations in its growth rate over the past few years and

experienced a CAGR of 2.7%

during the period 2002-2006. United States is the major country accounting for 31% of

the global market value in 2006. Europe as a region accounted for around 28%,

followed by the Asia-Pacific region (27%). Globally, trade in capital goods was valued at

over US $ 1.5 trillion in 2006. Thus, the capital goods trade accounts for 12% in world

merchandise trade and 17.5% in world trade in manufactures. The share of exports in

total world production is estimated to be one-third. Germany is the largest exporter of

capital goods in the world accounting for 13% of global exports in 2006.China and the

USA come next with shares of 12% and 11%, respectively.

According to a study by United Nations Industrial Development Organization (UNIDO),

Japan is the largest manufacturer of electrical machinery and apparatus (ISIC Code 31)

in 2005, with a share of 55.2%. Other major producers were USA (10.0%), China

(8.9%), Germany (6.9%) and France (2.6%).India holds a share of 1.7% in global

production of electrical machinery and apparatus in 2005. Amongst developing

countries, China is the largest producer with a share of 55% in cumulative production of

developing countries, followed by India with a share of 10.2%, and Brazil (7.2%). In the

case of other machinery and equipments (ISIC 29), which mainly consisted of general

purpose machinery (engines, turbines, pumps, compressors, taps, valves, bearings,

gears, ovens, furnaces, lifting and handling equipments) and special purpose machinery

(such as agricultural machinery, machine tools, metallurgical machinery, mining /

quarrying / construction machinery, textile / leather machinery, and food processing

machinery), USA is the world’s leading producer with a share of 19.4% in world

production in 2005, followed by Japan (15.6%), Germany (14.9%) and China (7.3%).

India is ranked at 15th position in world production with a share of 1.4%. Amongst

developing countries, China is the major producer of non-electrical machinery item (ISIC

2010 2011

2010 2011

29) with a share of 33.8% in 2005. India is fourth largest manufacturer with a share of

6.7% in the total production of developing countries.

Machine Tools

The total production of machine tools by the top 29 global producers was more than US

$ 70 billion in 2007, experiencing a growth of 18% over the previous year. Japan is the

largest producer of machine tools accounting for 20% of the world production. Other

major producers are Germany (18%), China (14%), Italy (10%), Korea (6.5%) and

Taiwan (6%). In terms of consumption of machine tools, China tops the list with total

consumption worth nearly US $ 13 billion, showing a growth of 20% over the previous

year. Japan and USA comes next with a consumption level of more than US$ 7 billion

and US$ 6 billion respectively. The consumption level for India is around US$ 1 billion,

thus being the 11th largest consumer of machine tools. World export of machine tools is

estimated to be over US $ 40 billion in 2007, a growth of 18% over the previous year.

The export orientation of global machine tool industry thus works out to over 50% in

2007. Germany is the largest exporter of machine tools in the world; exporting machine

tools valued more than US $9 billion in 2007. Germany exported over 70% of its

production in 2007. Other major exporters include Japan (US $ 7.6 billion), Italy (US $

4.2 billion), Taiwan (US $ 3.4 billion) and Switzerland (US $ 2.5 billion). As far as the

import is concerned, China leads the world, with an estimated import value of US $ 6.9

billion in 2007. The United States (US $ 4.4 billion), Germany (US $ 3.7 billion) and

Taiwan (US $ 2.8 billion) are other major importers. Amongst developing countries,

Mexico and India are emerging as major importers of machine tools.

Construction and Mining

Machinery Global construction and mining machinery industry3 is estimated to have

generated total revenue of US $ 113 billion in 2006. The industry had experienced

several years of decline in growth, since the beginning of the decade, but picked up in

recent years. The industry experienced a 7% growth in the year 2005, which, however,

came down to 4% in 2006. The CAGR for the industry during the period 2002-06 stood

at 4.7%. Construction sector witnessed growth both in developed and developing

countries during this period. In the developed countries, such as USA and Europe, the

growth in construction activity was fuelled by increased demand for new office space. In

developing countries of Asia-Pacific and Eastern European region investment in

infrastructure increased substantially. Increasing growth in extractive activities in Africa

region also led the growth in the global construction and mining industry. USA

dominates the global construction machinery industry, accounting for almost 39% of the

world market. Asia-pacific (30%) is the second largest region, followed by Europe

(28%).

Industrial Machinery

World market for industrial machinery, equipment and supplies is estimated to be US $

345 billion in 2006. Asia is the leading market for industrial machinery accounting for

around 32% (US $ 109 billion) of world market in 2006. North America and Europe are

the other major markets, accounting for 25% share each in the world industrial

machinery market and the industrial machinery market is expected to cross US $ 500

billion in 2011, a CAGR of 8%.

CAPITAL GOODS INDUSTRY IN INDIA

The capital goods industry is the backbone of India’s manufacturing sector. India

produces wide range capital goods, including machinery and machine tools. Some of

the prominent capital goods produced in India include heavy electrical machinery, textile

machinery, machine tools, earthmoving and construction equipment including mining

equipment, road construction equipment, material handling equipment, oil & gas

exploration equipment, sugar machinery, food processing and packaging machinery,

railway equipment, metallurgical equipment, cement machinery, rubber machinery, and

process plants machinery & equipments, paper & pulp machinery, printing machinery,

dairy machinery, industrial refrigeration, industrial furnaces etc. Capacity creation in the

Indian capital goods industry has been growing, since liberalization, and in tune with the

growth in industry. Cumulative foreign direct investments (actual inflows) in the capital

goods industry amounted to over US $ 1.6 billion since January 2000.

Non Electrical Machinery

Machine Tools

The machine tools sector is one of the important segments of the capital goods industry

in India. The sector is recognized as a provider of cost-effective high quality lean

manufacturing solutions. The sector manufactures almost the complete range of metal-

cutting and metal forming machine tools. Customized in nature, the products from the

Indian basket comprise conventional machine tools as well as computer numerically

controlled (CNC) machines.

Total production of machine tools in the country reached the level of more than Rs.

2000 crores by the end of the year 2006-07, showing a growth rate of almost 15%, over

the previous year. Export of machine tools has shown a steady increase in the last few

years. In the year 2006-07, export of machine tools was worth more than US $ 234

million. During the period April – November 2007, machine tools export stood at US $

199.28 million, an increase of over 27%, over the same period in the previous year.

USA is the largest market for machine tools exports from India. In the year 2006-07,

USA accounted for 19% (US $ 45.25 million) of India’s total export of machine tools.

Other major markets include Germany (8.1%), UAE (5%), and Singapore (4.7%), and

USA (4.6%).

Textile Machinery

Textile is one of India’s major export items contributing to over 11% in India’s export

earnings. Indian textile machinery sector started as an offshoot of the textile industry to

cater to the capital expenditure demand of the textile units. the Indian textile machinery

sector started producing automated machines, with innovation, envisaging growth in

capacity expansion in the textile industry in the post-quota regime. Textile machinery

production has shown steady increase in the recent years. The total production of textile

machinery in the country increased from around Rs. 11,750 million in 2002-03 to more

than Rs.30,000 million by 2007-08. The success of the textile machinery sector

depends largely on technology and branding. Considering that many Indian textile

machinery manufacturers have started in-house research and development activities,

the sector is poised for further growth. Recently, leading textile machinery

manufacturers have collectively established a research and development centre at the

Indian Institute of Technology, Mumbai. Construction and Mining Machinery India

produces a wide range of construction and mining machinery – such as hydraulic

excavators, wheel loaders, backhoe loaders, bull dozers, dump trucks, tippers, graders,

pavers, asphalt drum / wet mix plants, breakers, vibratory compactors, cranes, forklifts,

dozers, off-highway dumpers (20T to 170T), drills, scrapers, motor graders, rope

shovels etc. They perform a variety of functions like preparation of ground, excavation,

haulage of material, dumping/laying in specified manner, material handling, road

construction etc.

Indian construction and mining machinery sector is also exporting to various countries,

including developed countries such as USA, UK, and Singapore. Major items of export

include moving, grading, pile extracting machineries.

Process Plant Machinery

The process plant machinery and components sector in India is a heterogeneous

segment of capital goods industry. The sector caters to a wide range of process

industries like oil and gas, petroleum refining, petrochemicals, chemicals, fertilizers,

pharmaceuticals, metal processing, cement, paper, sugar, and food processing. The

sector designs and manufactures a wide range of equipment and systems such as:

pressure vessels, columns, towers, heat exchangers, multi-tubular reactors,

evaporators, crystallizers, dryers, road/rail tankers, storage equipments, equipment for

dairy and food processing, mineral beneficiation equipments, rotary kilns, equipments

for solid-liquid separation, equipment for water and waste water treatment. Few of the

Indian companies have made their mark in the export arena due to their manufacturing

skill and quality. These companies are equipped with modern machinery and are

producing sophisticated equipments such as high-pressure heat exchangers, spiral heat

exchangers, multi-wall vessels, air fin coolers, multi-tubular reactors etc. Exports in the

last couple of years have grown at a CAGR of 36%, while the import growth (CAGR)

has been around 49%.

Electrical Equipments and Machinery

The electrical equipment and machinery sector comprises a range of products, such as

transformers, switchgears, motors, generators and control equipment. Electrical

equipment and machinery is principally used in the power industry (generation,

transmission and distribution) as well as in other manufacturing industries, such as

automobiles, cement, steel, petrochemicals and refining.

Transformer Sector

Transformer is a crucial component in transmission and distribution of electricity. The

transformer industry is usually divided into distribution transformers, power transformers

and other types of special transformers for welding, traction, furnace etc. Besides

catering to the domestic demand, India is exporting transformers to over 100 countries

covering USA, Europe, Syria, Malaysia, Singapore, Bangladesh, Oman and China. In

the year 2006-07, India’s export of transformers amounted to US $ 645 million, a growth

of 74% over the previous year. India is also an importer of electric transformers; in the

year 2006-07, India imported transformers valued US $ 557 million, a growth of 37%

over the previous year. India’s major source countries include China, Germany, USA,

Singapore and Japan. China alone accounts for about 40% of India’s total transformer

imports.

Switchgear and Control gear Sector

Switchgears and control gears are required for transmission and distribution of power

and are necessary at every switching point in power transmission and distribution

system. This sector is fully developed and matured one in India, producing and

supplying a wide range of products catering to the needs of households, commercial

and power sector, for entire voltage ranging from 240 V to 800 KV. India has been

exporting switchgears and control gears to various countries. In the year 2006- 07, India

exported switching apparatus (not exceeding 1000v) valued at US $ 234 million, a

growth of 28% over the previous year. In addition, India also exported switching

apparatus (exceeding 1000v) worth US $ 90 million in 2006-07, a growth of 34% over

the previous year. Major markets include UK, USA, Germany, UAE, Philippines,

Australia and Hong Kong. India is also an importer of switchgears and control gears. In

the year 2006-07, India imported switchgears and control gears (not exceeding 1000v)

valued US $ 462 million in 2006-07. In the same year, the import of switchgears

(exceeding 1000v) amounted to US $ 51 million.

INDIAN CAPITAL GOODS INDUSTRY: MARKET ANALYSIS AND EXPORT

POTENTIAL

Globally, the capital goods industry is worth around US $ 4.5 trillion. Germany and USA

are traditionally large suppliers of different sub segments of capital goods. Of late, Asian

countries such as China, Taiwan and South Korea have become major players in

production and export of capital goods. Consumption of capital goods has also

increased substantially in developing Asian countries due to thrust given to the value-

added manufacturing.

Under the machine tools category, though there has been growth in exports, in the last

three years, the import of machine tools have outgrown in several sub segments,

bringing down the export import ratio (Annexure - ). This indicates that there is

significant room for market expansion in the domestic market. Market analyses reveal

that major developing country importers of machine tools in the world include Mexico,

Thailand, Turkey, Poland and China. India’s major developing country markets for

machine tools have been UAE, Nigeria and Thailand. In addition, India exports machine

tools to host of developing countries of Africa and West and South Asia, such as Kenya,

Sudan, Bangladesh, Iran and Sri Lanka.Though some of the sub segments of machine

tools are exported to leading developing country markets, in many cases the share of

India in these markets are insignificant. Thus, careful targeting of export markets need

to be undertaken by the machine tool industry for penetration in new markets and

expansion of market share in existing markets.

The technology upgradation fund scheme of Government of India has contributed to the

capacity expansion in the domestic textile sector significantly. Most of such capacity

expansion has occurred through imports. As a result, the export-import ratio of textile

machinery sector has also come down significantly in the last three years (Annexure -),

especially in sub segment, non-woven machinery. Major developing country importers

of textile machinery in the world include China, Hong Kong, Turkey and Pakistan. On

the other hand, India’s major developing country markets for textile machinery include

Bangladesh, Indonesia and UAE. There is ample scope for exporting to other

developing countries of South Asia, especially to Pakistan and Sri Lanka. In addition,

countries such as Turkey and Egypt could also be targeted for expanding exports and

enhancing market share. Construction and mining equipment is another area in which

the export-import share has come down in the last three years, except under the

product group pulley tackle and hoists (HS Code 8425). This indicates that there is

significant room for capacity expansion in construction and mining equipment sector

also. Amongst developing countries, China, Mexico and Indonesia are the leading

importers in the world. While developed

countries cater to most of the import requirements of these developing countries, India

could explore the opportunities in these countries. India’s export markets include UAE,

Kuwait and Qatar in west Asia and African countries such as Kenya, Tanzania, Togo,

Tunisia and Mauritius. The share of India in the import of these countries is not always

significant. Thus, these countries could be targeted for market expansion by the

construction and mining equipment companies in India.

CHALLENGES AND STRATEGIES

Challenges

Technological Competency

The technologies used for production as also in assembly of Indian capital goods are

not always updated in tune with the global technological trends. While there are some

players who have technological competencies, especially in design capability,

application innovation and process innovation, the technological capabilities of large

number of players, especially in the SME sector, are limited. In addition, the

technological competencies of players in the SME sector, who provide components or

intermediates to original equipment manufacturers are also limited. Transfer of

technology from other developed countries has also not been significant despite

liberalization of policies for technology transfer and foreign direct investments.

Import of Second Hand Capital Goods

Under the Export Promotion Capital Goods (EPCG) Scheme, import of second hand

capital goods is permitted in India for preproduction, production and postproduction

activities. The capital goods that may be imported under this scheme include spares

(including refurbished/ reconditioned spares), tools, jigs, fixtures, dies and moulds.

Import of capital goods under this scheme would attract only 5% customs duty subject

to an export obligation, equivalent to 8 times of duty saved on the capital goods

imported. It may be mentioned that machine tools, refinery equipments, construction

and mining machinery, plastic processing machinery and printing machinery are some

of the second hand capital goods imported into India. During the period April –

December 2007, over 14300 EPCG applications have been sanctioned with licenses /

authorizations, with a CIF duty credit of nearly Rs. 12,000 crores. While the main

objective of this scheme is to help modernization of the industry, by offering duty

concessions, the imported capital goods pose stiff competition to the indigenous capital

goods manufacturers.

Cost Competitiveness

The Indian capital goods industry largely uses crucial inputs such as iron and steel that

are of domestic origin. Over the years, there has been significant increase in cost of

inputs, but the players in this industry are unable to pass on the price increase to the

end consumers, due to competition from imports.

The capital goods industry also has high incidence of taxation; a number of indirect

duties (such as excise duty, octroi, entry tax, sales tax and service tax) are levied

adding up to the end user cost. This makes the indigenous supplies costlier visa- vis

imported capital goods. Some estimates have put the cost disadvantage, due to such

levies to, an extent of over 20%.

STRATEGIES

Transformation in Objective and Approach

Sale of capital goods is not a onetime business but require technical support in

transportation, erection, staff training (for operation and minor repairs), continuous

service maintenance and periodical up gradation in technology. All over the world, the

capital goods manufacturers are turning themselves as engineering services companies

offering turnkey solutions to retain the customers. Players in Indian capital goods

industry may also increasingly reorient their approach to transform into service based

organizations.

Such service orientation would help the industry in sharpening the competitive

advantage.

Strengthening Research and Development

Consistent with global trends, Indian capital goods industry also needs to grant highest

priority to innovation and research and development. The R&D intensity of firms in

Indian capital goods industry is less than 1%, far below than the R&D intensity of other

sectors such as pharmaceuticals and automobiles. Precision measuring, materials

engineering, and process innovation are some of the areas for strengthening R&D in

Indian capital goods industry. It is also important to increase the linkages between the

public research systems and industry to facilitate technology transfer and enhance the

responsiveness of the capital goods industry. Common R&D facilities under the cluster

approach or under the public-private partnership approach would enhance the

technological strengths of the Indian capital goods industry. In this context, it may be

mentioned that the textile machinery industry, with the support of academia and

Government, has set up a R&D center at Indian Institute of Technology (IIT), Mumbai. It

is reported that textile engineering related projects undertaken by postgraduate students

in IIT, Mumbai, in this R&D center, would be useful in product development and

innovation in process engineering in the textile engineering industry. Such R&D centers

may be encouraged to contribute to the technology development in other capital goods

sub-sectors also.

Strengthening Technological Competencies

In order to enhance productivity, product quality and operating efficiency, the players in

the sector need to constantly upgrade their technological competencies. The

Department of Heavy Industry, Government of India, has proposed to undertake a

comprehensive scheme for technology up gradation and R&D facilities for

modernization of capital goods industry. The proposed scheme may endeavor to help

the players in the Indian capital goods industry in tracking global trends in product and

process technologies, with specific objective of cost control, besides enhancing

productivity, energy efficiency, eco-friendliness, product quality, operating flexibility and

efficiency. The scheme may also help enhance the usage of information technology that

provides convenience to the customers, and help enhance customer base and new

avenues for profitability. Such R&D centers may also be conceived as training platforms

for skill up gradation of the shop-floor technicians in the capital goods industry

Projections of future trade of HEAVY MACHINERY PRODUCTS of India

TOP HEAVY MACHINERY MANUFACTURERS IN THE WORLD

Caterpillar Inc.

Caterpillar Inc.

Type Public

Traded as NYSE: CAT

Dow Jones Industrial Average

Component

S&P 500 Component

Industry Heavy equipment

Engines

Financial services

Predecessor(s

)

C. L. Best Tractor Company

Holt Manufacturing Company

Founded California, United States (April

15, 1925)

Headquarters Peoria, Illinois, United States

Area served Worldwide

Key people Douglas R.

Oberhelman(Chairman and CE

O)

Products Products List[show]

Services Services List[show]

Revenue  US$ 60.138 billion (2011)

Operating

income

 US$ 7.153 billion (2011)

Net income  US$ 4.928 billion (2011)

Total assets  US$ 81.446 billion (2011)

Total equity  US$ 10.864 billion (2010)

Employees 152,983 (December 31, 2011)

Caterpillar Inc.  Also known as "CAT", is an American corporation which designs,

manufactures, markets and sells machinery and engines and sells financial

products and insurance to customers via a worldwide dealer network. Caterpillar is the

world's largest manufacturer of construction and mining equipment, diesel and natural

gas engines and industrial gas turbines. With more than US$70 billion in assets,

Caterpillar was ranked number one in its industry and number 44 overall in the

2009 Fortune 500.Caterpillar stock is a component of the Dow Jones Industrial

Average. Caterpillar Inc. traces its origins to the 1925 merger of the Holt Manufacturing

Company and the C. L. Best Tractor Company, creating a new entity, the California

based Caterpillar Tractor Company. In 1986, the company re-organized itself as a

Delaware corporation under the current name; Caterpillar Inc. Caterpillar's headquarters

are located in Peoria, Illinois, United States.

Caterpillar Company formed

The banks who held the company's large debt forced the Holt board of directors to

accept their candidate, Thomas A. Baxter, to succeed Benjamin Holt. Baxter initially cut

the large tractors from the company's product line and introduced smaller models

focused on the agricultural market. When the Federal Aid Highway Act of 1921 funded

a US$1 billion federal highway building program, Baxter began re-focusing the company

towards building road construction equipment. Both companies also faced fierce

competition from theFordson company.

Between 1907 and 1918, Best and Holt had spent about US$1.5 million in legal fees

fighting each other in a number of contractual, trademark and patent

infringement lawsuits. Harry H. Fair of the bond brokerage house of Pierce, Fair &

Company of San Francisco had helped to finance C. L. Best's debt and Holt

shareholders approached him about their company's financial difficulty. Fair

recommended that the two companies should merge. In April and May 1925, the

financially stronger C. L. Best merged with the market leader Holt Caterpillar to form

the Caterpillar Tractor Co. The new company was headquartered in San Leandro until

1930, when under the terms of the merger it was moved to Peoria. Baxter had been

removed as CEO earlier in 1925, and Clarence Leo Best assumed the title of CEO, and

remained in that role until October 1951.

The Caterpillar Company consolidated its product lines, offering only five track-type

tractors: the 2 Ton, 5 Ton, and 10 Ton from the Holt Manufacturing Company's old

product line and the Caterpillar 30 and Caterpillar 60 from the C. L. Best Tractor Co.'s

former product line. The 10 Ton and 5 Ton models were discontinued in 1926. In 1928,

the 2 Ton was discontinued. Sales the first year were US$13 million. By 1929, sales

climbed to US$52.8 million, and CAT continued to grow throughout the Great

Depression of the 1930s.

Caterpillar adopted the diesel engine to replace gasoline engines. During World War II,

Caterpillar products found fame with the Seabees, Construction Battalions of the United

States Navy, who built airfields and other facilities in the Pacific Theater of Operations.

During the post-war construction boom, the company grew at a rapid pace and

launched its first venture outside the U.S. in 1950, marking the beginning of Caterpillar's

development into a multinational corporation.

Expansion in developing markets

Caterpillar built its first Russian facility in the town of Tosno, located near St.

Petersburg, Russia. It was completed in 16 months and occupied in November 1999. It

had the first electrical substation built in the Leningrad Oblast since the Communist

government was dissolved on December 26, 1991. The facility was built under harsh

winter conditions, where the temperature was below −25°C. The facility construction

was managed by the Lemminkäinen Group located in Helsinki, Finland.

The $125M Caterpillar Suzhou, People's Republic of China facility, manufactures

medium wheel loaders and motor graders, primarily for the Asian market. The first

machine is scheduled for production in March 2009. URS Ausino, in San Francisco,

California, manages facility construction.

Caterpillar has manufactured in Brazil since 1960. In 2010 the company announced

plans to further expand production of backhoe and small wheel loaders with a new

factory.

Major Capacity Expansions in 2011 versus 2010 include:

• New facility opened in Campo Largo, Brazil, for production of backhoe loaders and

small wheel loaders.

• New facility opened in Thiruvallur, India, dedicated to the production of backhoe

loaders.

• Increase in small wheel loader unit capacity at Clayton, N.C.

• Increase in medium excavator unit capacity at Jakarta, Indonesia.

• Increase in motor grader unit capacity at North Little Rock, Ark., as the facility ramps

up to full production, including the transfer of the majority of existing motor grader

capacity from Decatur, Ill.

• Increase in SEM brand wheel loader unit capacity at Qingzhou, China.

• Increase in motor grader and medium wheel loader unit capacity at Suzhou, China,

as the facility ramps up to full production.

• Increase in small, medium and large excavator unit capacity at Xuzhou, China.

• The expansion opening of the Sanford, N.C., facility that provides increased logistics

and fabrications capacity to meet global demand.

Komatsu Limited

Komatsu Limited

Type Public (TYO: 6301)

Industry Heavy equipment

Founded Jan 1917

(Komatsu Iron Works)

Headquarters Tokyo, Japan

Key people Kunio Noji

(President and CEO)

Kenji Kinoshita (Director

and CFO)

Products Construction equipment

Mining equipment

Industrial machinery

Revenue  ¥1432 billion (FY2010)[1]

Operating

income

 ¥67 billion (FY2010)[1]

Net income  ¥33.6 billion (FY2010)

Komatsu is the world's second largest manufacturer of construction

equipment and mining equipment after Caterpillar. However, in some areas (Japan,

China), Komatsu has a larger share than Caterpillar. It has manufacturing operations in

Japan, Asia, Americas and Europe. They plan on continuing to spread.

Komatsu Iron Works was started by Takeuchi Mining Industry as a subsidiary to make

industrial tools for the parent company. Komatsu eventually became large enough to

sell to the public, and was spun off on May 13, 1921 as Komatsu Ltd.

Komatsu produced its first agricultural tractor prototype in 1931. Through the 1930s,

Komatsu also produced military tractors for the Japanese military, as well

as bulldozers, tanks and howitzers. After World War II, under its new president

Yoshinari Kawai, Komatsu added non-military bulldozers and forklifts to its line of

equipment. In 1949 it began production of its first diesel engine. [3] Its growth as a

company was aided by the strong demand for its bulldozers during Japan's post-war

reconstruction in the 1950s. In August 1951 the corporate headquarters were moved to

Tokyo. By 1957 the company had advanced technologically to the point that all its

models were using Komatsu engines.

In 1964 Rioichi Kawai, son of Yoshinari Kawai, became president of Komatsu, and it

began exporting its products, looking to counteract the postwar image of Japanese

products as being cheap and poorly made. In July 1967, it entered the U.S. market,

taking on Caterpillar, the world's largest bulldozer maker, in its home market. This was

done under the company slogan of "Maru-C", translating into English as "encircle

Caterpillar" (from the game of Go (board game), where encircling an opponent results in

capture of their territory

Volvo Construction Equipment

Volvo Construction Equipment (originally Volvo BM) is a subsidiary and business

area of AB Volvo. Volvo Construction Equipment develops, manufactures and markets

equipment for the construction and related industries.

Volvo CE's product leaders in many world markets include a comprehensive range of

wheel loaders, wheeled and crawler hydraulic excavators (aka diggers), articulated

haulers (aka dumpers), motor graders, backhoe loaders, skid steer loaders, as well as

mini and compact excavators, skid steers, and wheel loaders, pipelayers, demolition

equipment, waste handlers and scraper haulers. Volvo Construction Equipment has

production facilities in Sweden, Germany, China, Brazil, Mexico, South Korea, India,

and Poland. With the purchase of Ingersoll Rand, Volvo acquired a Road Construction

facility in Pennsylvania, their only presence in the United States. The company offers

worldwide service and spare-part distribution as well as a wide range of attachments.

Volvo Construction Equipment mainly distributes its machines through independent

dealers and, in parallel with their rental program, to customers in more than

200 countries. Principal Volvo products for the rental centers include the company’s

comprehensive line of compact excavators, skid steers, and backhoe loaders.

The corporation's equipment rental arm, Volvo Rents, began its

equipment franchising initiative in 2001. The company now has nearly 90 equipment

rental centers—mostly in North America—and continues to expand its operations in

Europe with rental centers in Portugal and Spain. As part of the Volvo acquisition of

Ingersoll Rand road machinery, approximately 30 former "Ingersoll Rand Equipment

Stores" have been transitioned to "Volvo Construction Equipment & Services" locations

that will sell, rent and support road machinery, compact equipment, and material

handling products, such as milling equipment, pavers, compactors, tack distributors,

road wideners and material transfer vehicles. In 2008, Volvo formed "Volvo Construction

Equipment & Services California," from the IRES and recently acquired "Mathews

Machinery" locations based in California.

In 1950, AB Volvo bought the machine manufacturer Bolinder-Munktell (BM). In 1973,

the company name was changed to Volvo BM AB. During the 1980s and 1990s, a

number of American, European and Asian construction equipment manufacturers were

purchased. In 1995, the name was changed to Volvo Construction Equipment. Up until

1985 Volvo BM also produced tractors and other agricultural machines; the tractor

manufacturing division was sold to Valmet in 1985.

In February 2007, Volvo announced it had agreed to buy the road construction

equipment division of Ingersoll-Rand for $1.3 billion in cash to re-enter the Road

Construction market.

The unit manufactures and sells asphalt paving equipment, compaction equipment,

milling machines and construction-related material handling equipment and generated

net revenues of approximately $850 million for 2006. The sale includes manufacturing

facilities in Pennsylvania, Germany, China and India, as well as 20 distribution and

service facilities in the U.S. The business employs approximately 2,000 people

worldwide.

On December 11, 2009, Volvo announced that it would close its manufacturing facility in

Asheville, NC on or before March 31, 2010; resulting in the loss of 228 jobs, and the

lack of any construction equipment facilities in the United States outside of Road

Machinery. The products built at the Asheville Plant, including wheel loaders and

crawler excavators, were transferred to Volvo manufacturing facilities in South Korea

and Sweden.

On January 13, 2010, Volvo announced that it would invest 65 million SEK to begin

producing crawler excavators in Brazil, taking advantage of government run, low

financing options for products built in country.

Beginning in 2010, Volvo announced its new focus entitled "Fit for the Future". Key

initiatives include focusing growth and expansion in the "BRIC" countries (Brazil,

Russia, India, China). The new focus is set to run through 2012

Hitachi Construction Machinery

Hitachi Construction Machinery (Europe)NV (HCME) is a subsidiary of Hitachi

Construction Machinery Co.,Ltd. (HCM) and was established in 1972 in Oosterhout, The

Netherlands. It is responsible for the manufacture, sales and marketing of Hitachi

construction equipment throughout Europe, Africa and the Middle East.

In 1968, Hitachi appointed Hovers Constructie NV in Tilburg as exclusive importer of

Hitachi's range of construction equipment in the Benelux. In the 1970s the company

launched a number of crawler cranes designed locally but had appeal throughout the

world.

In 1972 Hovers Constructie NV went out of business. To continue support of existing

customer, HCME was incorporated on April 1, 1972, as the first foreign branch of HCM.

With its brief opened to cover Africa and the Middle East, in 1981 the company opened

a parts Distribution Center. In 1986 the production partnership between Fiat and Hitachi

began, with the original plan to build a limited range of Hitachi crawler excavators in

Fiat's factory in San Mauro, Turin, Italy.

In the 1990s, HCME increased production at Oosterhout, starting to produce mini

excavators, which with an extension of coverage into Russia lead to a trebling of

production volumes. In October 1998, Euclid and Hitachi agreed a distribution

partnership. This resulted in a new part distribution centre being opened at Oosterhout

in April 2000, so that HMCE could take over the exclusive distribution for Euclid dump

trucks parts.

In March 2001, Hitachi and Fiat terminated their joint venture relationship. The factory

moved to its current site (also in Oosterhout) three years later, when HCME further

expanded its operations. In 2002, the Zaxis mini excavator range was introduced to the

plant. In the same year, HCME headquarters, including a factory for the construction of

medium excavators and a Training and Demonstration Centre, was established in

Amsterdam.

CNH

CNH Global N.V. (NYSE: CNH) is an American-based global, full line company

operating in both the agricultural and construction equipment industries. CNH's scope

includes integrated engineering, manufacturing, marketing and distribution of equipment

on five continents. CNH's operations are organized into three business segments:

agricultural equipment, construction equipment and financial services.

As of December 31, 2011, CNH manufactures its products in 37 facilities throughout the

world and distributes its products in approximately 170 countries through approximately

11,300 full line dealers and distributors.

CNH Global N.V. is incorporated in and under the laws of the Netherlands. The

company was created on November 12, 1999 through the merger of New Holland N.V.

and Case Corporation. CNH Global N.V. stock is listed on the New York Stock

Exchange (NYSE:CNH). The company presents its financial results on a quarterly basis

under U.S. Generally Accepted Accounting Principles (GAAP). CNH is majority-owned

by Fiat Industrial S.p.A.

CNH products are marketed globally through two brand families, Case and New

Holland. Case IH (along with Steyr in Europe) and New Holland make up the

agricultural brand family. Case and New Holland Construction (along

with Kobelco in North America) make up the construction equipment brand family.

Agricultural brands

In agricultural equipment, CNH is one of the leading global manufacturers of

agricultural tractors and combines based on units sold and it has leading positions in

hay and forage equipment and specialty harvesting equipment. For the year ended

December 31, 2011, CNH sales of agricultural equipment represented 73% of net sales

of equipment.

Case IH has more than 160 years of heritage and experience in the agricultural

industry; its range includes agricultural tractors, balers, coffee harvesters,

combines, cotton pickers, planters, sugar cane harvesters, and tillage equipment, sold

through a global network of dealers.

New Holland Agriculture offers a full line of equipment, including agricultural tractors,

balers, combines, forage harvesters, grape harvesters, hay tools, material handlers,

planters, seeders, sprayers, tillage equipment and groundscare. New Holland has a

worldwide presence in terms of manufacturing facilities, offices and its distribution

network.

Case Construction Equipment offers a full line of construction equipment, including

backhoe loaders, articulated trucks, crawler and wheeled excavators (including

compact), telehandlers, motor graders, wheel loaders (including compact), vibratory

compaction rollers, crawler dozers, skid steers, compact track loaders, tractor loaders

and rough-terrain forklifts.

Industry Agricultural equipment

Construction equipment

Capital lending

Founded 1999

Headquarters Burr Ridge, IL, USA

Key people Sergio Marchionne, Chairman

of the Board

Richard Tobin, President and

CEO

Revenue  US$ 19.2 billion(2011 U.S.

GAAP)

Employees 32,700 (2011)

Parent Fiat Industrial

CNH milestones

1999: CNH was created in November 1999 through the business merger of Case

Corporation and New Holland N.V.[9]

2000: CNH Global acquires all of the shares of Flexi-Coil Ltd., a Canadian agricultural

equipment manufacturer based in Saskatoon, Saskatchewan. The acquisition

completes a previous agreement between New Holland and Flexi-Coil to purchase a

majority stake in the company over time. New Holland initially purchased 35 percent of

Flexi-Coil in December 1997. Flexi-Coil, which makes air seeding systems and tillage

equipment, had net sales of approximately $67 million in 1999.[22]

2000: Paolo Monferino appointed President & Chief Executive Officer of CNH Global

N.V.[23]

2001: CNH Global, Kobe Steel Ltd., and Kobelco Construction Machinery reach an

agreement to form a global alliance for the marketing, development and production of

crawler excavators worldwide. The alliance with Kobelco includes also distribution of

CNH construction equipment in Japan and the Asia Pacific region.[24]

2002: CNH Global N.V. and BNP PARIBAS Lease Group (BPLG), the leasing arm of

BNP PARIBAS, agree to a long term retail financing partnership across Europe. All the

brands and commercial activities of CNH are covered, including Fiat-Kobelco.[25]

2002: CNH Global N.V. creates Fiat Kobelco Construction Machinery S.p.A. (Fiat

Kobelco). CNH owns 75% of the new entity, Kobelco Construction Machinery Co. Ltd.

(Japan) holds a 20% interest and Sumitomo Corporation maintains its 5% stake.[21]

2005: In Europe and Latin America, CNH rationalizes non-Case construction equipment

brand families into one brand, New Holland Construction.[21]

2005: CNH Board elects Harold Boyanovsky as President & Chief Executive Officer of

CNH Global N.V.[26]

2006: Sergio Marchionne is appointed Chairman of the Board of CNH Global N.V.[27]

2007: Case Construction Equipment and Hyundai Heavy Industries form a strategic

alliance to produce a selected wheel loader size.[28]

April 2010: Fiat announces that CNH, Iveco and Fiat Powertrain Industrial & Marine will

be separated from the auto business and listed in Milan stock exchange as Fiat

Industrial. The separation is completed at the end of 2010.[29][30]

May 2010: CNH and KAMAZ finalize strategic alliance for the production and

commercialization of agricultural and construction machinery in Russia[31]

January 1, 2011: CNH becomes part of Fiat Industrial S.p.A.

Atlas Copco

Atlas Copco is a Swedish industrial company that was founded in 1873. It

manufactures industrial tooling and equipment.

The Atlas Copco Group is a global industrial group of companies headquartered in

Stockholm, Sweden. Revenues for 2010 totaled 69.88 billion SEK. The Group employs

more than 33,000 people. The company manufactures products on 68 production sites

in 20 countries. As of 2010, China is the company's largest single market. At the end of

June 2010 the company was placed 402nd in theFinancial Times Global 500 ranking of

companies by market capitalization. The firm's shares are listed on the OMX Stockholm

exchange and both 'A' and 'B' classes form part of the benchmark OMXS30 index.

Atlas Copco companies develop and manufacture industrial tools, air compressors (of

which it is the world's leading producer), construction and mining equipment such as

rock drills, assembly systems, and offer related service and equipment rental. The

products are sold and rented under different brands through a worldwide sales and

service network reaching 150 countries, half of which are served by wholly or partly

owned sales companies. The Group operates through a number of divisions within three

business areas; Compressor Technique, Construction and Mining Technique, and

Industrial Technique.

Products

Atlas Copco designs, manufacturers and markets a large range of products for different

industry segments.

Compressors and generators Construction and mining Industrial tools

Pistion compressors Demolition equipment Air assembly tools

Rotary screw compressors Rock drills Electrical assembly tools

Air treatment and gas purification equiqment

Blast hole drilling rigs Quality integrated fastening

Generators Rotary blasthole drill rigs Fixtured applications

Process gas compressors & Turboexpanders

Exploration drilling equipment

Quality assurance in tightening

Rental equipment & services Rock drilling tools Drills

Oil-free tooth and scroll compressors

Underground vehicles Grinders

Oil-free blowers Ground engineering Percussive tools

Oil-free centrifugal compressors Raiseboring Equipment Hoist and trolleys

Rock reinforcement & bolting

Air motors

Water well, gas, coal bed methane

Airline accessories

Road construction equipment

Crusher

Industry Industrial equipment

Founded 1873

Headquarters Stockholm, Sweden

Key people Sune Carlsson (Chairman,

Ronnie Leten (President and

CEO)

Products Compressors and generators,

construction and mining

equipment, industrial tools and

assembly systems

Revenue SEK 81.203 billion (2011)

Operating

income

SEK 17.560 billion (2011)

Profit SEK 12.988 billion (2011)

Total assets SEK 75.109 billion (2011)

Total equity SEK 28.839 billion (2011)

Hyundai Heavy Industries

Hyundai Heavy Industries Co., Ltd. is the world's

largest shipbuilding company, headquartered in Ulsan, South Korea. The company is a

subsidiary of Hyundai Heavy Industries Group. It has seven business divisions:

Shipbuilding, Offshore & Engineering, Industrial Plant & Engineering, Engine &

Machinery, Electro & Electric Systems, Construction Equipment, and Green Energy.

Type Public (traded on the Korea

Stock Exchange

Industry Heavy equipment

Founded 1972

Headquarters Ulsan, South Korea

Area served Worldwide

Key people Lee, Jai-seong (President &

CEO)

Kim Oi-hyun(President &

CEO)

Revenue  US$ 46.6 billion (2011)[1]

Operating

income

 US$ 3.93 billion (2011)[1]

Net income  US$ 2.38 billion (2011)[1]

Employees 26,000 (2011)

Parent Hyundai Heavy Industries

Group

XCMG

Type State-owned limited company

Traded as XCMG Construction

Machinery Co. Ltd.

(000425.SZ)

Industry Heavy equipment

Founded 1989 (Xuzhou)

Headquarters Xuzhou, Jiangsu, People's

Republic of China

Area served Worldwide

Products Construction equipment

Cranes

Revenue US$13.8 billion (2011)

XCMG Group is a Chinese multinational heavy machinery manufacturing company

headquartered in Xuzhou, Jiangsu. It is the world's tenth-largest construction equipment

maker measured by 2011 revenues, and the third-largest based in China

(after Sany andZoomlion).[3]

XCMG is a state-owned company and was founded in 1989. Its subsidiary XCMG

Construction Machinery Co. Ltd. is listed on theShenzhen Stock Exchange.

1989 to 2011

XCMG was founded in Xuzhou in March 1989 as Xugong Construction Machinery

Science & Technology.[2][5]

XCMG formed a joint-venture with Caterpillar Inc. in 1995, Caterpillar Xuzhou Ltd., with

the companies subsequently jointly building a 170,000 square metre excavator plant in

Xuzhou.[6] In the same year, XCMG and Liebherr Group signed a licensing agreement

allowing XCMG to manufacture three models of Liebherr all-terrain cranes, including the

six-axle LTM 1160 160t AT.[6] XCMG's subsidiary Xugong Science & Technology Co.

Ltd. (later renamed XCMG Construction Machinery Co. Ltd.) listed on the Shenzhen

Stock Exchange in August 1996.[7]

In October 2005 the U.S.-based private equity firm Carlyle Group agreed to acquire 85

per cent of XCMG for US$375 million. The transaction was subsequently blocked by the

Chinese government.[8]

In 2010 XCMG signed an agreement with the Chinese oil company Sinopec to jointly

develop crawler cranes.[9] In May 2010 XCMG established a new wholly owned

subsidiary focused on the railway equipment market, XCMG Railway Equipment Co.

Ltd., with a plan to invest RMB 450 billion in production capacity and capital reserves.[10] In June 2010, XCMG agreed to sell its remaining 15.87 per cent stake in Caterpillar

Xuzhou Ltd. to Caterpillar.[11]

2011 to present

In April 2011 XCMG signed an agreement with the Venezuelan government to establish

a construction equipment manufacturing joint-venture company in Venezuela. [12] In

October 2011 XCMG Construction Machinery was forced to abandon a planned US$1.5

billion initial public offering on the Hong Kong Stock Exchange as a result of market

conditions.[13]

In February 2012 XCMG began manufacturing an 88,000 tonne-metre rated lattice

boom crawler crane with a 3,600 tonne capacity, intended for use in the construction of

power generation plants and petrochemical facilities.[9] XCMG agreed to acquire a

majority stake in the privately-owned German machinery manufacturer Schwing for an

undisclosed amount in April 2012.[4][14] The acquisition of a 52 per cent stake was

completed in July 2012.[15]

In June 2012 XCMG completed the construction of new facilities in Xuzhou for the

manufacture of all-terrain cranes, wheeled loaders, concrete pumps and other concrete

machinery.[16] The facilties were built at a cost of US$1.9 billion, occupy around 2 million

square metres, and have the capacity to build 5,000 large and medium capacity cranes,

40,000 wheeled loaders and 20,000 units of concrete machinery annually.[16]

XCMG began construction of a 16,400 square meter research and development facility

in Krefeld, Germany in July 2012.

Alminco Pty Ltd

Alminco is a long established supplier of equipment and services for the Global Mining

Industry and has been in operation since 1978. Alminco have several locations in NSW

and Queensland and a network of quality, professional distributors throghout the worlds

major coal fields.

Alminco has built an enviable reputation spanning 35 years in providing quality, reliable

and innovative solutions and technologies for application in underground coal mining.

Alminco operates in the coal fields of Australia, the United States, South Africa Sub-

Sahara, Eastern Europe, Mexico, Brazil and the United Kingdom through established

distributors, many of whom have been with us for many years.

The Alminco team comprises of a responsive and proactive team of technically

proficient engineers and is further complimented by professional customer relationship

managers. We are united in our pursuit and brand pillar, “Our Word is Our Bond,” and

that we do what we say we are going to do. In Australia, Alminco Service Centres are

geographically located close to customer mine sites in New South Wales and

Queensland. The Service Centres are complimented by Alminco Mobile Technicians

and On-Customer-Site facilities.

The Alminco Portfolio has grown from legendary brands such as The Gopher Bolter and

Cub Borers to also include the T-Rex roof Support, Scorpion Crawler Rig, Electro-

Scorpion Crawler Rig, Gopher Bluey our most powerful roofbolter yet and the award

winning Spyder Series bolters. Alminco also manufactures a range of Enhanced Diablo

Quickdusters, Taipan Grout Pump and Trojan Bulk Grout Systems and Fabricated QDS

attachments such as man baskets and bolter platforms.

We now represent Ingersoll Rand Hand Tools and Sandpiper Pumps, as well as

Chemgrout and Penny Props, solutions that demonstrate quality, endurance and value.

Alminco have always had a strong commitment to Research & Development and this

continues to grow. For example, we are working on a very exciting project, in

partnership with Minova, the Self Drilling Resin Bolt Technology. The project has the

backing of the Australian Coal Industry’s Research Body, ACARP and we are working

closely with Joy and SANDVIK and Xstrata.

Products & Services:

• Portable Pneumatic Bolters & Props

• Mobile Bolting Solutions

• Pumps & Hand Tools

• QDS Attachments

• General Engineering Services

• Support Programs

• Gopher Fatboy and Gopher Bluey Roofbolters

• Scorpion Crawler Drill Rig

• Taipan Grout Pump & Trojan Bulk Grout System

• Diablo Quickdusters 1.5T and 4.0T, Man Baskets

• Basket Bolters, T-REX TRS, Pipe Trailers

• Life Cycle Management, Engineering Services

Aran International

Aran International Pty Ltd is recognised as a global supplier of high performance

mixers, modular and mobile mixing plants and engineering services. Aran works closely

with clients from the initial planning stages through to project completion to ensure a

successful outcome.

Aran International is a master supplier of mixers, modular and mobile plants for the

mining industry. Capabilities include: paste, cemented aggregate and hydraulic backfill.

Aran also provides engineering services for material testing and backfill design. Aran is

an Australian company that has been delivering projects to clients across the globe for

more than 30 years. A No Compromise standard of engineering integrity is entrenched

in the Aran methodology. At Aran we specialise in Tailored Solutions. Each project is

unique and our experienced engineering team are committed to providing sound

solutions to the most complex project challenges. Aran’s vision is to be “the global

resource industry first choice for continuous mixing systems for Backfill and Concrete

Aggregate Solutions, through innovation and customisation for their customers.”

Products & Services:

• Minefill Design Studies and Operation Reports

• Modular & Mobile Mixing Plants

• Mixers

• Site Services and Operations Optimisation Reviews

Ausenco

Ausenco sets high global standards for leading edge engineering and project

management services. We offer our clients complete solutions and a range of services

in our areas of expertise– Energy, Environment & Sustainability, Minerals & Metals,

Process Infrastructure and Program Management.

 

Ausenco is a provider of innovative and high quality engineering and project

management services to the global resources and energy sectors. Across 29 offices in

19 countries, Ausenco offers our clients complete solutions and a range of services in

our areas of expertise– Energy, Environment & Sustainability, Minerals & Metals,

Process Infrastructure and Program Management. We provide services across the full

project lifecycle, searching for new and better ways to add value to our clients’ projects

by following a disciplined and inventive approach. We go further, beyond expectations,

to deliver practical, fit-for-purpose solutions to complex problems. Only by working

together and with our clients, our communities and our environment can we achieve

more to make a genuine impact on the world around us.

Products & Services:

• Engineering, procurement and technical services

• Energy

• Ports and marines

• Pit to port minerals processing solutions

• Pipelines

• Operations and maintenance

Austin Engineering

Austin Engineering Ltd, one of the world's largest non-OEM designers and

manufactures of specialised mining equipment is a publicly listed company (ASX:ANG)

with its core business in the mining and resource sectors.

The company has Australian repair, machining and manufacturing facilities in Brisbane,

Perth, Mackay, Hunter Valley and overseas in the USA, South America, the Middle East

and Indonesia. Each Austin division provides an array of product manufacturing,

fabrication and both site and on-site support services to mining, aluminium and

industrial customers. The company was originally founded in 1982 and listed on the

ASX in 2004. Head Office is located in Brisbane, QLD.

The JEC mining products range. Excavator & Loader Buckets. Tyre Handlers, Water

Tanks, Service Vehicles, Cable Reels. Repair & maintenances services. On & off site

Machining, rebuilds & equipment overhaul Heavy Fabrication. Mobile Line Boring Units

Mineral Processing Equipment Westech & OEM Dump Truck Bodies, Custom Design

Components for Aluminium Smelters.

Products & Services:

• Austbore, Mackay.

• Westech Inc.

• Wyoming.

• Austin Ingenieros, Chile & Columbia

• Austin Indonesia, Batam Island

• Masco, Oman

Bisalloy Steels Pty Ltd

Bisalloy Steels is Australia's only manufacturer of high-tensile and abrasion-resistant

quenched and tempered steel plate under the brand name of “BISPLATE®”.

Bisalloy Steels was established in 1979 and has earned an outstanding international

reputation for the quality of its products and technical backup. Being a specialist

supplier enables Bisalloy Steels to not only respond quickly to customers' demands to

market changes anywhere in the world, it also allows the company to remain clearly

focused on the important task

Bisalloy has an extensive Australian network of distributors as well as overseas agents

and direct export customers. Bisalloy Steels supplies manufacturers and end-users in a

vast array of industries including mining, construction, general fabrication, pressure

vessel and defence.

BISPLATE® has become the generic name for quenched and tempered steel in

Australia and many countries in Asia. Bisalloy Steels is proudly Australian and operates

from Wollongong, NSW.

Products & Services:

BISPLATE® 60

BISPLATE® 70

BISPLATE® 80

BISPLATE® 400

BISPLATE® 450

BISPLATE® 500

Heavy Equipment Manufacturing designs and builds equipment for the

concrete paving industry. The HEM line of equipment includes a full range

of slip form pavers, placer/spreaders, placers, grade trimmers,

texture/cure machines, canal pavers, powered work bridges and custom

designed machines for specific customer needs.

All HEM machines are built with three things in mind: Reliability, Economy

and rock-solid Durability. In the environment where these machines

continually work, there is little room for any design that doesn’t center on

those three traits.  This is why HEM is growing at a steady pace.

HEM’s design staff, with more than 60 years of combined experience in

the slip form paving field, spends as much time as possible with

contractors on jobs around the world. Our customers, seasoned

professionals in the highway/airport building business, have been a great

resource in determining which equipment features are important and

necessary, and which ones have little long lasting value. We make it a

point of determining what the customer wants, instead of telling the

customer what he is going to get.

HEM has built a reputation with its customers based upon honest

dealings, solid products, a good understanding of the customers’ needs

and highly skilled service and support personnel. The entrepreneurial spirit

at HEM, combined with a fast growing number of satisfied and loyal

customers is shaping the future for this company and its place in the

concrete paving industry.

British Leyland

In 1967 it became part of British Leyland. British Leyland engines were to be used as

part of the deal, but there were reliability problems.

PRODUCTS

Aveling barford were best known for their line of three point rollers including the small

GA up to the GC, The "Master Pavior" 3-point roller was one of the most famous diesel

rollers.

A line of rigid dumpers was manufactured from 30 tonne RD030 through to the 50 tonne

RD050 and eventually a RD55 and RD65 were added.

A new dumptruck the RD44 was unveiled at Bauma to try and rejuvenate the line of

dumptrucks but with limited success

Site dumpers are still sold under the Barford name

Modern day incarnation

The site was bought by Wordsworth Holdings in 1988, who went into administration in

2010. Barfords is now owned by Invictas Engineering.

In August 2007 Moxy Engineering of Norway bought the intellectual property rights of

the Barford dump truck range.[2]

In or around 2010-2011 Moxy was purchased by the South Korean Doosan (formerly

Daewoo) and the Aveling Barford dumper is now painted orange and badged as

Doosan.

Barfords' sports field is still in existence, called Arnoldfield, in Gonerby Hill Foot.

BelAZ

BelAZ, Belarusian autoworks (BY: БелАЗ,

Беларускі аўтамабільны завод)

Belaz_logo.gif

Type JSC

Industry Automotive

Founded 1948

Headquarters Zhodzina, Belarus

Area served Worldwide

Key people Piotr Parkhomchyk

Products Dump trucks, Semi-trailer

trucks

Net income US$ 165 million (2011)

BelAZ (Belarusian: Беларускі аўтамабільны завод or БелАЗ, Romanized: Belaruski

autamabilny zawod or BelAZ) is a Belarusian manufacturer of haulage and earthmoving

equipment based in Zhodzina. The factory opened its door in 1948 and has produced

over 120,000 vehicles for use in the Soviet Union.

BELAZ is a site for one of the largest Commonwealth of Independent States investment

project. The factory finalized two of the three scheduled phases of the technical re-

equipment and upgrades. The Quality Management System applied in research and

development, fabrication, erection and after-sale service of the equipment complies with

international ISO 9000 standards.

1971 USSR postage stamp depicting BelAZ 540

In 1948, a peat extraction machinery plant was constructed by the railroad station

Žodzina.

In 1951 the plant was expanded into the plant of road construction and land

improvement machinery and renamed into "Dormash" (Дормаш), an abbreviation

for "дорожное машиностроение", "road construction machinery building".

In 1958 it was renamed into BelAZ. Initially it produced MAZ trucks.

In 1961 the first 27-tonne BelAZ pit and quarry dump truck was manufactured.

In 1990 a 280-tonne truck was manufactured.

In 2001 the director of BelAZ plant, Pavel Maryev, was awarded the order Hero

of Belarus.

In 2005 plans were revealed for production of BelAZ-75600 with 320 tonne

(352,600 kg, or 352.6 tons) capacity, ordered by Kuzbass mining.

In fall of 2006 the first delivery of BelAz-75600 [1]

In April 2012, BelAZ announced it would hold an IPO - the first in Belarus. [2]

Bharat Earth Movers

Bharat Earth Movers Limited

Type Public Sector Undertaking

(NSE: BEML)

(BSE: 500048)

Industry Mining & Construction,Defence, R

ail & Metro

Founded Banglore, Karnataka

(May 1964)

Headquar

ters

BEML Soudha,

No 23/1, IV Main,

Sampangiramanagar,

Bangalore, Karnataka, 

India

Key

people

P. Dwarakanath , Executive

Chairman of the Board, MD,

Director - Metro & Rail Business

Products Earthmoving equipment

Underground mining equipment

Railway equipment

High power diesel engines

Heavy duty hydraulic aggregates

Revenue   5,000 crore (US$905 million)

(2010)

Operating

income

Rs 3013 crores INR (2007-08)

History

BEML incorporated in May 1964, and commenced operations on 1 January 1965. It was

wholly owned and operated by India's Ministry of Defense until 1992, when the

government divested 25% of its holdings in the company. BEML is Asia's second-

largest manufacturer of earth moving equipment, and it controls 70% of India's market in

that sector. Its stock trades on the National Stock Exchange of India under the symbol

"BEML", and on the Bombay Stock Exchange under the code "500048". The company

went for Follow On Public offer (FPO) and fixed the price band for its FPO between

Rs.1,020 and Rs.1,090.

Manufacturing Facilities

BEML has manufacturing plants in Kolar Gold Fields, Bangalore and Mysore. It has

numerous regional offices throughout the country. KGF unit is the main unit accounting

for the manufacture and assembly of a wide array of earth-moving equipment such

as Bulldozersand Excavators. Railcoaches are made in the Bangalore complex and the

Mysore facility makes dump trucks and engines of various capacity 

Products

BEML manufactures a wide range of products to meet the needs of Mining,

Construction, Power, Irrigation, Fertiliser, Cement, Steel and Rail Sectors. The

earthmoving equipment includes Bulldozers, Dump Trucks, Hydraulic Excavators,

Wheel Loaders, Rope Shovels, Walking Draglines, Motor Graders and Scrapers.

BEML has recently introduced Road Headers and Slide Discharge Loaders for

underground mining applications. Railway products include Integral Railcoaches,

Electric Multiple Units, Rail Buses, Track Laying Equipment and Overhead Equipment

Inspection Cars. BEML manufactures Heavy Duty Trucks and Trailers and hydraulic

aggregates for transportation sector.

The company also manufactures high power diesel engines and heavy duty hydraulic

aggregates to meet specific customer requirements. The company plans to diversify into

varied activities including underground mining equipment, underground storage for

petro-products, leasing and financial services and joint ventures abroad.

Metro Rolling Stock

BEML manufactures Rolling Stock for Delhi Metro and Namma Metro in a consortium

with Hyundai Rotem BEML has supplied more than 200 coaches to DMRC and has a

order of 150 coaches from Bangalore Metro. Jaipur Metro has also ordered to

manufacture, supply, test and commission 10 train sets of four-car each, totalling 40

cars to Jaipur Metro Project.

BEML is a leading manufacturer of Rail and Metro coaches. Metro Systems using

BEML Rolling Stocks are:

Delhi Metro  - 200 coaches

Namma Metro  - 150 coaches

Jaipur Metro  - 40 coaches

Infrastructure

BEML operates on three major business verticals associated equipment manufacturing:

Mining & Construction

Defence & Aerospace

Rail & Metro

In addition to the above there are Four Strategic Business Units (SBUs):

Technology Division for providing end-to-end engineering solutions

Trading Division for dealing in non-company products

International Business Division for export activities

Aerospace Division for provide design services for Aviation Sector

BEML has eight manufacturing units spread over four locations:

Kolar Gold Fields (KGF) Complex (around 100 km from Bangalore)

Earth Moving Division

Rail Coach Unit II

Heavy Fabrication Unit

Hydraulic & Powerline Division

Mysore Complex (around 130 km from Bangalore)

Truck Division

Engine Division

Aerospace Manufacturing Division

Bangalore Complex - Rail & Metro Division

Vignyan Industries, a subsidiary located at Tarikere (around 300 km from

Bangalore) - Steel Castings

Management

On 11 June 2012, BEML chief V.R.S. Natarajan was suspended in connection with

Tatra case and Mr P. Dwarkanath has been given the charge of CMD.[3] The CBI team

investigating the Tatra truck scam stated that it will soon be calling Chairman BEML,

Vectra Chairman and other former officials for questioning after which some significant

arrests are likely.

Competitors

Caterpillar Inc

Komatsu

JCB

Terex

Hitachi

Volvo

Trucks

BEML produces Czech Tatra trucks under license.

BEML - TATRA T815 VVNC 8x8

BEML - TATRA T815 VVL 8x8

BEML - TATRA T815 VTI 8x8 - Tank Transporter

BEML - TATRA Crash Fire Tender

BEML - TATRA T816 6MWR 8T 10x10

BEML - TATRA T815 27ET96 28 300 8x8

BEML - TATRA T815 26RR36 22 255 6x6

BEML Aircraft Towing Tractor

BEML Armoured Recovery Vehicle WZT

Probe into alleged scam in purchase of Tatra trucks for Indian Army has revealed the

Czech company had agreed supply of trucks directly at a lower price in 1994 to BEML

without involving the British agent, Tatra Sipox. BEML had not accepted the offer then.

Bobcat Company

Bobcat Company

Type Subsidiary, of Doosan Infracore

Industry Construction Equipment

Founded 1947, Gwinner, North Dakota

Headquarters West Fargo, North Dakota

ProductsSpecialized Excavators, Loaders,

Engines

Bobcat Company is a manufacturer of farm and construction equipment, part of

Doosan Group of South Korea. Its American headquarters is in West Fargo, North

Dakota, USA (formerly in Gwinner, North Dakota - a site which is now strictly a

manufacturing facility). It was a subsidiary of the Ingersoll Rand Company from 1995

until July 2007 when it was sold for US$4.9 billion to Doosan Infracore.[1] The company

sells skid steer loaders, compact excavators, compact utility vehicles, compact tractors

and other small hydraulic equipment under the Bobcat brand name. It is one of the few

major manufacturing companies operating in North Dakota.

History

In the 1950s, Louis and Cyril Keller operated Keller Welding and Repair near Rothsay,

Minnesota. In 1956 Eddie Velo, a turkey farmer from the area, described to the Kellers a

need for a machine small enough to maneuver inside a pole barn, and light enough to

operate on its upper level. The brothers worked out[when?] a small, 3-wheeled design with

a belt-driven transmission, and delivered it to Velo on February 4, 1957.[3] Velo allowed

the Kellers full access to his operations. The Kellers soon learned of drawbacks to the

belt-driven transmission, and developed and patented a clutch based transmission

system in 1958 which was more robust. The new transmission became the basis of the

Melroe M60 loader; their uncle, an equipment dealer for the Gwinner, ND-based Melroe

Manufacturing Company advocated for that company marketing the machines, resulting

in Melroe inviting the Kellers to exhibit at the 1958 Minnesota State Fair. Melroe

introduced the four-wheeled M400 model "Skid-Steer Loader" in 1960, and began using

"Bobcat" as a trade name for such products in 1962, on the 440-model loader. Les

Melroe and advertising agent Lynn Bickett settled on the "Bobcat" name while

exchanging name ideas during a drive between Minneapolis and Gwinner, and Bickett

and Sylvan Melroe developed the "tough, quick, and agile" slogan used in advertising

the early loaders.

Melroe was purchased by Clark Equipment Company in 1969, and then by Ingersoll-

Rand in 1995. Doosan currently owns Clark Equipment Company, which does business

as Bobcat Company.

Bucyrus InternationalBucyrus International, Inc.

Former type Public

Traded as NASDAQ: BUCY

Industry Machinery manufacturing

Fate Purchased by Caterpillar Inc.

Predecessor(s) Bucyrus Foundry and

Manufacturing

Company (1880-

1893)

Bucyrus Steam

Shovel and Dredge

Company of

Wisconsin (1893-

1895)

The Bucyrus

Company (1895-

1911)

Bucyrus Company

(1911-1927)

Bucyrus-Erie

Company (1927-

1996)

Founded Bucyrus, Ohio, United States

(1880)

Founder(s) Daniel P. Eells et al.

Defunct July 2011

Headquarters South Milwaukee,

Wisconsin, United States

Area served Worldwide

Key people Timothy W. Sullivan,

President, CEO and Director

Products 8750 Dragline

RH400 Hydraulic

Excavator

MT6300AC Mining

Truck

Services Maintenance

Revenue US$3,650,563,000 (FY

2010)

Operating

income

US$534,764,000 (FY

2010)

Net income US$315,750,000 (FY

2010)

Total assets US$5,019,828,000 (FY

2010)

Total equity US$2,039,114,000 (FY

2010)

Bucyrus was an early producer of steam shovels, operating from its Bucyrus, Ohio

headquarters and manufacturing facility. In 1893, Bucyrus moved its operations to

South Milwaukee, Wisconsin.

In 1904 Bucyrus supplied 77 of the 102 steam shovels used to dig the Panama Canal.[8]

The company changed its name to Bucyrus-Erie in 1927 when it merged with the Erie

Steam Shovel Company, the country's leading manufacturer of small excavators at

that time.[citation needed]

In 1930 Bucyrus joined with the English firm of Ruston & Hornsby Ltd Lincoln, England,

to form the Ruston-Bucyrus Ltd firm in England. Ruston & Hornsby Ltd were the pre-

eminent manufactures of Steam excavators at the time, having started in 1874; the

merger gave the company access to previously unavailable world markets. Ruston &

Hornsby Ltd sold their share in Ruston-Bucyrus in 1985, during a period of recession

and consolidation in the Mining industry, as they divested themselves of non-core

businesses to survive.[citation needed]

1980-2011

For a time in the 1980s the company was known as Becor Western following its merger

with Western Gear.[citation needed]

On February 22, 1993, Bucyrus-Erie filed for Chapter 11 bankruptcy, and remained

under bankruptcy protection until December 14, 1994.[9]

The company took its current name, Bucyrus International, Inc. in 1997.[citation needed]

Bucyrus built hundreds of large mining machines, as well as construction equipment, in

an intense competition against competitor Marion Power Shovel. Bucyrus acquired

Marion Power Shovel in 1997.[citation needed]

On May 4, 2007, Bucyrus completed the acquisition of the DBT Group, a Lunen,

Germany based manufacturer of underground mining equipment, from RAG Coal

International AG of Herne, Germany. Bucyrus acquired DBT because DBT's

underground mining equipment complemented Bucyrus' surface mining products.[citation

needed]

In February 2010, Bucyrus International completed a US $1.3 billion acquisition of the

mining equipment division of Terex Corporation.[citation needed]

On November 15, 2010, Bucyrus agreed to be acquired by Caterpillar in a transaction

valued at US$8.6 billion. Caterpillar said it intended to create a new mining business

headquarters at the former Bucyrus headquarters location in South Milwaukee. The

transaction closed in mid-2011.[10]

Products

Bucyrus owned the Bucyrus, Bucyrus-Erie, Marion, and Ransomes & Rapier brands

and provided OEM parts and support services for machinery which bears those brands.[11]

Historical

4250-W walking dragline, also known as Big Muskie, was built in 1969, with a

220-cubic-yard (170 m3) bucket and weighed 14,400 tons[vague]. Big Muskie's 220-

cubic-yard (170 m2) bucket is currently sitting outside McConnellsville, Ohio in a

small park dedicated to coal mining.

Two 3850-B stripping shovels built in 1962 and 1964, with bucket capacities of

115 and 145 cu yd (88 and 111 m3).

The 2570-W or WS, one of B-E's most popular dragline models with bucket

capacities between 120 and 160 cu yd (92 and 120 m3).

The Silver Spade and its twin the GEM of Egypt, 1950B Stripping shovels, was

built in 1965 and 1967 respectively, with a bucket capacity of 80 m3

(100 cu yd).The Silver Spade was scrapped in 2007.Many videos can be seen of

it working thru Bennetshovel on Youtube.com

The Stripping shovel Big Brutus a 1850-B was built in 1962, with a 90 yard

bucket. This is known as Big Brutus and currently sits in West Mineral, Kansas

as the huge centerpiece of a museum.

The 1250-B/W and 1260-W walking draglines, with buckets between 33 and 45

cu yd (25 and 34 m3).

The 5-W walking dragline, carrying a 5-cubic-yard (3.8 m3) bucket and produced

until around 1970;

Marion Power Shovel Company of Marion, Ohio designed the crawler transporter

used to carry Saturn V rockets and Space Shuttles to their launch pads.

Management

Well known as a national and international concern,[12] Bucyrus was noted for the long

service of many of its employees

Holt Manufacturing Company

Holt Manufacturing Company

The company's first logo as it appeared on a 25th

anniversary sales brochure

Former type Private

IndustryAgricultural Machinery and

Construction

FateMerged with C. L. Best Tractor

Company

Predecessor(s) Holt Bros. Manufacturing

Successor(s) Caterpillar Tractor Company

FoundedStockton, California, United

States (1883)

Founder(s)Ames Holt, Benjamin Holt

Charles Holt, William Holt

Defunct 1925

Headquarters Stockton, California, United

States

Area served United States

Key people

Benjamin Holt, founder and

President; Charles Holt,

founder; Clarence Leo Best

Employees 2,100 (1918)[1]:64

Subsidiaries

Aurora Engine Company

Best Manufacturing Company

Canadian Holt Company,

Limited

Holt Caterpillar Company

Holt Manufacturing Company

Houser and Haines

Manufacturing Company

Stockton Wheel Co.

The Holt 75 model gasoline-powered Caterpillar tractor used early in World War I as an

artillery tractor. Later models were produced without the front "tiller wheel."

The Holt Manufacturing Company traces its roots to the 1883 establishment of

Stockton Wheel Service in Stockton, California, United States.[3][4][5] Benjamin Holt,

who was later credited with patenting the first workable crawler tractor design,

incorporated the Holt Manufacturing Company in 1892.[6] Holt Manufacturing

Company was the first company to successfully manufacture a continuous track tractor.

By the turn of the twentieth century Holt Manufacturing Conmpany was the leading

manufacturer of combine harvesters in the United States and the leading California-

based manufacturer of steam traction engines.[7]

Holt Manufacturing Company operated from its base in Stockton, California, until

opening a satellite facility in Walla Walla, Washington, to serve the Pacific Northwest. In

1909, Holt Manufacturing Company expanded by purchasing the facility of defunct farm

implement maker Colean Manufacturing Company in East Peoria, Illinois.[8] Holt

changed the name of the company to Holt Caterpillar Company, although he did not

trademark the name Caterpillar until 1911.

The company's initial products focused on agricultural machinery and were distributed

internationally. During World War I, almost all of its production capacity was dedicated

to military needs. Its tractors replaced horses and were widely used by the Allies as

artillery tractors and for hauling supplies. British General Ernest Swinton recognized in

the Holt tractor the potential for a power-driven, bullet-proof, tracked vehicle that could

destroy enemy machine guns, although the British later chose an English firm to build

the first tanks. Holt's equipment was credited with helping to win the war and its tractor

was regarded as "one of the most important military vehicles of all time." The Holt

Manufacturing Company gained worldwide recognition for the quality and durability of its

equipment.

As the war ended, the Holt company was left with huge surplus inventories of heavy-

duty tractors ill-suited for the agricultural market, which had been dominated during the

war by the Holt Company's primary competitor, C.   L.   Best . The company decided to

focus instead on heavy construction equipment and sought to capitalize on the passage

of the Federal Aid Highway Act of 1921. Laden with debt and needing more capital to

switch its product line, the company struggled to move forward.

Both the Holt Manufacturing Company and C. L. Best were hurt by the depression of

1920–21 which further inhibited sales. Both companies streamlined their over-lapping

product lines. The two companies had spent about US$1.5 million (about $19,878,558

today) in legal fees fighting each other in various contractual, trademark and patent

infringement lawsuits since 1905, but, on the advice of investors, the two companies

merged in 1925 to form the Caterpillar Tractor Co. In 2010, Caterpillar Inc. was the

229th largest company in the world.

Company origins

Charles H. Holt arrived in San Francisco from Concord, New Hampshire, in 1864 to

form C. H. Holt and Co. Initially the company produced wooden wheels for wagons and,

later on, steel wheels for streetcars. In 1869, at age 20, his younger brother Benjamin

went to work in their father's sawmill in New Hampshire along with William Harrison Holt

and Ames Frank Holt, preparing hardwoods for shipping to Charles in San Francisco.

William and Ames joined Charles in San Francisco in 1871.

In the same year, Charles and Ames established the Holt Brothers Company in San

Francisco. The company sold hardwood, lumber, and wagon and carriage materials,

primarily manufacturing wagon axles, wheels, and frames. W. Harrison Holt and Ames

both temporarily returned around 1871 to New Hampshire – where both were married –

to manage the eastern business. The brothers built a factory in Concord, New

Hampshire, to manufacture wagon wheels, wheel components, bodies and running

gear. In 1872, at age 23, Benjamin was given an interest in his father's business, and he

assumed more responsibility for the company's operations. W. Harrison Holt moved to

Tiffin, Ohio, to manage the company's lumber business there, where he remained until

the early 1880s. Their mother died in 1875, and their father died eight years later in

1883. After his father's death, Benjamin Holt left New Hampshire in 1883 to help

Charles build the business in California.

Charles, Benjamin and Frank incorporated the Holt Bros. Company on January 7,

1892, to deal in lumber and iron.[14] Four days later, they also filed incorporation papers

for "Holt Manufacturing Company" with Charles H. Holt, Benjamin Holt, Frank A. Holt,

G. H. Cowie and G. L. Dickenson as directors.

Volvo Construction Equipment

Volvo Construction Equipment (originally Volvo BM) is a subsidiary and business

area of AB Volvo. Volvo Construction Equipment develops, manufactures and markets

equipment for the construction and related industries.

Volvo CE's product leaders in many world markets include a comprehensive range of

wheel loaders, wheeled and crawler hydraulic excavators (aka diggers), articulated

haulers (aka dumpers), motor graders, backhoe loaders, skid steer loaders, as well as

mini and compact excavators, skid steers, and wheel loaders, pipelayers, demolition

equipment, waste handlers and scraper haulers. Volvo Construction Equipment has

production facilities in Sweden, Germany, China, Brazil, Mexico, South Korea, India,

and Poland. With the purchase of Ingersoll Rand, Volvo acquired a Road Construction

facility in Pennsylvania, their only presence in the United States. The company offers

worldwide service and spare-part distribution as well as a wide range of attachments.

Volvo Construction Equipment mainly distributes its machines through independent

dealers and, in parallel with their rental program, to customers in more than 200

countries. Principal Volvo products for the rental centers include the company’s

comprehensive line of compact excavators, skid steers, and backhoe loaders.

The corporation's equipment rental arm, Volvo Rents, began its equipment franchising

initiative in 2001. The company now has nearly 90 equipment rental centers—mostly in

North America—and continues to expand its operations in Europe with rental centers in

Portugal and Spain. As part of the Volvo acquisition of Ingersoll Rand road machinery,

approximately 30 former "Ingersoll Rand Equipment Stores" have been transitioned to

"Volvo Construction Equipment & Services" locations that will sell, rent and support road

machinery, compact equipment, and material handling products, such as milling

equipment, pavers, compactors, tack distributors, road wideners and material transfer

vehicles. In 2008, Volvo formed "Volvo Construction Equipment & Services California,"

from the IRES and recently acquired "Mathews Machinery" locations based in

California.

In 1950, AB Volvo bought the machine manufacturer Bolinder-Munktell (BM). In 1973,

the company name was changed to Volvo BM AB. During the 1980s and 1990s, a

number of American, European and Asian construction equipment manufacturers were

purchased. In 1995, the name was changed to Volvo Construction Equipment. Up until

1985 Volvo BM also produced tractors and other agricultural machines; the tractor

manufacturing division was sold to Valmet in 1985.

In February 2007, Volvo announced it had agreed to buy the road construction

equipment division of Ingersoll-Rand for $1.3 billion in cash to re-enter the Road

Construction market.[citation needed]

The unit manufactures and sells asphalt paving equipment, compaction equipment,

milling machines and construction-related material handling equipment and generated

net revenues of approximately $850 million for 2006. The sale includes manufacturing

facilities in Pennsylvania, Germany, China and India, as well as 20 distribution and

service facilities in the U.S. The business employs approximately 2,000 people

worldwide.

On December 11, 2009, Volvo announced that it would close its manufacturing facility in

Asheville, NC on or before March 31, 2010; resulting in the loss of 228 jobs, and the

lack of any construction equipment facilities in the United States outside of Road

Machinery. The products built at the Asheville Plant, including wheel loaders and

crawler excavators, were transferred to Volvo manufacturing facilities in South Korea

and Sweden.

On January 13, 2010, Volvo announced that it would invest 65 million SEK to begin

producing crawler excavators in Brazil, taking advantage of government run, low

financing options for products built in country.

Beginning in 2010, Volvo announced its new focus entitled "Fit for the Future". Key

initiatives include focusing growth and expansion in the "BRIC" countries (Brazil,

Russia, India, China). The new focus is set to run through 2012.

Yutong Group

Yutong Group (officially Zhengzhou Yutong Group Co., Ltd.) is a conglomerate

based in Zhengzhou, Henan province, China focused on bus manufacturing as the core

business, engineering machinery and real estate as the strategic business and at the

same time giving attention to other investment portfolios.

History

The company was established in 1963 as the Zhengzhou Yutong Group Co., Ltd.[1]

Yutong Bus

A core part of the company, Zhengzhou Yutong Bus Co., Ltd. (hereinafter referred to

as “Yutong Bus”), is located in Zhengzhou Industrial Park and now has developed into

the largest and most advanced bus manufacturing base in Asia.

Sales

In 2009, Yutong bus sales reached 28,186 units, while exports slumped 64% from 2008

to 1,010 units due to global financial crisis.[2]

In 2007, sales amount of Yutong Group reached high up to RMB 12,588,000,000, taking

up over 22% of the domestic market share. In the same year, 25,522 units of Yutong

buses were sold throughout the year, making Yutong Group once again enter into world

top 5 considering the sales volume. And among them, 3,319buses were exported with

the export amount up to USD187 million, increasing 92% compared with the

corresponding period last year. Till now, the possessed number of Yutong buses all

over the world exceeds 120 thousand, making Yutong an international large-scale bus

manufacturing enterprise.

In 1997, Yutong Bus became the first domestic bus enterprise listed in Shanghai Stock

Exchange with its stock code 600066，becoming a long-established blue-chip potential

stock in China’s A stock market. The main economic indicators of the enterprise have

been growing rapidly for ten continuous years. Yutong Bus has obtained AAA credit

from ICBC for eight consecutive years and was awarded by BAAV “The Best Export

Marketing Campaign of the Year 2006”, “The Best Marketing Campaign of the Year

2007” and “Coach Builder of the Year” in 2002, 2005 and 2006.

Awards

In Apr. 2006, “Three Ministries and Commissions” such as Science and Technology

Department embarked jointly on the pilot work of enterprises with independent

innovation, and Yutong Bus was designated as such an enterprise. In Aug. 2006,

Yutong Bus was titled “National Vehicle CBU Export Base Enterprise”. And in the same

month of this year, Yutong passed the special investigation carried out by General

Administration of Quality supervision, Inspection and Quarantine of the P.R.C and won

the first “Certificate for Product Exemption from Export Inspection” in China’s vehicle

industry. In Nov. 2006, Yutong brand won “China Brand Award of the Year”(NO.1 in

China’s bus industry) issued by World Brand Lab. In 2007, the value of Yutong brand

has increased by RMB 471 million and grows up to RMB 7.487 billion, which makes

Yutong brand continue to hold the title of No.1 Brand in China’s bus industry for

successive four years. According to State Statistics Bureau, Yutong Group ranks 324 in

“China’s Top 500 Enterprises” and at the same time stood 41 in “China’s 500 Most

Competitive Enterprises of the Year 2006” as the only bus enterprise to enter into this

list.

Position within the Industry

Now, after many years’ development, Yutong Bus has achieved a premier position in

the bus field with its integrated enterprise strength and also formed its unique enterprise

culture and advanced management concept. With market oriented, Yutong Bus carries

on its R&D based on the market and programs its products rationally. It has powerful

R&D strength, the first post-doctoral science and development working station in the

bus industry of China equipped with the world-class test device and instrument, and

also the first state-level technology center in the bus industry of China. Yutong Bus has

established the entire-process quality control supervision system in order to guarantee

the quality of the product. In 2004, Yutong Bus was evaluated by an internationally

recognized quality authentication institute---Germany Quality System Authentication

Company (DQS), and successfully passed ISO/TS16949: 2002 authentication, which is

the first authentication in China’s bus industry, indicating that China’s bus industry

represented by Yutong Bus has been progressively geared to the international quality

management.

Yutong Group has begun its establishment of management information system since

1994, and at the present time, it has successfully introduced and put into practice the

SAP management system and CRM (Customer Relationship Management) system,

thus upgrading the inner management level of the enterprise with different information

technology.

CONCLUSION

Sales of construction equipment by the world's 50 largest manufacturers grew 25

percent last year to set a record for the industry. Construction equipment sales in 2011

reached $182 billion, surpassing the previous high of $168 billion set in 2008, prior to

the global financial crisis, according to the annual Yellow Table survey by KHL Group.

The Yellow Table, which is a ranking of the world's 50 largest construction equipment

manufacturers, saw relatively few changes at the top of the table, with the industry's

long-standing number one and number two, U.S.-based Caterpillar and

Japan's Komatsu, continuing to hold the positions they have had for well over a

decade.

Climbers inside the Top 10 include Sweden's Volvo Construction Equipment, U.S.-

based Terex and John Deere, and China's Sany and Zoomlion. These gains came at

the expense of Hitachi Construction Machinery (although its revenues were within 0.5

percent of Volvo, the company directly above it) and South Korean Doosan Infracore.

China-based XCMG fell out of the top 10, having sat in tenth place for two years.

Across the Top 50, U.S.-headquartered companies accounted for 31.2 percent of total

revenues, up from 29.5 percent the previous year. It was followed by Japan with a 23.2

percent share, down from 23.5 percent the previous year, and China, which had a 16.9

percent share, up from 15 percent in the 2011 edition of the Yellow Table (based on

2010 revenues).

China's construction equipment manufacturers have seen their share of the top 50's

revenues climb for six consecutive years. Over the last decade, their share has

increased more than ten-fold in percentage terms. In 2003, the first year the yellow table

was published, China's manufacturers had a share of just 1.6 percent, worth just $841

million. Today their 16 percent share is worth $30.6 billion.

The report's author, Chris Sleight, said, "A rebound in the European, North American

and Japanese construction markets was the key driver last year. There was also growth

for some of China's larger players, but they faced the first significant headwinds for

more than a decade as the country's stimulus spending programs came to an end. Over

the next 12 months the continued recovery in North America is likely to be decisive for

the 2013 Yellow Table."

Top 10 companies in the world manufacturing the heavy machinery.

2010 2011

India stands top 9th in consuming the machine tools in the world.

Major Export Destinations Of heavy machinery from India.

SUMMARY

• Heavy Equipment industry is an oligopoly

• Industry continues a trend of consolidation

• CAT leads with 26% of the market share, is among the Fortune 100.

• CAT has an expanded product line produced and sold in over 200 countries in the world.

• Overall, construction equipment industry growth is steady.

• Construction spending is projected to increase 3-4% annually.