 KION Group CEO Gordon Riske |
The KION Group GmbH has taken full management control of KION Baoli (Jiangsu) Forklift Co Ltd, the joint venture company it established with China's Jiangsu Shangqi Group Co Ltd and Jingjiang Baoli Forklift Co Ltd last year.
KION Group CEO Gordon Riske says the company will boost its position as China's top international materials handling equipment supplier with its investment in KION Baoli.
"KION Baoli with its highly competitive product portfolio is an important pillar of our strategy to expand our activities in the emerging markets," he explains.
KION Group spokesman Michael Hauger tells
Forkliftaction.com News that KION, with its Linde premium brand and economy Baoli brand, has an approximate 7% market share in China, with Linde dominating the industry's premium forklifts.
While the group's wholly owned subsidiary, Linde (China) Forklift Truck Corp, was the first foreign forklift company to set up a plant in China, in 1993, Linde competitors have pointed out that the operation is yet to be profitable.
Commenting on this speculation, Hauger says that the group's Chinese operations "are delivering a positive contribution to the group's profitability". "Premium products and services ... in China deliver a premium profitability both for our customers who benefit from the unbeaten efficiency of our products and,of course, for KION Group."
Chingpong Quek, KION Baoli's general manager, says with the forklift market recovery in China, KION Group will "further invest into KION Baoli". "We have a comprehensive integration plan focusing in the areas of sales, service, product development, and production systems to meet the expectations of our customers."
Baoli, KION Group's fourth brand, is marketed in the economy segment globally. Its product range includes diesel/LPG, electric trucks and warehouse trucks with 1-10 tonne load capacities. Its sales and service network is present in all Chinese provinces and in 80 countries. KION Baoli employs about 500 people.
KION Baoli has been fully integrated into KION Group's global operations.