Mecano's state-of-the-art Murcia complex.

Spanish rough-terrain forklift manufacturer Mecano Continental has denied rumours that it has ceased production.

"Our company is open and continues serving parts and machines requests," spokesman Francisco Sanchez tells Forkliftaction.com News.

Sanchez concedes that "production is running slower due to the Spanish financial situation".

Forkliftaction.com News contacted the company after receiving reports that distributors were experiencing difficulties with orders and calls were going unanswered.

Sanchez confirms that there have been changes at the company, including a reduction of the work force, but he insists there are still enough staff "to make and respond to requests".

The assurances do not appear to be sufficient to allay dealer concerns, and there are claims that new orders are not being taken at this stage. Some dealers are even more concerned about the availability of parts for the range of forklifts.

According to Sanchez, negotiations are under way to return to "normal activity". While he did not elaborate, it's believed the company is working with its financiers to fend off insolvency.

Just last year, Mecano Continental extended its offerings with smaller models in its diesel Micro range, adding the 1,750 kg H18 and 1,500 kg H15D models.

The company marked its 25th anniversary in new state-of-the-art facilities that combined its factory, offices and showroom "in a modern glass-fronted design that denotes the unity of our company".

The 30-year-old company started out as a machinery distributor in the construction sector, but it has evolved into a materials handling manufacturer known best for its Mast Explorer range of rough-terrain forklifts.

With distribution in more than 50 countries, the impact of the current woes is being felt globally.