LiuGong Machinery Corp. (Guangxi LiuGong Machinery Co. Ltd.) was founded in 1958 in Liuzhou, China. Based upon units sold, LiuGong is one of the largest wheel loader manufacturers in the world.It is a company of many firsts, including being the first company in China to begin manufacturing heavy equipment and the producer of China’s first modernized wheel loader in 1966. LiuGong has been integral in China’s modernization and infrastructure development.
LiuGong began to expand its product line and business interests, adding new lines of equipment such as excavators, and diversifying by purchasing and operating factories producing skid steers and bulldozers, as well as concrete pumping equipment.
In addition the company participates in several important joint ventures. In 1995, LiuGong partnered with the German transmission components manufacturer ZF Friedrichshafen AG to open a joint venture in Liuzhou, with LiuGong holding 49% ownership of the Liuzhou venture. This has allowed LiuGong to cost-effectively incorporate the high levels of ZF technology in LiuGong products.
LiuGong is publicly held, having begun trading on the Shenzhen Stock Exchange in 1993. In 2010, LiuGong had US$2.32 billion in sales revenue, producing more than 62,000 units from 20 manufacturing facilities.
LiuGong completed two new factories in 2010, one in Eastern China, and a second in Liuzhou. In 2011, LiuGong invested another US$193 million in a road machinery plant and R&D center in the Yangtze River Delta economic zone. The company is a global leader in the design and production of wheel loaders. As of February 2011, LiuGong held nearly 14.5% of the global market share in wheel loaders and nearly 18% share domestically.
The company employs more than 13,000 including over 750 engineers working in three world-class research and development facilities around the world. LiuGong formed its overseas division in 2004, and the division has grown rapidly.
LiuGong has twelve product lines. Wheel loaders, excavators, rollers, motor graders, bulldozers, loader backhoes, skid steer loaders, mini excavators, forklifts and pavers are available globally, while truck mounted cranes currently available in the domestic market, will be launched to the global market in the coming year.
The company supports its global product lines with a rapidly-growing, worldwide network of 251 dealers across six continents in more than 90 countries. The LiuGong dealer network provides 1,800 sales outlets around the world. Supporting the dealer network are nine regional offices with engineering, marketing and service support, coupled with 10 parts depots located strategically throughout the world which ensure rapid replacement of parts and servicing of equipment. LiuGong does not enter a market without its dealers and support systems in place.
Regional offices are currently located in Africa, Australia, Brazil, Dubai, Europe, India, Singapore, South Africa and the U.S. and further regional offices are continually being added as LiuGong grows.
LiuGong places intense emphasis on quality, which is demonstrated by commitment to its Six Sigma quality program and methodology, and compliance with ISO 9000 standards. As a result, after a rigorous review, LiuGong was awarded China’s National Quality Award.
According to Off Highway Research: “LiuGong is renowned for having the highest quality products among Chinese manufacturers, and has targeted international recognition for its products. Its designs are often copied and prices are benchmarked by other domestic manufacturers.”
LiuGong is known for producing equipment that is easy to own and easy to operate, and features technologies with well proven reliability. LiuGong products therefore provide a great deal of value for price, are easy to maintain, even in rigorous and isolated environments.
In the past year, LiuGong has received growing recognition as a major global competitor, and is ranked 20th among construction machine companies in the world. With the expansions realized in 2010, and continued growth and expansion planned for 2011 and beyond, LiuGong is clearly targeting to become an even bigger player in the construction equipment industry.