Wärtsilä Establish China Engine Manufacturing J/V
Wärtsilä & Yuchai Marine Power Co to establish a 50/50 joint venture for manufacturing medium-speed marine engines in Zhuhai City.
The joint venture will serve the increasingly dominant Chinese shipbuilding industry, with the focus being on the assembly and testing of Wärtsilä 20, Wärtsilä 26 and Wärtsilä 32 engines. Operations are planned to start in 2014. The value of Wärtsilä's investment in the joint venture is approximately EUR 17 million. The joint venture is subject to approval by the relevant authorities.
“By forging a strong partnership with Yuchai, China’s leading producer and market leader for high-speed diesel engines, we can continue to broaden our customer base and further expand our market share in China. This is an important step for securing our market leadership position for medium-speed engines,” says Björn Rosengren, President & CEO of Wärtsilä Corporation at today’s signing ceremony where he signed the joint venture agreement with partners from Guangxi Yuchai Group and YCMP.
“This investment demonstrates Wärtsilä’s commitment to supply competitive engine products to its customers in China. Furthermore, it is fully aligned with China’s central government’s 12th Five-Year Plan to significantly increase locally produced content for marine equipment,” adds James Han, President of Wärtsilä China.
“Yuchai is proud to be in partnership with Wärtsilä, a world leader in providing engine and power solutions. We share the same commitment to serving the growing Chinese market with products that deliver the best economic and environmental value to our customers", said Mr. Yan Ping, Chairman of Guangxi Yuchai Group.