LiuGong Machinery’s blueprint: Constructing a new chapter across Asia-Pacific
LiuGong Machinery, a Chinese construction machinery manufacturer, unveiled plans to establish three new factories and three machine assembly facilities in the Asia-Pacific region. The company is still in the process of deciding on the specific countries for these new developments, with Thailand being one of the potential locations.
The commencement of these projects is anticipated for the following year, according to Xiang Dongsheng, the Deputy General Manager of LiuGong Machinery Asia Pacific.
However, the financial investment required to facilitate these projects is yet to be determined. Several ASEAN countries are on LiuGong’s radar for these expansions.
“LiuGong continues to grow in Thailand, Vietnam, Myanmar and the Philippines because the company has a range of products that can serve industry growth in the region.”
LiuGong Machinery, based in Liuzhou, offers a wide array of products to its clients, such as excavators, rollers, bulldozers, motor graders, pavers, skid steer loaders, cranes, and mining trucks. LiuGong also caters to the agricultural sector, supplying sugar cane harvesters and tractors.
According to the company, citing data from Market Research Future, the heavy construction equipment market in the Asia-Pacific region is predicted to reach a value of US$96.7 billion between 2022 and 2030.
LiuGong Machinery first entered the Thai market the previous year and has since seen a favourable business outlook. Xiang stated that the rising demand from the agricultural and construction sectors could boost their sales in the country.
He attributed this to the Thai government’s ongoing infrastructure development projects, which benefit the construction industry and offer potential revenue for businesses supplying products to constructors.
Local steelmakers are also profiting from these state projects. As such, they have urged the Thai government to expedite budget disbursement, which could stimulate state infrastructure development projects. These projects necessitate steel during the construction phase, reported Bangkok Post.
In line with this, Transport Minister Suriya Jungrungreangkit has recently issued a directive to hasten key railway projects in the country. Consequently, the State Railway of Thailand has requested the cabinet to approve over 50 billion baht in financing for the construction of the double-track railway section from Khon Kaen to Nong Khai and Red Line electric train extensions.
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