Zoomlion: A Leading Chinese Construction and Agricultural Machinery Manufacturer

Zoomlion Heavy Industry Science and Technology Co., Ltd., commonly known as Zoomlion, is a prominent Chinese company specializing in the manufacturing of construction machinery and agricultural machinery. Headquartered in Changsha, Hunan, China, the company has established itself as one of China’s largest and the world’s fifth-largest construction machinery enterprises.

History

Zoomlion traces its origins back to September 28, 1992, when it was founded as Changsha Hi-tech Development Area Zoomlion Construction Mechanical Industry Company. One of its early product lines included concrete pumps. The company has a history rooted in the merger of several smaller entities, including the Concrete Machinery Research Office and segments of the Changsha Construction Machinery Research Institute.

Key milestones in Zoomlion’s history include its initial public offering (IPO) on the Shenzhen Stock Exchange in 2000, which marked its transition to a public company. In an unusual move for the time, Zoomlion acquired British company Powermole in the early 2000s. In 2008, it made another significant foreign acquisition by purchasing Italian concrete machinery manufacturer Compagnia Italiana Forme Acciaio SpA (Cifa) in an equity partnership with global investors.

Zoomlion has also been featured in prominent media outlets, such as a 2001 CCTV documentary and an advertisement on CCTV in May 2004.

However, the company faced challenges when allegations of fraud surfaced in May 2013, leading to a temporary suspension of its stock trading and a subsequent decrease in its share price. This incident generated significant attention in China.

In August 2014, Zoomlion took a significant step by acquiring a majority share in Chery Heavy Industry, a manufacturer of agricultural machinery. This strategic move aimed to modernize China’s agricultural machinery industry and compete with foreign brands in the large farm machinery market.

Facing financial difficulties due to a slowdown in the Chinese construction industry, Zoomlion sold its environmental unit in May 2017 for 11.6 billion yuan ($1.7 billion).

Products

Zoomlion specializes in the production of a wide range of heavy machinery and equipment, primarily truck-mounted, purpose-specific machinery. Some of its product categories include:

1. Construction Equipment: Zoomlion manufactures various construction machinery, including bulldozers, concrete machinery, cranes (mobile and tower cranes), excavators, loaders, asphalt pavers, pile foundation rotary drilling rigs, road rollers, and more.
2. Fire Apparatus: The company produces fire apparatus, contributing to fire safety and emergency response efforts.
3. Garbage Compactor Machinery and Trucks: Zoomlion offers machinery and trucks designed for waste management and sanitation services.
4. Road Surface Vehicles: This category includes snowplows, street sweepers, and other vehicles for road maintenance and surface management.
5. Agricultural Machinery: Zoomlion’s agricultural machinery portfolio comprises tractors, combine harvesters, and sugarcane harvesters, catering to the needs of the farming sector.

Zoomlion operates under multiple brand names, including AA, Puyuan, and Zhongbiao, in addition to its primary brand.

Operations and Subsidiaries

Zoomlion’s operations are supported by numerous subsidiaries and divisions. Some notable entities associated with Zoomlion include:

• Changsha Construction Machinery Research Institute
• Compagnia Italiana Forme Acciaio SpA (Cifa) – Acquired by Zoomlion in 2008
• Powermole Company – Acquired by Zoomlion in 2001
• Zoomlion Finance & Leasing Co., Ltd.
• Zoomlion Bus Branch Company
• Hunan Machinery Branch Company
• Hunan Zoomlion International Trade Co. Ltd. – Oversees the export of Zoomlion products

Production Bases and Facilities

Zoomlion owns nine industrial parks and multiple production facilities. Some of these include the Zoomlion Science Park in Changsha, Hunan, and CIFA in Milan, Italy. These facilities enable the company to manufacture and distribute its machinery and equipment efficiently.

With a strong presence in the construction and agricultural machinery sectors, Zoomlion continues to play a vital role in China’s industrial landscape and the global heavy machinery industry.