China's Xuzhou Construction Machinery Group, or XCMG, is acquiring a majority stake in Germany's Schwing Group GmbH. The deal, announced at the Intermat construction show in Paris last month, confirms earlier reports in ENR and falls on the heels of another Sino-German acquisition, that of Putzmeister Holding GmbH by Sany Heavy Industry Co. Ltd.
German management will remain in charge, said XCMG in a statement. The 78-year-old Schwing brand name is a critical part of XCMG's "strategic development" for expanding into lucrative Asian markets, the company added. China is the world's largest market for truck-mounted concrete pumps, accounting for roughly 4,000 of the 6,000 machines produced worldwide last year.