Last year's roughly 40% decline in heavy-equipment sales in China was not just a sales nightmare—it was also a potent reminder to the Chinese manufacturers that they need to increase their share outside of China to support their high-volume production. However, many Chinese companies often lack the parts, distribution, and support needed to reach world markets.
That's why in 2011 Liugong—founded in 1958 and one of China's first wheel loader producers—decided to team up with Columbus, Ind.-based Cummins in a joint venture to produce diesel engines.