Joint venture partners Sany and Deutz AG have signed an agreement with representatives of the government of Changsha, China, to build a factory to produce high-performance engines in the province of Hunan.
Deutz and Sany, China’s largest construction equipment manufacturer on the last ICON Yellow Table, had already signed the agreement to establish a joint venture in June this year.
The province of Hunan is said to be contributing several tens of millions of US dollars in additional funding to the project.
Six emissions standards engines and will be built at the new plant, not far from Sany’s headquarters in Changsha, capital of Hunan province.
Preparations for the joint venture to start production are said to be progressing well, with construction work on the production plant on track to be completed at the end of 2020. Production is scheduled to start in 2021.