Kraft has already been selling Palfinger products in Russia since 1996.
"We have been closely monitoring Russia for quite some time now as, due to its sheer size, the local market offers an enormous potential. The joint venture allows us to promote the sale of our own products in Russia, by helping the dealer to set up an appropriate network while implementing targeted sales strategies," said Herbert Ortner, Palfinger CEO.
Palfinger will hold 49% of the JV company and Kraft Invest Group will hold the remaining 51%. The new company will be the exclusive dealer in Russia for Palfinger knuckle boom cranes. Also on offer will be Epsilon timber and recycling cranes, MBB tail lifts and Palift container handling systems.
Over the last few years annual growth in Palfinger sales averaged 10% and further market growth is projected for the post-crisis economy, Palfinger said.