Cargotec to change China JV structure
(Posted on 12/05/20)
Cargotec and Jiangsu Rainbow Heavy Industries Co., Ltd. (RHI) plan together to change the ownership structure of their joint venture Rainbow-Cargotec Industries Co., Ltd (RCI) in China. The joint venture was established in 2012, and since then, RCI has successfully manufactured port and offshore cranes for Kalmar and MacGregor business areas at the factory in Taicang, China.
The companies have entered into an agreement where Cargotec will sell its 49% ownership in RCI to the joint venture partner, and simultaneously acquire certain operations and assets from RHI. According to the preliminary estimate, Cargotec will book a cost affecting comparability totalling EUR 35 million in its second quarter 2020 result as a consequence of the transaction.
The change aims to simplify Cargotec’s global supply chain operations. Simplification is needed mainly because the number of complex automation projects has been growing in the past couple of years. The arrangement will also support the asset light balance sheet structure.
After the transaction is completed, Kalmar and MacGregor will continue selling their offering to customers globally, partnering together with RHI and RCI. As part of the agreement, about 160 RCI employees are estimated to move over to Kalmar once the change in ownership structure has been completed.
Cargotec's business areas Kalmar, Hiab and MacGregor are pioneers in their fields. Through their unique position in ports, at sea and on roads, they optimise global cargo flows and create sustainable customer value. Cargotec's sales in 2019 totalled approximately EUR 3.7 billion and it employs around 12,500 people.
Latest News
Rio Tinto’s first Pilbara-made rail car built by Gemco in Karratha
(Posted on 09/12/25)Rio Tinto’s first Pilbara-made iron ore rail car has rolled off the production line in Karratha... Read more
Electric Liebherr portal crane strengthens Baria Serece, Vietnam
(Posted on 04/12/25)Precision meets progress at Phu My Port, Vietnam. The LPS 550 has been deployed to handle bulk commodities... Read more
bound4blue targets Asian growth with new production capabilities
(Posted on 02/12/25)bound4blue, a global leader in wind propulsion systems, has expanded its industrial footprint in Asia... Read more
DNV: Methanol as marine fuel at high readiness level
(Posted on 02/12/25)As the industry explores multiple decarbonisation pathways, methanol is gaining attention as a practical... Read more
Repeat Aasen bulk carrier order emphasises Wärtsilä hybrid strength
(Posted on 24/11/25)Technology group Wärtsilä will supply an integrated hybrid propulsion system for a bulk carrier... Read more
Superior bring big iron and bigger ideas
(Posted on 24/11/25)Superior Industries, Inc., a US-based manufacturer and global supplier of bulk material processing and... Read more
ESL connectivity upgrade enables smarter operations and supports crew wellbeing
(Posted on 15/11/25)ESL Shipping has taken a significant step forward in digitalisation by deploying a new multichannel... Read more
Junma partnership results in expansion and new orders for CMT
(Posted on 15/11/25)Condition Monitoring Technologies (CMT) has deepened its presence across Asia’s most influential... Read more
Contract signed for world’s largest battery-powered bulk carrier
(Posted on 10/11/25)After delivering its first full-scale seagoing project last week, Wattlab signed a contract at Europort... Read more
New Steelpaint contract with Germany’s inland waterways
(Posted on 10/11/25)Steelpaint GmbH has reported strong growth in orders for corrosion protection coatings on Germany&rsquo... Read more
