Xuzhou Construction Machinery Group Inc. (XCMG) is the largest enterprise in developing, manufacturing and exporting construction machinery in China. Building XCMG into a world class enterprise with great competition power internationally and making all Chinese people feel proud of her is an unremitting pursuit of XCMG’s people. Right now, XCMG has become a power that is eyed by her competitors domestically and internationally, respected by her global customers and has ever stronger influence. Business income in 2007 was RMB 30.8 billion with an increase of 52% compared with the same period of the previous year; taxes were realized to be RMB 2.08 billion with an increase of 79% compared with the same period of the previous year; and export volume was USD 560 million with an increase of 125% compared with the same period of the previous year, which has created the best historical level of both economic benefit and operation quality of XCMG.

XCMG has continually intensified the application of her internationalized strategy and enhanced exploration on international market, thus her products sales income are always leading in the industry. Seizing market opportunity and planning her position well is the key for XCMG’s rapid development on export business. According to international market demand and her own products situation, based on company development strategy, XCMG has done a good job on exporting in various links like R&D, manufacturing, supplying and spare parts etc. XCMG has increased her confidence on exploring international market and accumulated experience on international operation. Right now, XCMG’s products have been sold to more than 100 countries and regions in accumulative total. Influence recognition and reputation of “Xugong” brand have been greatly promoted in international market.

Heading towards the world and realizing internationalization is the unalterable developing target of XCMG. Reasonable and effective usage of foreign capitals has a great push power for quickening the internationalization course of XCMG. Resisting on the open and creative road of internationalization is one of the effective methods adopted by XCMG to utilize foreign capitals, promote her own competition strength and make obvious achievement. Up to now, XCMG has established several joint ventures with first-class multinational companies, such as Caterpillar of USA, Liebherre of Germany, Arvin Meritor of USA etc., with a total investment of more than USD 200 million. Sales income of XCMG’s Joint Ventures in 2007 was RMB 6.25 billion. Not only her management and technology level, but also her international status and market influence have been improved by cooperating with these well-known multinational companies.

Inheriting her core value of “taking great responsibility, acting with basic morals and making great achievements”, XCMG will further widen global operation vision and take part in economic technology cooperation in wider scope, more expansive region and higher grade so as to explore more developing space, make all-round breakout, all-round creation and all-round surpassing and quicken steps towards her target of the 11th five-year plan. XCMG, as a leading soldier, will tightly hold the competition and developing opportunity faced in domestic construction machinery industry, practically impel her internationalization strategy, comprehensively carry out the strategy of diversity and realize a quick promotion on technology, management and service. Through cooperation with international advanced companies, XCMG will reasonably utilize domestic and foreign resource, fully exert integrated advantage, quicken steps on capital operation, establish strategic alliance with her upstream and downstream and propel internationalization course. Our target is: internationalization index will be over 20% in 2010 and over 25% in 2015.