Guangxi Liugong Machinery Co Ltd's plant is expected to help the company better meet growing demand for heavy machinery and further tap the enormous market potential in India.

Related readings:  Engineering machine exports up Caterpillar to move regional base to Beijing Sany to open US factory

"The investment in India is part of our strategy to step up the development of our global business," said Wang Xiaohua, chairman of the listed firm, in an interview.

"Our firm has laid out a blueprint for overseas business development and we are on the way to a leadership position in our key target markets abroad."

Liugong said it will also expand global sales and after-sales service networks, enhancing its present 30-odd overseas distributors, while establishing local machinery production plants in key markets abroad.

"Liugong is also working on a feasibility study for setting up a production base in Russia after the one in India becomes operational," Wang said.

He noted that Liugong hopes to make a breakthrough abroad with its loaders and then further crack the global market for other products, ranging from hydraulic excavators, vibratory rollers, motor graders, pavers, forklift trucks, concrete truck mixers and other heavy machines.

Overseas revenue is projected to be $200 million by 2010, or over 15 percent of the company's total business income.

1

2

(For more biz stories, please visit Industry Updates)