A Chinese firm has terminated its agreement with Manitowoc Co. to develop a construction crane business in China.
In a news release, Manitowoc said Shantui Investment Co. cited China’s economic restructuring and a sharp decline in the construction equipment market as reasons to not enter into a joint venture with Manitowoc Crane Group Asia Ltd.
“We are disappointed with Shantui’s decision and the fact that the Chinese government did not act to timely approve our potential joint venture, as we believe there was enormous potential presented by the successful collaboration of Manitowoc and Shantui in the truck-crane industry,” Glen Tellock, Manitowoc Co. chairman and CEO, said in the release.
Manitowoc said it will evaluate options with its current Chinese partner, Tai’ an Taishan Heavy Industry Investment Co., with respect to the future of its truck-crane venture in China.
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