Sany enters into MOU with Investe SP and confirms plant in Jacareí
The company undertakes to continue its investment of US$ 100 million to build the machinery and equipment plant for the construction industry.
Investe São Paulo
During the treaty signing ceremony between Chinese and Brazilian institutions, which was held at the Presidential Palace in the presence of the presidents Dilma Rousseff and Xi Jinping, on Thursday, July 17th, Sany Heavy Industry and Investe São Paulo entered into a Memorandum of Understanding (MOU) related to the new plant of Sany in Jacareí (SP).
With the agreement entered into by the Global President of Sany Group, Liang Wengen, the company undertakes to continue its investment of US$ 100 million to build the machinery and equipment plant for the construction industry. This project has been assisted by Investe São Paulo since 2009, both in terms of environmental licensing, tax legislation and in the support in locating the area for the project.
Currently, the company carries out the assembly of products under CKD system (Complete Knock Down - with all components imported) in a warehouse rented in São José dos Campos. Since its inauguration in 2011, this plant grew, expanding the inventory of parts and floor area of from 800 sqm to 3,300 sqm. Added by the amounts that will be invested in Jacareí, the investments of Sany in Brazil will reach US$ 300 million.
With the new plant, some of the items most frequently consumed by the Brazilian market will have their production nationalized, including cranes, excavators and port equipment. One of the company’s goals is to manufacture in Brazil the entire line of excavators by 2016. To do this, the company acquired an area covering 560,000 sqm, which should include a built area of 50,000 sqm in the first phase of the project and 250,000 sqm by 2020.
“It is a great honor for us to follow the evolution of such an important project for São Paulo since its very beginning. We compete with other states and we are working hard, but we know that the logistics infrastructure of the state and of Vale do Paraíba were crucial for the confirmation of the investment in Jacareí,” said the president of Investe SP, Luciano Almeida.
For the mayor of Jacareí, Hamilton Ribeiro Mota, attracting important investments for the municipality, such as the settlement of Sany is the result of several actions that began back in 2003 with the approval of the Master Plan and, more recently, with the modernization of the Tax Incentives Act.
“We have a strategic location and logistics facilities, as well as investments in infrastructure and training of skilled workforce. Jacareí is very important for attracting new plants and ensuring better quality of life to the population, with the generation of new jobs and improvement in the services provided to the citizens of Jacareí,” says Mota.
Sany plans to start the operations in the new plant in 2015 and it should reach 1,000 jobs when the plant is in full production. The company will also invest in R&D to create a specific backhoe model for the Brazilian market, which is not part of its portfolio yet, and adapt the existing ones to the internal demands of the country.
In addition to Brazil, the intention of Sany, at a more advanced stage of the project, is to supply to other countries in Latin America and some African markets.
In 2010, the CEO of the Chinese company at the time, Xiang Wembo and the then Vice Governor Alberto Goldman had already signed a memorandum of understanding signaling the arrival of the company to the state of São Paulo. Due to the global economic downturn, the company chose to postpone the investment for 2014.
About Sany Heavy Industry
Property of the Sany Group, Sany Heavy Industries was founded in 1994, headquartered in Changsha, China. Since its creation, the company has grown at an annual rate of 50%. The brand is involved in all aspects of the plant of construction machinery, with a portfolio of 25 categories and over 120 types of products.
Every year, Sany allocates 5% of its sales revenue to R&D. Its goal is to enhance the products with the belief that “quality changes the world.” Today, the company has research centers that have become the main technology centers in China, having obtained more than 500 patents. Its products are exported to over 110 countries.