Volvo CE and SDLG deepen partnership

This is a marked change from the present situation, with Volvo CE and SDLG selling their separate products in China. However with the coming introduction of the China IV emission standards, the excavators weighing 15tonnes or more will feature the Volvo CE technology and bear the Volvo CE brand. The China IV emission standards are broadly similar to the US Tier 4 Final and European Stage IV standards.

Since Volvo CE acquired 70% of SDLG in 2007, net sales have grown from approximately SEK 3 billion to SEK 17 billion with good profitability. SDLG has a strong market position in wheel loaders and has successfully entered the excavator market with support from Volvo CE.

“Bringing our larger excavator businesses in China together will maximize our ability to serve customers in China,” said Melker Jernberg, president of Volvo Construction Equipment. “SDLG has been a great success since we began our cooperation in 2007. With sales of both brands growing and our cooperation getting ever closer over the years, this is a natural next step for us.”