China's top machine tools maker more competitive after new acquisition

China's largest machine tools manufacturer, Shenyang Machine Tools Co., Ltd (SMTCL), has completed the restructuring of China's another key machine tools company, Yunnan CY Group Co., Ltd.

This is another step SMTCL has taken to expand and make the company more competitive, a company source said. SMTCL acquired Germany's Schiess AG, the world's leading heavy machine tools maker two months ago.

Based in Shenyang, capital of northeast China's Liaoning province, SMTCL has rapidly developed in recent years because of its successful reform and renovation. The total sales revenue of SMTCL is expected to hit 4 billion yuan (482 million US dollars) in 2004.

Yunnan Machine Tools Works as its predecessor, the Kunming-based Yunnan CY Group is the largest machine tools company in western China. However, the company has fallen behind its competitors.

After merging the Yunnan CY Group, SMTCL can not only reinvigorate the troubled company, but also greatly enhance its own competitiveness in domestic and international market, analysts said.

Source: Xinhua