Volvo CE invests in China

Volvo Construction Equipment recently signed an agreement to make an equity investment of 70 percent in Shandong Lingong Construction Machinery, a construction machinery manufacturer with a comprehensive dealer network throughout China.

Lingong, based in Linyi in Shandong Province, reached sales equal to $250 million U.S. dollars in 2005. Lingong is also the fourth largest producer of wheel loaders in China with a market share of about 11 percent in 2005.