In China, Volvo CE and SDLG currently manufacture and sell their own brands of excavators. To further accelerate growth and comply with the upcoming China IV emission standards for non-road engines, all excavators for the Chinese market from 15 tonnes and above will be combined into a single product line by December 2020. The products will be based on Volvo’s latest technology and under the Volvo brand.

Since Volvo CE acquired a 70% stake in SDLG in 2007, SDLG’s net sales have surged from approximately SEK 3 billion to SEK 17 billion with good profitability. SDLG has established a strong market position in the wheel loader category and has also successfully entered the excavator market with the technical support of Volvo CE.

“Closely integrating our medium and large excavator business in the Chinese market will maximize our ability to serve Chinese customers. ” said Melker Jernberg, President of Volvo Construction Equipment. “Since we started working with SDLG in 2007, SDLG has achieved great success. With the continued growth of sales for both brands and the growing partnership between the two parties, it is only natural for us to take this step together. ”