China First Tractor announced on July 18 that they will build strategic cooperation with ZF on axles to boost the axle department development and absorb related technology. They will make a joint venture with German ZF China Company to develop, produce and sell agricultural machine axles.
The total investment amount to 600 million Yuan and China First Tractor will invest 139 million Yuan, accounting for 49% with cashes and plants. And the joint venture will purchase assets and goods from China First Tractor after the joint venture founded.
China First Tractor Company said that the investment aims to introduce German ZF high end technology on axles and they will integrate existing axles and domestic influential axle brands to develop and upgrade related technology and products as well as explore modern agricultural machines for global markets. Now, they are trying to meet high horsepower tractors and high end axles to improve their competitiveness.
