MUNICH, Germany (May 26, 2016) — China National Chemical Corp.'s (ChemChina) acquisition of KraussMaffei Group will allow the German plastics and rubber processing machinery company to expand its activities in the tire machinery market.
ChemChina, as the company is known, will integrate its rubber machinery and related business with Munich-based KraussMaffei, the Chinese company said recently. ChemChina announced its deal to buy KraussMaffei in January, for $1.01 billion.
The German group will take the “necessary steps” to initiate that, KraussMaffei CEO Frank Stieler said.
“We are expanding our existing product portfolio, especially in the field of machines for the production of tires,” Mr. Stieler added.
ChemChina claims to be the leading rubber and chemical machinery manufacturer in China, providing services to the top 10 global tire manufacturers.
The transaction, according to Mr. Stieler, will enable KraussMaffei to gain stronger access to the market of the Greater China Region.
“We intend to accelerate our growth in Asia and particularly in China, which will also strengthen our company both in Germany and in the rest of Europe,” he noted.
ChemChina Chairman Jianxin Ren said KraussMaffei would become “the principal business entity” in the company's machinery segment.
“KraussMaffei will instill the robust German Industry 4.0 gene…into ChemChina's advanced manufacturing segment,” Mr. Ren said.