KamAZ, Case New Holland JV begins assembling agricultural machines
KAZAN. May 25 (Interfax) - The joint venture created by Russian truck-builder KamAZ and Case New Holland of the Netherlands - LLC CNH-KamAZ Industry in Naberezhny Chelny - has begun the production of agricultural machines, the company's press service said.
The JV has begun assembling T8050, T9040, and T9060 tractors with 535, 435, and 325 horsepower, respectively, as well as 300hp CSX7080 and 272hp CSX7060 combines carrying the New Holland Agriculture brandname.
CNH-KamAZ Industry is looking to produce equipment primarily to be sold in Russia, and then in other Commonwealth of Independent States countries later on, its press service said.
"Need for highly productive machines and means has arisen over the past few years, and demand for high-productivity equipment grows all the time," a press release cites New Holland Agriculture's commercial director for Russia, Roberto Valfre, as saying.
Case New Holland Global and KamAZ inked the final agreement on setting up a joint venture in Russia back in March. Initial investments totaling $70 million make it possible to turn out up to 4,000 pieces of equipment annually, including a line of combines and construction equipment.
The joint venture builds its machinery on KamAZ production floors in Naberezhny Chelny that cover more than 50,000 m2.
The agreement stipulates that Case New Holland Global supply the venture with its models and technology. Output carries the New Holland Agriculture and New Holland Construction brands, and that includes components and tools.
LLC CNH-KamAZ Commerce, which will be moving the new company's wares.
Case New Holland produces agricultural and building equipment carrying the Case and New Holland brands, which is sold by around 11,500 dealers worldwide. CNH Global N.V. stock is quoted on the NYSE.
JSC KamAZ is the parent company of a group that specializes in producing trucks. It sold 47,500 vehicles in 2008, around 26,000 in 2009, and plans to sell from 30,000 to 32,000 in 2010.