Sinoboom provides details of Mexico expansion
06 June 2023
Chinese MEWP manufacturer Sinoboom hopes to be producing self propelled booms and scissor lifts in Mexico by the second half of 2024, with construction of a 150,000m2 facility in Monterrey about to begin.
The company, which also said its IPO on the Shanghai stock exchange was likely to take place later this year, said the Mexico facility will eventually offer annual production capacities of 20,000 scissors and 10,000 booms.
That capacity compares to the 60,000 units of its Chinese facilities when the current ‘phase 4’ expansion is completed. The company also has a production plant in Poland.
Steven Liu, chairman and co-founder of the company, speaking to International Rental News at the APEX show in Maastricht, the Netherlands, said the investment in Mexico represented a continuation of its vision to be a “top 4” global player in MEWPs by 2025.
Liu said revenues outside China would represent around 50% of its total by 2025, and that he hoped export sales would increase to 70% of the total by 2028.
He told IRN that the IPO would give it access to growth capital which was essential for its expansion plans, and would be a “milestone” in the development of the business, which this year celebrates its 15th anniversary.
Sinoboom has been among several Chinese OEMs to benefit from the remarkable growth of the domestic access rental sector, with big players creating a total rental fleet of around 500,000 units.
Liu said he was sure that growth would continue in China, with rental penetration rates still much lower than markets such as the USA and with vast areas in central and western China still awaiting development as access markets.
He said Sinoboom would remain focused on the access market as well as linked products, such as telehandlers - a prototype telehandler was recently displayed in China - and that it was possible its expansion could include investment in companies or acquisitions.