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11.01.2011

More Genie scissors for Manitou

Manitou and Terex have extended their supply agreement to include Genie slab electric scissors.

The original supply agreement launched in April last year covered Genie compact Rough Terrain scissors which Manitou sells as the 100C and 120C. While Genie sells Manitou’s mast booms under its own brand as the Genie GRTM20 and 26.

Starting this month Manitou will now add the 19ft GS1932, 26ft GS2632 and 32ft GS3246 models to its range as the 78 SEC, 100 SEC and 120 SE respectively. The scissor lifts will be sourced from the Terex plant in Coventry, UK and will replace the units that were produced for Manitou in China.
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Manitou marketing manager Maxime Deroch said: “Nine months after it started, this cross selling agreement has proven to be beneficial for both companies. The extension of the agreement will replace the XE / XEL electrical slab scissors lifts that have been discontinued worldwide except for China, where they will still be manufactured under the Hmme joint venture between Manitou and Hangcha.”

“These electrical scissor lifts complement our AWP range with high quality products and short delivery times. Like the 100 SC and the 120 SC, we will primarily market these models to end-users through our dealer network and assume responsibility for aftermarket support."

Vertikal Comment

This is a fascinating development and not a lone one – that of a company that was having its small scissor lifts made in China and then reverting to having them built in the UK.

What does that say about the true cost of manufacturing access equipment in China? Possibly nothing but it does confirm our view, apparently shared by some manufacturers in the industry that the future is not offshore sourcing – more one of building the product closer to its final destination.

As to this deal, it is a no brainer for Genie, it really has nothing at all to loose and should see some incremental business coming from France as Manitou puts these products out through its industrial dealer network.

As to Manitou, it looses little and gains a product line that is well proven whose supply can be turned off and on to suit its requirements. However the company must surely be asking itself what its long term future is in the access business?

The company has some gems within its range and all of the models it builds in France are beautifully built. However its line is exceptionally limited and the strategy of becoming a significant player in the market through organic growth looks more undoable than ever. It really needs to take a decision are we in or are we out? If the answer is in then a decent acquisition is probably the only way forward. It is after all celebrating 20 years in the access business this year.

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