Kalmar to transfer heavy cranes business to RIC
Finnish marine crane and handling equipment manufacturer Kalmar, part of Cargotec, has reached an agreement to transfer the intellectual property and assets relating to its heavy crane product line to China’s RIC (Rainbow Industries Co.).
The agreement includes Kalmar’s Rubber Tyred Gantry cranes, rail-mounted gantry crane, ship to shore cranes, as well as automatic stacking cranes which are currently assembled and manufactured at RIC’s facility in Taicang, China.
RIC has been Cargotec’s Original Equipment Manufacturing subcontractor providing assembly services for Kalmar and MacGregor since 2020 when the two parties agreed to end their joint venture
in China that the two had agreed in 2011
, completed in 2012 with the first products produced in 2013
As part of this new new agreement, around 40 Kalmar employees based in China are expected to transfer to RIC. The planned change is expected to occur in September, when the deal is expected to complete, but is subject to approval from Chinese authorities.
In the future, Kalmar aims to focus on what it refers to as ‘eco-efficient cargo handling equipment’ including straddle and shuttle carriers, Bromma spreaders and after sales services, which it now refers to as ‘lifecycle services’. The company will also continue to offer crane automation and related services.
According to its preliminary estimates, Cargotec will take a €36 million hit to its 2022 results due to restructuring costs relating to the planned agreement. It says that the deal will not impact its outlook for 2022 and anticipates is ‘comparable’ operating profit to exceed €232 million it achieved in 2021.
Arto Keskinen of Kalmar said: “This will be an important step for Kalmar. We have had a long partnership with RIC, and we are pleased that they would be taking over in China, and we could secure a smooth transition to our customers. We will stand behind all existing customer commitments including all agreed deliveries, valid quotations and options. We will also continue to support, develop and offer crane automation solutions and crane services for new and existing customers.”
RIC chairman Wu Jian added: “We are very pleased to continue to offer the Genma Kalmar cranes to the global customers. The partnership that we have had for years with Kalmar gives us a strong base for delivering the existing and future projects.”