Lovol takes 'A Plan' for tractors to international stage

A Lovol Arbos tractor is tested in a field. Photos Provided to China Daily

Lovol presented its state-of-the-art Arbos tractors at Agritechnica, the world's leading exhibition for agricultural machinery and equipment.

To tap the global market for high-end agricultural machinery, Lovol International Heavy Industry Co presented its stateof-the-art Arbos-branded tractors at Agritechnica, the world's leading exhibition for agricultural machinery and equipment, in Hanover, Germany, from Nov 8 through 14.

Lovol, China's largest producer of agricultural equipment displayed its Arbos 5000, 6000 and 7000 series, with the 5000 series being shown for the first time on the global stage. A jury of journalists from 23 European countries selected the Arbos 5130 from the world's best tractor models to win the silver prize in the Tractor of the Year 2016 Best Utility contest.

More than 2,900 exhibitors from 52 countries including America, Germany, France and Italy presented agricultural machinery at Agritechnica.

An Italian jury member said the color and elegant lines of Arbos 5130 - featuring the red letter A logo - give it a modern and practical look, while the cab provides broad vision and its advanced systems make steering and routine maintenance easy, combining style and functionality.

"The Arbos tractors shoulder Lovol's commitment to developing into a world leader in the of-road machinery equipment industry," said Wang Guimin, president and general manager of Lovol. "These tractors will secure a substantial place in the global middle and highend market with their superior quality."

Arbos tractors are independently developed by Lovol Arbos Group Spa, which is located in Bologna, Italy, and wholly owned by Lovol. With five years' eforts and a combined investment of 200 million euros ($214 million), the tractors feature many high-end technologies including a power shift transmission with proprietary intellectual property rights owned by Lovol.

'A Plan" evolution

An antique-class tractor bearing the Arbos brand was also on show at Agritechnica, introducing the story of how the brand grew from a small family firm into a world-class company.

According to the company, Arbos was developed from Bubba, a workshop founded by the Italian Bubba family in 1896 to manufacture farm implements such as threshers. Arbos renamed the company Arbos Bubba and its business was streamlined in 1956 to focus on agricultural machinery and products bearing the Arbos brand. Last year, Lovol took over Arbos.

During the past century, the Arbos brand presented many classic products to the world. In Europe, Arbos owners drive their tractors and harvesters to the Arbos Bubba fair every year, demonstrating the important influence of Arbos products across the continent.

China's connection with Arbos dates back to the 1970s when China sent its first oficial delegation to Italy after the two countries established diplomatic ties in 1970. The delegation visited Arbos, hoping to learn from the company's advanced technology to introduce agricultural machines to China.

Pace accelerated

By showing tractors bearing the Arbos "A" logo at the Agritechnica exhibition, Lovol's plan for globalization was officially unveiled after five years' preparation.

Four years ago, Lovol started a research center in Europe to develop new technologies for producing tractors, harvesters and high-end agricultural implements. The company also formed a team with more than 200 high-end professionals working in research and development, production and marketing.

To upgrade its technologies and product quality, Lovol purchased both Arbos and Mater-Macc in 2014.

After first purchasing Arbos, Lovol bought MaterMacc, also based in Italy, in December. MaterMacc focuses on the design and production of precision pneumatic sowing machines to sow vegetables in open fields and greenhouses and sow grain, inter-row weeders and fertilizer spreaders. In buying MaterMacc, Lovol inherited property rights for electronic control equipment and sowing machines.

By acquiring the two European agricultural machinery brands, Lovol is able to sharpen its global competitiveness in the sector of high-end agricultural equipment by integrating Arbos and Mater-Macc's advanced technologies and the European elements of the Arbos and MaterMacc brands to enrich Lovol's brand profile.

Lovol has advanced global digital factories producing agricultural equipment in China, an eficient marketing service network covering both Chinese and overseas markets and the company enjoys a good reputation in the field. Meanwhile, Arbos has nearly 100 years of history and a sound foundation. The Arbos and MaterMacc design philosophies will provide immeasurable value to Lovol, said Wang.

Armed with world-class technologies, Lovol founded the Lovol Arbos Group on Sept 15.

Wang said the company's "A Plan" is the first stride in Lovol's plan to become a global first-class agricultural machine producer.

Brand globalization

Lovol will develop the Lovol Arbos Group into a center for the company's European and American business, integrating research and development, purchasing, manufacturing, marketing and management.

Experts regard Lovol's process of going global as an ideal model of the Chinese equipment manufacturing industry upgrading its development structure to be competitive on the global stage rather than merely being large in terms of industrial scale.

In brief, Lovol's globalization course is driven by technology and brands as the company sets its sights on technology, research and development, innovation and product quality, Wang said.

"Compared with those that directly establish plants overseas and those simply dependent on domestic teams to merge with overseas companies, Lovol's 'A' Plan requires less capital and is much steadier," he said. "This process can achieve cultural integration in an eficient way."

Lovol, located in Weifang, Shandong province, is an equipment manufacturing enterprise engaging in agricultural equipment, construction machinery, vehicles, core components and financial services. The company's sales revenue reached 21.98 billion yuan ($3.45 billion) in 2014.

Lovol has been identified as a National Key High-Tech Enterprise and its engineering and technology research institute is identified as a National Certified Enterprise Technology Center.

zhaoruixue@chinadaily.com.cn

(China Daily 11/18/2015 page13)