LiuGong & UOB forge machinery financing partnership in Southeast Asia

LiuGong has signed a memorandum of understanding (MoU) with United Overseas Bank (UOB) to support the major Chinese global construction and quarrying equipment manufacturer’s machinery financing in Southeast Asia. The MoU was signed by the president of LiuGong Machinery Asia Pacific, Chen Hao, and Karunia W. Tjuradi, managing director and head of Sector Solutions Group at UOB, at LiuGong’s Asia Pacific subsidiary office in Singapore. “Since LiuGong set up its Asia Pacific subsidiary office in 2011 to exp

July 19, 2018 Read time: 3 mins

Karunia W. Tjuradi, MD and head of Sector Solutions Group at UOB (left) and Chen Hao, president of LiuGong Machinery Asia Pacific, shake hands after the signing of the a memorandum of understanding between the two companies

441 LiuGong has signed a memorandum of understanding (MoU) with United Overseas Bank (UOB) to support the major Chinese global construction and quarrying equipment manufacturer’s machinery financing in Southeast Asia. The MoU was signed by the president of LiuGong Machinery Asia Pacific, Chen Hao, and Karunia W. Tjuradi, managing director and head of Sector Solutions Group at UOB, at LiuGong’s Asia Pacific subsidiary office in Singapore.

“Since LiuGong set up its Asia Pacific subsidiary office in 2011 to export its construction equipment to South East Asia market, we have been gaining market acceptance offering quality products, as well as excellent after sales services.” said Hao. “Our perseverance and investment has started to pay off and the market has also showed signs of recovery this year. In this first quarter, we experienced more than 50% growth increases in sales volume in the Southeast Asia market.”

According to Hao, the historic MoU signed on Thursday 12 July 2018 establishes a partnership between LiuGong and UOB to provide financing solutions for LiuGong’s dealers and customers. This includes easy access to tailor-made financing solutions. LiuGong dealers and customers will also enjoy interest rate loans at a more competitive rate due to the joint risks bore by the two organisations. Indonesia and Thailand will be the first two countries to have this scheme rolled out. It will enable LiuGong’s key customers to enjoy better rebates and services from LiuGong when they obtain larger procurement. Medium and smaller-sized company customers will be able to afford to buy up-to-date technology machines which they could not afford previously.

“We wanted to work with the top OEMs from China and LiuGong is our top choice and was the first we approached for this program.” said Tjuradi. “We know that LiuGong will materialised their overseas ambitions and UOB is here to fuel that.”

Luo Guobing, general manager for LiuGong’s Overseas Division, who was not able to attend the MoU signing ceremony, heralded the event from LiuGong headquarters in Guangxi, China, saying, “LiuGong has big, ambitious plans in the overseas market. It has always been LiuGong’s interest to develop our dealers and providing them with competitive advantages and strategies to optimise their operational and financial performances.

“When UOB approached us earlier this year and proposed the collaboration, we found it to be very timely and fitting. UOB, being an established premier bank, has ASEAN’s largest footprint of branches distributed across the SEA markets. Its extensive clientele network of machinery equipment and component dealers and end-users in SEA fits our current expansion plans in SEA.”