The Manitowoc Company announced that Shantui Investment has terminated its agreement with Manitowoc’s subsidiary, Manitowoc Crane Group Asia Pte Ltd. to enter into a joint venture contract with respect to the truck crane business currently operated as Manitowoc Dong Yue Heavy Machinery Co., Ltd. (Manitowoc Dong Yue).
 
A statement issued by  Manitowoc, said, “In terminating the agreement to pursue the joint venture relationship, Shantui cited China’s economic restructuring and the sharp decline in the construction machinery market in China, which have adversely impacted Shantui, have affected governmental investment policies and investment ideas in the construction industry, and which in turn have led to delays in obtaining the necessary governmental approvals for the joint venture.”
 
“We are disappointed with Shantui’s decision and the fact that the Chinese government did not act to timely approve our potential joint venture as we believed that there was enormous potential presented by the successful collaboration of Manitowoc and Shantui in the truck crane industry,” said Glen E. Tellock, Manitowoc’s Chairman and Chief Executive Officer. “In the meantime, we will evaluate our options with our current partner, Tai’an Taishan Heavy Industry Investment Co., Ltd., with respect to the future of the Manitowoc Dong Yue business.”