Description/achievement of initiative
Until 2015, Liugong will sell the remanufactured products for 100 million RMB (16 million US dollars).
For the first installment, Liugong has built a remanufacture production base for 6300 square meter. The remanufacture business focuses on developing transmission and hydramatic key parts and the products mainly consist of Liugong self-made components. Through the remanufacture process of pre-cleaning - dismantling - washing - sorting - repair - assembly - test - painting – packaging, the remanufactured products and pieces are ensured to have the same quality and service function with new products and pieces. The reverse logistic work relies on the Liugong parts centers in Changzhou, Tianjing, Chengdu, Xi'an and Liuzhou in China. It is estimated that until the end of 2015, the remanufacture production base will be invested by fixed assets worth more than 50 million RMB. Liugong will sell the remanufacture products via the existing marketing network.
Arrangements for Capacity-Building and Technology Transfer
Coordination mechanisms/governance structure