OREANDA-NEWS. Corum Group and SHANXI TZ COAL MINE WHOLE-SET EQIUPMENT CO., LTD (Taichung) signed a Memorandum of Understanding to establish a joint venture in China.

The companies signed the MoU at the 18th Investment and Trade Forum for Cooperation between East and West China, which took place on 23-25 May in Xian (Shanxi) as part of the Silk Road Economic Belt project.

The first stage of cooperation will include the assembly of equipment in China for its domestic market, with the main equipment units produced in Ukraine. The next stage will ensure stronger localisation of production, as well as equipment supplies to other countries.

The key products of the joint venture will include units of power-operated equipment for underground mining with a long-pillar system widely used in Ukraine. This equipment is currently produced by the Underground Mining Division of Corum Group.

“Today Chinese legislation encourages more efficient development of mineral resources, including mining of thin coal seams. Our company has 125 years of expertise and all the necessary competences to produce a powerful and cost-effective equipment to meet the objective. It creates great opportunities for our business development in the biggest global coal market,” noted CEO of Corum Yevgeniy Romaschin.

The MoU is another step taken by Corum to implement its new market development strategy and cement the trade and economic partnership between Ukraine and China.

The document was signed by President of Ukrainian Chamber of Commerce and Industry Gennadiy Chizhikov and Director of CCPIT (China Council for the Promotion of International Trade) Zhu Jia Hui. Ukraine's Ambassador to China Oleg Demin attended the signing ceremony.