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China National Erzhong Group
Second Heavy Machinery Plant

China's Second Heavy Machinery Corporation (referred to as China's double, the abbreviation CNEG) was founded in 1958, is part of parent company China National Machinery Industry Corp (Sinomach). In 2013 China’s cabinet engineered a takeover of Erzhong by Sinomach, but the merger failed to stem losses at Erzhong. It started production in 1971 and claimed to be the largest heavy machine-building enterprise in China.

CNEG is a central direct management of the relationship between national security and economic lifeline of enterprise groups. China National Erzhong Group, one of the elite club of 112 big enterprises directly owned by the central government, employed a workforce of more than 13,000 in 2012, when it had assets of Rmb25bn ($3.9bn).

China National Erzhong Group Co. used to be known as The Second Heavy Machinery Plant, a legacy from the era when major manufacturers were named numerically. In the year 1993, it was renamed China National Erzhong Group Co. and abbreviated to China Erzhong. China Erzhong was listed as one of 39 key backbone enterprises which are recognized as “State Security and National Economic Lifeline” in 1999.

It is a major national technology and equipment base and China, one of the most important new energy equipment manufacturing base. The national-level engineering research center is located in Chengdu municipality, the facility for marine base equipment under construction in Zhenjiang, Jiangsu Province progressed rapidly, and the Deyang manufacturing base is fully operational.

A publicly traded company (referred to as stock code 601268), it has 8 research institutes, 11 division, subsidiary, and subsidiary enterprises. As of late 2011, the double in China covering a total area of approximately 4.82 million square meters, total assets of 26.5 billion yuan, 13,264 people registered employees.

China Erzhong is equipped with more than 6600 major manufacturing machine tools, equipments, and facilities. It can produce 900 tons of high purity liquid steel at one time, with the capability to pour 600 ton high quality ingots to supply 400 ton forgings and 500 ton castings. In the past 50 years, China Erzhong has provided megatons of significant heavy machinery and equipment to the industries of the national economy and defense, such as metallurgy, mining, energy, transportation, automobile, petrochemical processing, aviation and aerospace.

Double solid material and technological base and a strong product development, design and manufacturing capabilities of its national technology centers, engineering labs and post-doctoral workstations, the world's largest 160MN free forging press production equipment 6600 sets, with a one-time smelting 1000t molten steel pouring 600t ingot output 550t finished castings and forgings capacity of 400t finished, is China's largest metallurgical equipment, forging equipment, the core components of wind power, nuclear power, hydropower, thermal power sets of castings and forgings, marine castings and forgings, heavy pressure vessels, large drive, large-scale aviation die forgings and other major technical equipment manufacturing base.

It has the country's leading special large logistics terminal, is the limit of large complete sets of equipment for nuclear power, heavy container, such as manufacturing and processing base.Fifty years, China Erzhong has for metallurgy, mining, energy, transportation, automotive, petrochemical, aerospace and other departments of the national economy and national defense construction of nearly two million tons of major technical equipment.

Many products fill gaps in the domestic, import substitution, make a positive contribution to advancing China's major technology and equipment, the revitalization of the national equipment manufacturing industry. Double adhere to scientific development as the theme tune the structure of the level of transfer as the main line around "stronger, nurturing world-class enterprise with international competitiveness," the central task of the implementation of "going out" strategy, vigorously enhance the company's level of internationalization, vigorously strengthen the independent innovation, strengthening technological innovation and enterprise management, accelerating the pace of the construction of "one center, two bases, equipment, power equipment, big country to make unremitting efforts for the Chinese.

In 2009 it forged China's biggest low-speed 1100 MW generator rotor for Dongfang Electric, which was successfully tested under Alstom supervision. In 2014 it forged a 600t rotor shaft for Fuqing 6. It also has the world's largest hydraulic press, an 80,000-tonne open die forging press costing CNY 1.5 billion, commissioned in 2010, for manufacturing large components.

The company was founded in 1958 and is based in Deyang, China.

China National Erzhong Group warned in December 2015 that it may have to stop paying interest on a Rmb 1 billion (US$157 million) medium term note after being sued by a creditor. A default would be the second by a Chinese state-owned company in the interbank bond market following that of power equipment manufacturer Baoding Tianwei Group in April 2015. China Erzhong said in a statement that one of its creditors, First Design & Research Institute MI China, had taken it to court to force a debt restructuring on the ground that the company was unable to pay debt and could not be liquidated.

Erzhong Group (Jiangsu)

China Erzhong planned to invest CNY 2.4 billion in setting up another production base in Jiangsu province for large-sized forging products.

Erzhong Group (Zhenjiang)

Erzhong Group (Zhenjiang) Heavy Equipment Ltd is located at Zhenjiang City, Jiangsu Province, 85 km east of Nanjing on the Yangtze River Delta, and is the second major production base for China Erzhong, including a foundry and forge. China Erzhong supplies forgings to Dongfang (Guangzhou) Heavy Machinery Co's (DFHM) plant near the coast.

Erzhong Group (Deyang)

China Erzhong Group (Deyang) Heavy Industries, a listed subsidiary of the group, was sued by another creditor seeking a debt restructuring. The subsidiary issued a Rmb800m 7-year enterprise bond in 2008. Investors sold back part of the bonds in 2013, leaving Rmb310m in principal unpaid.

China National Erzhong Group Co., Ltd. manufactures metallurgical equipment and other heavy technical equipment for metallurgy, mining, energy, transportation, automobile, petrochemical processing, and aviation and aerospace industries in China. It offers hot strip and cold rolling mills, heavy and medium size plate rolling mills, continuous casting equipment, and forging press equipment. The company also provides heavy duty castings and forgings, such as marine castings and forging, and rolls. In addition, it offers nuclear power products and pressure vessels.

Further, the company provides driving parts, including various general cylindrical gears, bevel gears, worm driving reducers, large main reducers for rolling mills, gear bases and screw down driving device, heavy duty spline shafts and spline bushings, various racks, drum-shaped teeth couplings and spindles, universal joint spindle, and wind power gearboxes, as well as standard and non-standard reducers for metallurgy, mining, forging, light industry, and other industries. Furthermore, it offers aviation die forgings, vertical cement grinding mills, cement equipment, hydraulic hoists, and gantry cranes.

China Erzhong Group (Deyang) Heavy Industries was founded December 30, 2001.

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Page last modified: 05-03-2017 19:55:19 ZULU