Herrenknecht begins 2006 with a high volume of orders. Business in China is growing.
Traditionally Herrenknecht’s core market has been in Europe, which still represents more than 50 percent of new orders. The Asian region, and China in particular, has become the second most important sales and growth market of the Herrenknecht Group. In the financial year 2005 every fourth order was placed in Asia, primarily in China. Orders are increasing for specially manufactured tunnelling machines with large and extra large diameters.
The most recent orders received in the first quarter of 2006 include two 9.0m diameter Mixshields for the underground crossing of China’s second largest river, the 5,464km long Yellow River (Huang He). With the two 9m-Mixshields for the crossing beneath the Yellow River in the north of Zhengzhou, Herrenknecht machines participate for the first time in of one of the world’s largest infrastructure projects.
After decades of planning China has been vigorously tackling the construction of a giant water supply project called "South-to-North Water Diversion Project" since 2002. As part of this unique and massive pioneering project the abundant water reserves in China’s south will be transferred to the north via three giant waterways, each being 3,000km long. In addition to the construction of dams a number of large tunnels, some several kilometres long, have to be driven below the Yellow River. With these passages a continuous water supply will then be provided up to the very north of the country, supplying clean drinking water to 400 million Chinese every day.
Since 2000 Herrenknecht has received a total of 47 orders for large-diameter tunnel boring machines (diameter > 4.20m) from China. Mostly for tunnelling systems with machine diameters ranging between 6.25m and 6.40m, which are mainly used for the construction of new inner-city metro line tunnels. In Guangzhou (South China) alone, 22 Herrenknecht tunnel boring machines are engaged in the construction of the metro lines 2,3, 4, 5 and 8 in the large metropolis, where Herrenknecht is represented by a subsidiary, a joint venture, assembly facilities and a steel manufacturing plant.
More Chinese customers are using large tunnel boring machines for very demanding tunnel construction projects. In spring 2005 Herrenknecht receiveda major contract from China: For the construction of two giant road tunnels under the Yangtze River in Shanghai (connection between Pudong and the river island Changjiang) the contract for the world’s largest tunnel boring machines (diameter 15.43m) was awarded to Herrenknecht. In April 2006, the assembly of the first TBM giant will be completed. The machine is scheduled to start crossing the Yangtze River in Shanghai/Pudong towards the island of Changjiang in September 2006.
Herrenknecht’s advanced technology is highly appreciated by the customers in China. It is important to work hard to establish good business relationships. Dr. Martin Herrenknecht, Chairman of the Herrenknecht AG Board of Management, began to establish business contacts in China almost 20 years ago. In the course of the "South-to-North Water Diversion Project" he became acquainted with the Minister of Water at that time, Niu Maosheng, who Dr. Herrenknecht still visits whenever he travels to Beijing
