Caterpillar to Help Develop Remanufacturing Industry in China

Caterpillar to Help Develop Remanufacturing Industry in China

Caterpillar Inc. has signed an agreement with China's National Development and Reform Commission (NRDC) to promote the development of China's remanufacturing industry.

"Remanufacturing is a highly sophisticated form of recycling that takes end-of-life components and turns them into like-new products for a fraction of the cost," said Levenick. "Our remanufacturing business is one of the fastest growing parts of our company because this technology helps our customers remain competitive and promotes a sustainable environment by reducing waste and the need for raw materials to make new parts."

Madame Zhao Jia Rong said, "The letter of intent signing lays a solid foundation to promote cooperation in the area of remanufacturing. It is beneficial for China to learn the expertise of foreign countries and to promote the development of the recycling economy."

As part of the letter of intent, Caterpillar will provide expertise to assist NDRC and Chinese research institutions in supporting the development of the remanufacturing industry in China. Caterpillar and NDRC have also agreed to form a Joint Working Group on Remanufacturing Programs to discuss matters related to the remanufacturing cooperation program in detail and to coordinate and promote further cooperation by both parties in sustainable manufacturing and other areas.

Caterpillar Remanufacturing Services is the first wholly owned foreign entity to receive a remanufacturing license in China. To support its Chinese customers, dealers and other customers in the Asia Pacific region, Caterpillar recently opened a regional remanufacturing center in the Lingang Industrial Area in Shanghai.

"We are proud to be a pioneer in this industry and look forward to supporting China's 4R initiative: reduce, reuse, recycle and remanufacture," said Steve Fisher, Caterpillar vice president for remanufacturing. "Through our business model and with this letter of intent, Caterpillar will support the Chinese government's goal of achieving a sustainable economy based through recycling."