Lovsuns Tunneling Canada Ltd., a subsidiary of Liaoning Censcience Industry Co. Ltd. (LNSS), has announced that all TBM manufacturing will now be completed at the LNSS facility in Liaoyang, China. Management, sales, engineering and procurement, as well as field staff, are not affected by the move. Additionally, international sales and service remain the responsibility of Lovsuns.
Lovsuns, the successor company to Lovat Inc. and Caterpillar Tunneling Canada Corp., had produced approximately 300 TBMs in Toronto since it was founded in 1972.
“This is a strategic decision to increase the competitiveness of both Lovsuns and LNSS,” said Hongyu Xue, general manager of Lovsuns. “The move will result in cost savings and faster delivery times for our clients, including those in North America, while maintaining the world class product quality. We have a huge capacity for TBM manufacturing in China and this allows us to use that advantage to its fullest potential.”
Xue stressed that design, engineering, procurement and field service is still overseen by Lovsuns, meaning clients will get the components they are used to. “The move basically transforms us from an equipment company to a more service oriented company providing engineering, sales and field services in conjunction with our remarkable production capacities in China,” Xue said.
Lovat Inc. was originally founded by Richard Lovat in 1972. In 2008, the company was purchased by Caterpillar, which announced in 2013 that it planned to shutter the business. In 2014, LNSS purchased Caterpillar Tunneling Canada Corp. and set up Lovsuns as a wholly owned subsidiary to manage the assets.
Lovsuns supplies machines throughout the globe, including supplying most recently TBMs for water and transit projects in Turkey.