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WELCOME TO FORKLIFTACTION.COM, MATERIALS HANDLING ONLINE.
This is issue #293 - 18 January 2007 of the weekly newsletter for industry professionals.
“Kalmar acquires CVS Ferrari.”
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Chinese electric forklift demand expands
Chinese demand for electric forklifts is increasing as end users embrace environmental-friendly trucks, says a Chinese magazine editor.
Roy Jia, editor of International Construction Machinery magazine, says, in a report titled “China Market Report on Lift Trucks Industry”, that 4,655 electric forklifts and 1,969 internal combustion forklifts were imported from January to August 2006.
In contrast, China-based manufacturers exported 5,708 electric forklifts and 10,294 internal combustion forklifts in the same period.
“There is a big gap between the number of exported electric forklifts and exported internal combustion forklifts,” Jia said. “[China] needs to improve its manufacturing standards of electric forklifts. Meanwhile, quality of Chinese internal combustion forklifts has approached international standards.”
According to the report, 67,679 forklifts were produced in China from January to August 2006, up 37 per cent on the same period in 2005. The top three Chinese manufacturers were Zhejiang HangCha Construction Machinery Joint Stock Ltd Co, Anhui Heli Joint Stock Ltd Co and Hangzhou DingLi Machinery Co Ltd.
The top three foreign manufacturers were Linde, Hyundai and Komatsu, the report said.
Zhejiang, Anhui, Fujian, Liaoning and Shanxi were named the top five forklift producing regions.
“Hangzhou Zhejiang moved from second-highest producing forklift manufacturer to top rank, indirectly showing how dynamic the Chinese forklift market is,” Jia said.
While China was recognised as a forklift-producing nation, it still had a “long distance” to go before becoming a leading forklift producer.
“China’s forklift industry needs to make efforts to improve its production technology and create an international trademark.”
However, Jia was optimistic about continued growth in domestic forklift consumption.
“With the development of the economy and increased labour costs, many jobs will be operated by forklifts instead of manpower.”
Japan was named the top forklift exporter to China with 3,268 forklifts exported in January-August 2006. Other top exporters were Germany (1,013), England (650), France (520), Korea (451) and the US (389).
Kalmar buys CVS Ferrari
CVS Ferrari has a new owner, after Swedish manufacturer Kalmar agreed to buy the Italian company.
CVS would operate as a separate entity, retaining its brand and its forklifts would be sold through its existing distribution network, a Kalmar statement said.
No acquisition value was disclosed, although industry sources speculate it was close to CVS’s net sales for 2006, EUR85 million (USD110 million).
CVS Ferrari Group president Giuseppe Ferrari said his family had developed the business for nearly 40 years.
“We believe Kalmar will be a good home and a strong owner for CVS Ferrari in order to meet future global challenges. We see a good fit between the two companies.”
Kalmar president Christer Granskog said the acquisition would strengthen Kalmar’s presence in new equipment and services in Mediterranean markets.
CVS Ferrari has 100 service technicians in Italy and an established base and dealer network throughout the Mediterranean. Italy, Southern Europe and Africa were its strong markets, the statement said.
CVS, established in 1973, was owned by the Ferrari family. It employs 305 people and has production facilities in Cadeo, Italy.
Kalmar’s statement said there would be synergies in “production, sourcing and product development” flowing from the acquisition.
North American exhibitors cheer rousing show
CHICAGO, IL, United States
By Roger Renstrom
US materials handling expo ProMat 2007 attracted 750 exhibitors with displays covering 300,000 square feet (27,000 square metres).
Dry weather greeted attendees in a month better known for stormy climatic conditions in Chicago, known as the “windy city”.
The non-profit Material Handling Industry of America (MHIA), of Charlotte, North Carolina, organised the trade show and broad-based educational conference, on January 8-11.
Participation was brisk for business seminars, part of the educational conference, at the Knowledge Centre. Six self-contained meeting rooms in the centre of the exhibition hall held a total of 69 seminar sessions.
Toyota Material Handling USA vice president of sales Bob Bosworth said ProMat was a “great show”.
“We were ecstatic with the traffic. Dealers were bringing in customers, and we had a big crowd in the booth during peak periods.”
Scott Johnson, Clark Material Handling Co’s dealer services director, said the Kentucky-based company “had a full booth with a blend of current dealers, customers and national accounts”.
Keith Allmandinger, senior marketing manager of Komatsu Forklifts USA Inc and Tusk Lift Trucks, said there was good traffic, interest and sales leads at the show.
Yale Materials Handling Corp regional aftermarket sales manager Joshua Thomas said ProMat was “a great venue” to showcase new products. “We had incredible traffic [on] Tuesday.”
Kevin Trenga, Raymond Corp’s marketing communications manager, said: “We like the [south] hall location and having exhibits on one floor, and we like the colour coding of [exhibit floor] carpets for specific” exhibit categories.
Many exhibitors showed an awareness of emerging technologies relevant to forklift operators. The presence of fuel cell systems and their future prospects was seen at numerous exhibits, and the ProMat directory’s product index listed 72 companies under the joint category “Radio Frequency Identification and Data Communications Equipment”.
Toyota Material Handling USA displayed a fuel cell forklift prototype, the FCHV-F, developed by Toyota Industries Corp and Toyota Motor Corp while Jungheinrich introduced the EFG D30 rotating cabin forklift to the US market. The FCHV-F was first introduced at CeMAT 2005 in Hannover, Germany (Forkliftaction.com News #230).
Jungheinrich initially demonstrated the potential market capabilities of a forklift with a rotating cabin at a 2003 seminar, in Munich, Germany, and continued refinements, leading to the ProMat introduction. Subsidiary Jungheinrich Lift Truck Corp has assigned EFG D30 units for hands-on, end-user evaluations in the US for several months. The German forklift manufacturer launched the EFG D30 in Europe in 2005 (Forkliftaction.com News #195).
MHIA gave a “favourable” outlook in its forecast of 2007 materials handling equipment manufacturing for the US market.
“Our forecast is for slower growth in 2007, in the 3.5 per cent to 5.0 per cent range, closing out the most recent expansion phase of our business cycle,” MHIA executive chairman Brian McNamara said.
In 2007, “shipments will grow at an annual rate of 6.5 per cent to 8.0 per cent, [and] we forecast that consumption will expand at 6.5 per cent to 8.0 per cent”. McNamara is president of Southworth International Group Inc, of Falmouth, Maine.
Another trade group, Material Handling Equipment Distributors of America (MHEDA), organised a January 8 higher education classroom day for more than 25 students at ProMat. Participants received an overview of the materials handling industry, guidance in visiting a section of exhibits in the hall and networking at a MHEDA reception.
MHEDA is arranging an intensely scheduled two-day program for several professors and students during the group’s April 29-May 2 convention and exhibition in San Diego, California.
With the wind up of ProMat 2007 activities, MHIA intends to focus on the group’s next big undertaking, the NA08 materials handling and logistics show and conference, on April 21-24, 2008, in Cleveland, Ohio.
Indian forklift maker enters world rankings
Nacco Industries has replaced Jungheinrich in third-place ranking in German magazine dhf’s World Ranking List of Manufacturers of Powered Industrial Trucks for 2005/06, while an Asian manufacturer made a surprise appearance.
The annual survey, conducted by dhf chief editor Wolfgang Degenhard exclusively for dhf, revealed the top 10 as:
• Toyota Industries Corp (Japan)
• Kion (Germany)
• Nacco Corp (USA)
• Jungheinrich (Germany)
• Crown Equipment Corp (USA)
• Mitsubishi Heavy Industries (Japan)
• Cargotec (Finland)
• Komatsu Ltd (Japan)
• Manitou (France)
• Nissan Motor Company (Japan)
With truck sales valued at EUR2.2 billion (USD2.85 billion), Nacco Corp, which produces Yale, Hyster, Deca and Sumitomo forklifts, has surpassed Jungheinrich, which made truck sales of EUR1.497 billion (USD1.94 billion) for 2005.
Crown Equipment Corp moved up one, supplanting Mitsubishi Heavy Industries. Doosan Corp also moved up one, up replacing Nippon Yosuki, the Nichiyu forklift manufacturer, at number 12.
Former 18th-ranked Terex Corp moved five positions down to number 23. Chinese manufacturers Anhui Heli and Hangzhou each moved one position up to 16th and 18th respectively.
Godrej & Boyce, a diverse manufacturer of products ranging from home appliances to furniture and forklifts, in Mumbai, India, debuted on the list in 29th place.
Degenhard said companies were eligible to be on the world ranking list if they sold a minimum of EUR10.2 million (USD13.2 million) of powered industrial trucks.
“Godrej sent me an email last year and said ‘we have to be on the world ranking list’. They sent us very complete information that we require for the list,” he said.
Forkliftaction.com News will publish dhf’s world ranking list with commentary by Wolfgang Degenhard next month.
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Forklift accessory could spread globally for Ikea
Blanken Controls BV has shipped 140 Shockswitch units to BT, of Mjölby, Sweden, for installation on BT forklifts in all Swedish furniture retailer Ikea’s global stores.
Shockswitch is a vehicle-mounted device that sounds an alarm when the vehicle is bumped beyond a pre-set impact level.
Blanken Controls’ Shockswitch regional director Peter van Buren said 125 new BT forklifts manufactured for Ikea had already been equipped with Shockswitch.
“The number will surely increase because Ikea is opening a new 300,000 square metre European distribution centre in Germany,” van Buren said. He expected about 400 new forklifts at the centre would have ShockSwitch fitted.
After 2-1/2 years of talks with Ikea’s Swedish headquarters, Blanken Controls signed an agreement for supply of the Shockswitch product. While Ikea management will encourage use of the product, Ikea logistic managers decide whether they want Shockswitch installed on forklifts. As part of the agreement, Blanken signed a contract last September with BT, Ikea’s global materials handling equipment supplier, to have Shockswitch installed during forklift production.
Blanken will supply Ikea with software and training to use Shockswitch.
Van Buren approached Ikea’s Swedish headquarters after Blanken’s US representatives sold several Shockswitch units to Ikea in the US in 2002. Over the past five years, more than 500 units have been sold to Ikea.
Van Buren said the Ikea agreement could generate many Shockswitch sales for the company.
“We’re happy if we get 50 per cent of Ikea’s new equipment installed with Shockswitch, but that is not realistic.
“Quite a percentage of their [new] forklifts are non-motorised forklifts. Shockswitch is installed on reach trucks, stackers and counterbalanced trucks.”
Shockswitch has features that prevent unauthorised use and enable safety checks. It monitors driver behaviour through capturing data on all aspects of a forklift’s operation.
Shockswitch costs about EUR1,000 (USD1,294.80) per unit, including installation and modification. The software costs about EUR500 (USD647.40). Van Buren said Shockswitch’s name was being changed to ImpactManager, to better reflect its function.
Blanken Controls, established in 1976, in Loenen, the Netherlands, manufactures Shockswitch in Texas, USA.
Fuel cell packs power more forklifts
CHICAGO, IL, United States
Canadian fuel cell system provider Hydrogenics Corp has signed an agreement with forklift distributor LiftOne to participate in a USD1 million project for trials deploying fuel cells on forklifts in South Carolina.
“We believe the market for [fuel cell use in] forklifts exists today,” John Werderman, Hydrogenics’ business development vice president for its power systems unit, said at a press conference at ProMat 2007, in Chicago.
LiftOne’s North Carolina branch sales & operations manager Troy Garrison said the forklift distributor aimed to aggressively market fuel cells as an alternative to other forklift power sources. LiftOne, a Carolina Tractor division, serves Virginia’s western regions and the North Carolina and South Carolina states.
The agreement involves Hydrogenics, LiftOne and a South Carolina collaboration. The collaboration aims to establish Columbia, South Carolina, as a centre of expertise in developing fuel cell hybrid technology for manufacturing and distribution applications.
“All three parties will contribute and supplement to bring the [fuel cell and ultracapacitor] cost down to that of batteries,” said Russel Keller, senior director for next energy initiatives with the South Carolina Research Authority (SCRA), in North Charleston, South Carolina.
The collaboration, called the Greater Columbia Fuel Cell Challenge, includes the University of South Carolina, the City of Columbia, SCRA and regional technology nonprofit body Engenuity SC.
Deployment of Hydrogenics’ HyPX-equipped forklifts will begin in May or June and, sequentially over six months, involve six major manufacturers.
Hydrogenics is preparing to deploy HyPX packs on 19 forklifts in the northern summer at the Oshawa assembly complex of General Motors of Canada Ltd (Forkliftaction.com News #270).
Separately at a ProMat exhibit, General Hydrogen Corp, of Richmond, Canada, displayed its Hydricity packs on five forklifts, a Toyota 7FBCHU25, a Raymond 740 R45TT, a Komatsu FB32SH-6 and two Caterpillars, an EX5000 and WR6000.
Numerous manufacturers are testing General Hydrogen’s Hydricity packs for forklifts at facilities across North America (Forkliftaction.com News #273).
Heavy-duty hMach forklifts enter market
SPOKANE, WA, United States
Newly established, large-capacity forklift producer hMach International Inc has delivered three heavy-duty forklifts as part of a design and manufacturing contract with Rahco International Inc.
The two companies are connected by an overlapping ownership structure. HMach’s majority owner Richard W Hanson is also Rahco president and CEO. Rahco manufactures large, specialised equipment for the construction and mining industries.
Forklift industry veteran Leamon Tankersley, 63, of Scottsdale, Arizona, is hMach vice president of sales and its only direct employee. HMach forklifts are branded Magni-lift and feature a prominent Made in USA label.
The growing hMach product line targets companies needing forklifts with capacities of 30,000lbs to 100,000lbs (13,500kg-45,000 kg), typically for use at seaport cargo terminals, steel handling yards and concrete production sites. Larger units may cost USD400,000.
Tankersley said hMach wanted its forklift mechanisms to contain higher strength steel than other large forklifts.
“Because of the better materials, hMach forklift pricing may exceed that of competitors.”
HMach planned to avoid electronics and other technologies susceptible to on-the-job breakdowns. “We have a different philosophy,” he said. “Keep it simple.”
At a 26-acre Spokane, Washington, site, Rahco and affiliated companies employ 150 people, including four hMach product designers and 10 people on a hMach-dedicated manufacturing line. The Rahco operation includes a 227,000 square foot (21,000 square metre) plant and 29,000 square feet (2,700 square metres) of offices.
Tankersley said hMach aimed for annual production of 20 to 50 forklifts. Custom designs may involve low-height shipboard operations or particular lifting specifications.
Diesel-powered, pneumatic-tyred hMach forklifts can lift 40,000lbs (14,000 kg) and cost about USD190,000 each.
Designers anticipate launching a hMach forklift series with solid tyres in early 2008.
HMach was incorporated in Washington State in February 2006.
“We saw an opportunity in the heavy-duty, larger-sized forklift market” and viewed manufacturing high-capacity forklift units as a natural migration, said Dennis Medina, Rahco marketing manager.
HMach started marketing forklifts in April 2006, made its initial delivery in November and shipped two more units this month.
Other heavy-duty forklift manufacturers include Taylor Machine Works, of Louisville, Mississippi, USA; Hyster Co, of Greenville, North Carolina, USA; and Kalmar Industries AB, of Ljungby, Sweden.
Intermec, Cascade team on RFID program
CHICAGO, IL, United States
Intermec Inc has developed a radio frequency identification (RFID) forklift installation system that allows drivers to gather inventory data without leaving the forklift.
Intermec introduced the adaptable load backrest and antenna cell system at ProMat 2007 in Chicago. The Everett, Washington-based company worked with Cascade Corp, of Portland, Oregon, to develop the system.
The RFID-enabled forklift system, usable on most forklifts, can integrate durable and rugged inventory and data collection technology on existing forklifts, Intermec said in a statement.
The system can switch applications so drivers can take pallet, case or shelf-level readings easily.
The system uses Intermec products, such as the CV30 vehicle-mount computer and the IV7 vehicle-mount RFID reader, to capture data in real time. It is available in most global markets through distributors of Cascade attachment products.
Wal-Mart fuel cell trial succeeds
DAYTON, OH,, United States
Wal-Mart Stores Inc has competed four-month-long trials of Cellex Power Products Inc’s hydrogen fuel cell systems used to power 12 Crown and Nissan rider pallet trucks.
Beta trials of the Cellex CX-P150 zero-emission fuel cell product involved six Crown pallet trucks for transporting products and six Nissan Barrett units for order picking. The pallet trucks logged more than 18,500 hours of active work with operators handling more than 2,100 indoor fuelling procedures. The trials took place at two Wal-Mart distribution centres in Ohio.
Linde Group’s BOC unit supplied the hydrogen fuel, Ballard Powers Systems Inc provided Mark9 LLS fuel cell stacks and OKI Systems handled service and support.
Discussions are in progress to move to an early-commercial stage with Wal-Mart purchasing the Cellex systems, a Cellex statement said.
Movers & Shakers
BROOKFIELD, WI, United States
Wisconsin Lift Truck Corp has announced several management changes.
Jerry Wiedmann is now president, in addition to being chief operating officer. He has been with Wisconsin Lift Truck for 15 years.
Jerry Davis is now southern region general manager. He joined the company in 1977 and was previously a mechanic, service administrator, service manager and parts department manager.
Jeff Gerkhardt is corporate parts/southern region parts manager. He has more than 20 years’ industry experience with other companies.
Keith Tatroe is the new Janesville service centre manager. He joined Wisconsin Lift Truck in 1975. His previous positions were quality assurance manager, service administrator and shop supervisor.
Mike Casey will lead the company’s new Fleet Services Group. He joined the company in 1975. His previous positions include sales administrator and branch administrator.
MANTECA, CA, United States
Watts Equipment Co Inc has promoted Shirley Perreira to general manager. She has been with Watts for 20 years. Perreira previously held positions as parts manager, service manager and customer service manager.
BASINGSTOKE, United Kingdom
Linde Material Handling UK has appointed Stan Harris as managing director of Linde Trifik Ltd, the Linde distributor for North London and East Anglia. Harris will retain his current position as managing director of Linde Material Handling Scotland Ltd. He joined Linde in May 2005.
Maserati flipped by forklift
An expensive Italian sports car allegedly obstructing a building site has been flipped on its roof by a forklift.
Ninemsn.com reported that the dark blue Maserati 3200 GT, parked next to a construction zone in one of Sydney’s affluent eastern suburbs, allegedly blocked access to the site.
A construction company labourer tried to shift the car using a forklift. Unfortunately, the car wobbled off the forks and flipped mid-air before landing on its roof.
Police said the labourer, who ran from the scene, may be charged.
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Yale launches rust-resistant forklifts
Yale Asia Pacific has introduced two forklifts for use in corrosive and sensitive work environments like food processing, pickling, tanning and salty conditions.
The MPE060 and MPE080 are designed for use in operating temperatures from 0 degrees Celcius to nearly 50 degrees Celcius. The trucks’ features include a completely galvanised chassis, fork frame and lift linkage; enclosed traction; thermostatically controlled heaters on switches and sealed load wheel bearings.
Yale offers three optional packages on the MPE080 model, a cooler/freezer package, a subzero freezer package and a heavy corrosion/wash-down package.
Yale regional sales manager Tim Fraser said the forklifts had a “high-performance AC traction motor and power assist steer option”.
“The galvanisation process makes these components rust and corrosion resistant. In addition, the controller is enclosed and sealed to protect it from water during the wash-down process,” he said.
Trade shows face challenges, but still popular
SYDNEY, New South Wales, Australia
By Daphne Haneman
As many major Australian forklift companies budget to exhibit at trade shows in 2007, the trade show industry faces competition from the internet and corporate events. But trade shows are still popular, experts say.
Toyota Industries Corporation Australia marketing & business development manager George Malamatinis said trade show rates had decreased in Australia, but retained their importance.
“Trade shows have declined in frequency in the last few years, and one reason is the internet has made it easier for people to access product information. However, they still remain an effective method to touch and see products, liaise with industry experts and view various competitor brands in one location.”
Task Australia chairman Dean Rainsford said the internet had impacted on trade shows.
“Task has seen the impact of the internet revolution on all industries, not just materials handling. 24-7 technology allows instant viewing of global information; this is why it is good to have a strong “bricks & mortar” foundation, particularly to show credibility,” he said.
“Trade shows allow us to physically show visitors our forklifts. Customers can investigate features and benefits. Trade shows allow people to not just read about products, they can make their own judgements and interact with your team.”
Trade Show Training’s Julia O’Connor said trade shows globally faced challenges.
“Time is short and trade shows face competition from corporate events, golf events, association fund-raisers, or just networking to anything else in the corporate incentive and consumer experiential marketing kit,” she said.
Exhibit Surveys CEO Skip Cox said media competition meant trade shows organisers had to make an effort to maintain numbers.
“The good news is that, across shows and industries, attendance appeared to increase in 2006. Sustaining that momentum, however, promises to be a real struggle. Outside a core audience, show organisers must resell existing customers and lure first-time attendees in an intensely crowded media environment.”
InfoComm International executive director Randal Lemke said it was important to “invest in first-time attendees”.
“Without a doubt it costs more to acquire new attendees. The show has to be new every year, with a new value proposition, to expand beyond those people who have come for 40 years and are predisposed to come back.”
A Georgia Southern University study conducted at four US trade shows found 76.3 per cent of trade-show attendees had a favourable attitude to companies that provided giveaways. It said 71 per cent recalled the name of the company that gave them the product.
The study found promotional gifts “are effective tools to inform, remind, persuade and support a company’s efforts”.
Malamatinis said Toyota believed giveaways were important.
“They serve as an effective incentive to encourage customers to visit our stand and, when used correctly, are a powerful communication tool to stimulate brand awareness post the show.”
However, Rainsford said Task did not use giveaways.
“If the visitor wishes, they [can] take away our brochures, however in the format of promotional items - no. We have not found them to be effective in the past. We felt that to have a welcoming space where visitors can interact with our team [was] the most effective tool.”
UFI is a Paris-based global exhibition industry association that promotes trade fairs and exhibitions and collects trade-show statistics.
Based on UFI statistics, the Exhibition & Event Association of Australia (EEAA) said “more than half of trade show visitors came specifically to see new products and services; about half came for information; 40 per cent of visitors came to keep up to date with technology; 15 per cent came to make new business contacts; 21 per cent had attended the same event before and 87 per cent were aged over 25”.
EEAA said “an average nine per cent of companies’ marketing budgets returned 23 per cent of business”.
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Century invests in flexible manufacturing
Century, Australia’s only forklift battery cell manufacturer, has ramped up production capacity at its Wacol Manufacturing Facility by a further 25% this year in response to market demand.
Century is the market leader for forklift power solutions in Australia and New Zealand and has products that are renowned for lasting and lasting, together with a dedicated focus on cradle-to-grave service.
Century’s Wacol Manufacturing Facility is aiming for maximum flexibility in production to produce the right mix of products suitable for forklifts from all over the globe. To support this objective an additional Oxide Filling Machine has been installed. This machine...
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Cargo Chat #9
While it has long been accepted that cars on public roads should be fitted with seat belts and that drivers and passengers benefit from wearing them when travelling, the same cannot be said for terminal equipment. Speeds are very different. However, any mobile equipment can lose stability and, when that happens with terminal equipment, the driver tends to jump or be thrown out the side as the equipment overturns, meaning the machine falls on him or her.
Click here for the full Cargo Chat feature, including pictures.
Rob Vetter: Computer-based Training; a Contradiction in Terms
BLAINE, WA, United States
Computer based training (CBT) programs, in spite of their often flashy graphics and cool soundtracks, cannot even begin to determine operational competence and I think everyone knows that including the producers of such programs.
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