The Association of Equipment Manufacturers (AEM) is among the signers of an agreement between the United States and China pledging cooperative efforts to improve the U.S.-Sino trade balance.
During a special signing ceremony April 4 in Los Angeles, AEM Senior Vice President Al Cervero joined a select group of signatories that included China Vice Premier Madame Wu Yi and Los Angeles Mayor Antonio Villaraigosa.
Under the agreement, AEM will work with the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) on a variety of activities to promote U.S. products to the Chinese marketplace. CCCME is a governmental body within the China Ministry of Commerce that makes trade policy recommendations.
The association initiated a dialog with CCME several years ago as part of ongoing efforts to facilitate trade opportunities for AEM member companies. The association represents the off-road equipment manufacturing industry (construction, agriculture, forestry, mining and utility). The current agreement is based on a memorandum of understanding AEM and CCCME signed in 2003.
“We have built a strong working relationship with CCCME and other Chinese officials and have become the recognized leader for our industry. We will continue to use this influence to advance the benefits of U.S. equipment and technologies and how they can improve Chinese productivity,” stated Cervero.
The agreement specifically notes cooperative efforts positioning AEM’s CONEXPO Asia trade show as an important platform to promote U.S. products. The inaugural CONEXPO Asia exhibition will be held in May 2006 in Beijing.
AEM established a full-time office in Beijing, China in 1997 to help its members gain access to the enormous business opportunities in China. The association’s trade promotion initiatives include involvement in standards development activities, statistics gathering and safety/training programs.
“Improving market share for our members means more than just helping them sell equipment. For example, we are working to reduce Chinese government import restrictions and to improve Chinese end-user understanding of machine capabilities,” explained Cervero.
The April 4 ceremonies also included the signing of more than 25 contracts and agreements for China to buy $4 billion worth of products from U.S. companies. Terex was among the signers, for a $150 million order of off-highway haul trucks. Event participants included a 100-plus member Chinese trade delegation on a multi-state tour organized by CCCME, which included a visit to Caterpillar in Peoria, Illinois.