Milwaukee-based specialty vehicle makers REV Group Inc. could see its international revenue match its current sales total within five years, President and CEO Tim Sullivan told analysts this week.
As reported by the BizTimes, REV Group launched a joint venture earlier this month in China with Chery Holding Group to manufacturer recreational vehicles, ambulances and other products for distribution in China and other international markets.
The company also recently established a 130,000-square-foot factory in Brazil to serve Latin American markets. Sullivan said that facility is profitable after six months of operation.
“It will take significantly longer to reach this type of financial performance in China,” he said, “But clearly demand will be much larger when the China operation is up and running.”
The decision to partner with Chery was the result of a two-year process and Sullivan said the company was chosen because it is a prominent maker of passenger vehicles in China and also exports to 80 other countries.
“We are really putting together a master plan whereby we will be exporting from China into select countries,” Sullivan said. “It’s a strategy to enter the China market, but it’s also using that type of manufacturing base to attack a lot of different countries that aren’t even on most people’s radar screens today.”
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