KUALA LUMPUR, April 7 2016 : Petronas Lubricants International (PLI) has completed the acquisition of a 12 per cent stake in Yuchai Petronas Lubricants Co Ltd (YCPL), making it an equal partnership between PLI and Yuchai Lube Co, a subsidiary of the Yuchai Group.
In a statement yesterday, PLI said the increase of share ownership to 50 per cent would allow it to achieve sustainable growth and profitability in China’s lubricants market by 2020.
“China is Petronas’ fastest-growing lubricants market where in 2015 alone PLI sold over 100 million litres of motor oil.
“We believe China has great potential and opportunities to be the world leader in automotive engineering, manufacturing and technology in the future,” PLI Managing Director/Group Chief Executive Officer Giuseppe D’Arrigo was quoted as saying.
He said PLI was confident the partnership would bring end-to-end value not just to the lubricants industry but also to its network of distributors and the end customers.
YCPL, which was formed in 2013 with PLI, owned an initial share of 38 per cent, had recorded an average growth of 10 per cent within two years of its establishment.
Last year, the joint-venture entity established Guangxi Nanning Yuchai Petronas Lube Co Ltd Research & Development Centre.
Located in Guangxi province’s Nanning Science and Technology Industrial Park, the centre serves as PLI’s global satellite research and technology centre, particularly for commercial diesel engine lubricants. – Bernama