FRANKFURT (Reuters) - German industrial group ThyssenKrupp (DE:TKAG) has raised its stake in its Chinese elevator joint venture Marohn to 51 percent from 25 percent, it said on Wednesday.
China, by far the world's biggest market for elevators and escalators, accounts for 60 percent of ThyssenKrupp Elevator's sales, or about 3.8 billion euros ($4.4 billion) last year.
The Shanghai-based joint venture, in future to be called "Marohn ThyssenKrupp Elevator Co. Ltd", had sales of 85 million euros last year, ThyssenKrupp said.
Marohn makes elevators mainly for the volume residential market as well as escalators for commercial property. It will start operating a new plant in Shanghai next year.
"ThyssenKrupp is very committed to China," ThyssenKrupp Elevator's Asia Pacific chief Peter Walker said in a statement.
"With the increased stake in Marohn and its local expertise and network, we are very confident that ThyssenKrupp will build on the success and further strengthen its market position in China."
ThyssenKrupp operates a multi-brand strategy in China, using the "Made in Germany" cachet of its ThyssenKrupp brand for higher-end, mainly commercial building sales.
The group said last month it would become more selective about bidding for Chinese elevator projects to sustain margins at its most profitable unit.