China and Venezuela sign agreement to build heavy plant machinery

Photo: Rafael Lacava’s X Account.

The Governor of the Venezuelan state of Carabobo, Rafael Lacava, announced the signing of a Memorandum of Understanding with the prominent Chinese company XCMG for the construction of Venezuela’s first heavy equipment assembly plant. This project is part of a strategic alliance with commercial partners for the development of the country.

The agreement, announced on Lacava’s social media, underscores the importance of strengthening relations between China and Venezuela. XCMG, as the third largest Chinese heavy machinery manufacturer in the world, will lead the construction of the plant in Carabobo, consolidating an industrial project that is expected to impact the local economy. “This plant in Carabobo will generate significant added value and many jobs for the people of Carabobo,” Lacava wrote on his Instagram account.

The announcement is part of an ongoing effort to diversify Venezuela’s economy. Last September, representatives from both countries met in Shanghai to sign a memorandum of understanding that lays the groundwork for cooperation, development, and modernization of special economic zones in Venezuela.

This industrial project not only strengthens commercial ties between China and Venezuela, but also represents a critical step in economic diversification and job creation in Carabobo. The construction of the heavy machinery factory marks a milestone in bilateral cooperation and provides opportunities for growth and sustainable development in the region.