Mitsubishi Heavy Industries Ltd. said Monday it has agreed to license its wind turbine production technology to a subsidiary of a Chinese electric power group.
Mitsubishi Heavy will license the technology to produce 1,000-kilowatt turbines to Wuzhong Instrument Co., an industrial valve manufacturer in China and a group company of Ningxia Electric Power Group Co., a midsize electricity provider, it said, without revealing the value of the contract.
The agreement concerns midsize turbines because of the difficulty of transporting large wind turbines to the Ningxia Hui Autonomous Region, where the Chinese companies are located, Mitsubishi Heavy said. While the Chinese inland area is very windy, it is also hilly, it said.
Leveraging the collaborative relationship established through the licensing pact, MHI intends to conduct further aggressive marketing of its wind turbines in China, which is fast becoming one of the world's leading markets, it said.