Konecranes Partners With Steel Providers To Boost U.S. Port Crane Manufacturing

Konecranes, a Finnish port equipment manufacturer, has intensified efforts to develop a network of U.S.-based partners to produce a comprehensive range of port cranes, including ship-to-shore (STS) models, as part of a strategic response to rising trade tensions and security concerns.

The expansion attempts to comply with the “Build America Buy America” (BABA) standards and supports the White House’s initiative to reduce dependency on Chinese manufacturers.

The company is collaborating with steel structure providers and subcontractors in the United States to meet local production standards.

Konecranes, delivering STS cranes since 1969, has already received inquiries from numerous clients about these domestically-made cranes.

However, due to the extended production period for STS cranes, Konecranes is not expecting an immediate financial impact from this initiative.

In addition to building new cranes, Konecranes plans to modernize current port cranes with sophisticated technology and cybersecurity features to improve customer safety, efficiency, and sustainability.

The company operates three crane manufacturing facilities in the United States, employs around 2,200 people, and has over 60 branches nationally, serving a diversified clientele that includes ports, intermodal operators, and numerous sectors.

The development is consistent with previous U.S. government efforts, such as President Joe Biden’s February 2024 move to strengthen U.S. port cybersecurity and the imposing of a 25% tariff on Chinese-made port cranes.

The move comes after concerns about potential espionage involving cranes manufactured by China’s ZMPC, which dominates 80% of the worldwide crane market.

The White House commended Konecranes’ efforts, stating that the company’s ambition to enhance U.S. production will help to strengthen the American shipbuilding supply chain and improve marine security.

Each crane will require around 1,500 tons of steel from the United States, with additional production plants planned for Ohio, Virginia, and Wisconsin.

In a related development, the American Association of Port Authorities reported that ports will acquire at least 61 STS cranes in the coming years.

PACECO Corp., a US-based subsidiary of Japan’s Mitsui E&S Co., plans to restart crane manufacture in the United States after a 30-year pause, increasing domestic production capacity.

Reference: Konecranes

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