Manitou and Hangcha Forge Lithium Battery Alliance in France

Manitou and Hangcha Forge Lithium Battery Alliance in France

In a bold stride towards sustainable industrial innovation, Manitou Group and Hangcha Group have inked an agreement to form a joint venture dedicated to manufacturing and distributing lithium-ion batteries.

The new company, to be headquartered in Le Mans, France, will serve as a beacon for electrification in the material handling and construction equipment sectors. While pending regulatory approval by European competition authorities, the venture marks a significant milestone in the transition to low-emission machinery across Europe.

Driving electrification through collaboration

Two powerhouses in their respective fields, Manitou and Hangcha are pooling their strengths to create a wholly independent enterprise focused on advanced battery solutions. The aim? To replace traditional lead-acid batteries with next-gen lithium-ion alternatives across existing and upcoming industrial vehicles.

Notably, the joint venture will underpin the rollout of the Manitou ME LIFT electric forklift range, launched in late 2024. This initiative forms a key pillar in Manitou Group’s strategic “LIFT” roadmap, which targets having 28% of its equipment sales coming from electric models by 2030.

Michel Denis, President & CEO of Manitou Group, put it plainly: “This creation, undertaken with one of our long-standing partners, will allow us to accelerate the deployment of our electric industrial vehicle ranges, in line with the ambitions announced during the presentation of our new ‘LIFT’ roadmap. Hangcha’s expertise in battery manufacturing significantly increases our battery production capabilities and fully integrates with our low-carbon trajectory.”

Why Le Mans is the perfect launchpad

The decision to establish the venture in Le Mans wasn’t arbitrary. With the help of regional stakeholders, including Solutions & Co and Le Mans Metropole, the project has found fertile ground in a city known for industrial innovation. The facility will tap into existing infrastructure while recruiting a specialised workforce: engineers, technicians, sales reps, and service professionals.

Crucially, Le Mans provides logistical advantages and a skilled labour pool, making it ideal for ramping up European battery production. Local authorities have pledged their support, especially in recruiting and integrating new hires.

Hangcha’s energy edge

With a 70-year history, Hangcha is a juggernaut in the world of industrial vehicles. Based in China, it ranks 8th globally among forklift manufacturers, according to Modern Materials Handling (MMH USA). But it isn’t just the company’s size that matters—it’s their relentless commitment to research, innovation, and sustainability.

Hangcha has developed its own suite of new energy technologies, spanning lithium-ion batteries, hydrogen fuel cells, and hybrid systems. These capabilities align seamlessly with the new venture’s goals, offering a robust technological foundation.

Zhao Limin, Chairman and General Manager of Hangcha Group, emphasised the strategic significance: “Deepening strategic cooperation with Manitou Group and jointly establishing a lithium battery joint marks a new phase in the partnership between the two sides, which is a milestone in Hangcha global industrial layout. Leveraging Hangcha’s core technological and manufacturing strengths in lithium battery solutions, we will collaboratively enhance solution capability of new energy industrial vehicle power system.”

He added: “This partnership perfectly aligns with our shared objectives to accelerate electrification transformation and drive sustainable development, while providing robust support to the broader industrial vehicle market.”

Sustainability with performance

Manitou isn’t new to transformation. With 6,000 employees and a turnover of €2.7 billion in 2024, the French company has carved a niche in material handling, aerial work platforms, and earthmoving. Through its brands Manitou and Gehl, the group is doubling down on electrification and sustainable design.

By embedding innovation at every level—from product development to service delivery—Manitou ensures its solutions stay ahead of market expectations. The company collaborates with 800 dealers worldwide, maintaining close contact with customers to meet real-world needs.

This new joint venture further aligns with Manitou’s ethos of improving working conditions, boosting performance, and minimising environmental impact.

The lithium-ion edge

So, why the push for lithium-ion batteries? In short, they offer a step-change in performance:

• Longer lifespan: Lithium-ion batteries last significantly longer than lead-acid alternatives.
• Higher energy density: More power in a smaller package means greater efficiency.
• Lower maintenance: No water top-ups or frequent charging required.
• Faster charging times: Get back to work quickly with rapid recharge capabilities.

For customers looking to upgrade their existing fleet or transition to fully electric machinery, the benefits are compelling.

A wider market trend

The Manitou-Hangcha alliance isn’t happening in isolation. Across Europe and beyond, demand for cleaner industrial vehicles is rising fast. According to IDTechEx, the global market for electric industrial vehicles is set to exceed $25 billion by 2035.

European regulations are also tightening around emissions and noise pollution in construction and logistics. As such, OEMs and fleet operators are under growing pressure to pivot towards sustainable alternatives.

In this context, a reliable European battery supply chain becomes a strategic necessity. By anchoring their new venture in France, Manitou and Hangcha position themselves not just as participants, but as leaders in the electric industrial transition.

What happens next?

Once approved by EU competition regulators, the joint venture will kick into gear. Recruitment will begin immediately, and initial production lines are expected to come online in 2026. Customers can expect to see a broader array of lithium-ion-powered equipment on the market shortly after.

The venture also opens the door to future R&D collaboration, potentially extending into hydrogen and hybrid systems already under development at Hangcha.

Building momentum for a cleaner future

Manitou and Hangcha’s decision to co-create a lithium-ion battery hub in Le Mans is more than a business move—it’s a statement of intent. By leveraging each other’s strengths, they are accelerating the shift to electrification in one of the most critical sectors of the global economy.

The industrial vehicle market is evolving, and this partnership places both firms in pole position to lead the charge. As the world races toward decarbonisation, ventures like this offer not just solutions, but inspiration.