Heavy machinery makers from China eye more M&A deals in Europe, reports Lyu Chang.

When Caterpillar Inc acquired Zhengzhou Siwei Mechanical & Electrical Equipment Manufacturing Co Ltd, a Hong Kong-listed mining machinery, it was considered a huge setback for Chinese heavy machinery makers and the industry in general.

But much like the proverbial phoenix emerging from the ashes, Chinese companies have not only weathered the setback, but turned white knights in an otherwise foundering industry.