CECO Environmental Corp. (CECE - Snapshot Report) recently declared that it has formalized a Sales Cooperation Agreement with China-based Jiangsu Renhe Environmental Equipments Company, Ltd. for developing advanced technologies to control air pollution in China.
The tie-up between the two companies is expected to leverage the development of core solutions for diverse sectors including general, metals, petrochemical, chemical, plastics and cement industries.
CECO is a leading global provider of air pollution control technology. Its key technological solutions like FisherKlosterman Cyclones, Dual Scrubbers, Filtration and Flex-Kleen Dust Collection solutions will complement Jiangsu Renhe’s dust collection and filter cartridge technologies and provide better solutions for controlling air pollution in China.
Air pollution control and industrial ventilation products command a multi-billion dollar market, which is still witnessing rapid growth. The rising demand for clean air and water as well as an environment free of industrial pollutants are the primary factors behind this booming industry.
Nowadays, an increasing number of businesses are focusing on environmental protection since environment-related regulations have become mandatory in the U.S. as well as worldwide. Notably, government regulations for controlling air pollution in China will likely be more stringent.
The aforementioned alliance will strengthen CECO’s presence in China and open further growth avenues as well. At present, the company is focused on increasing its market share by entering such alliances and integrating acquisitions across diverse areas of pollution control solutions.
CECO has a Zacks Rank #3 (Hold). Other players in the same sector, which look attractive at present, include PerkinElmer Inc. (PKI - Analyst Report) , Sharps Compliance Corp (SMED - Snapshot Report) and Rentech, Inc. (RTK - Snapshot Report) . While PerkinElmer sports a Zacks Rank #1 (Strong Buy), both Sharps Compliance and Rentech have a Zacks Rank #2 (Buy).