China's major heavy machinery maker, Sany Heavy Industry Co is planning to enter the nuclear power and jet engine manufacturing business even as it remains cautious on overseas acquisitions, a top company official said.

This would mark another major shift for the company after it diversified into wind power equipment manufacture recently.

"These are our goals and part of our strategic plan," said Xiang Wenbo, president of Sany Heavy Industry on the diversification into nuclear power and jet engine equipment-making business.

Sany, which Xiang said aims to become the General Electric of China, would gradually tap into the "core manufacturing sectors," he said, without giving any specific timetable.

"The core manufacturing sectors such as nuclear power and aircraft engine equipment-making not only hold great market potential, but is also vital to China's overall national strength," Xiang said in an exclusive interview with China Daily during the ongoing annual parliament session.

China still prohibits the entry of private enterprises in some core industries, but Xiang said he believed they would eventually gain the government support and approval if they "show they are capable".

Sany, which makes concrete pumps and road rollers, expects its sales to touch 30 billion yuan this year, up from last year's 20 billion yuan, Xiang said.

"Our sales growth will mainly come from the domestic market, which is set to gain from the government's 4-trillion yuan economic stimulus plan," Xiang said.

The company still remains pessimistic on the overseas market even though it reported a 160 percent surge in exports in 2008. Xiang said he expects overseas sales growth to remain flat this year.

"Overseas sales this year may remain the same as last year, at around US$500 to US$600 million," Xiang said.

"The heavy machinery industry has been hit severely by the global financial crisis," he said.

But Xiang, a deputy to China's top legislature, said the global economic downturn is also the "perfect time" for overseas acquisitions in the machinery sector for Chinese companies.