Excavator sales decline does not change the market good expectations

In May 2011, the domestic sales of excavators were 13,960 units, a year-on-year decrease of 12.4%, and the first month of the month was the year-on-year decline; the figure was 47.7% lower than the previous month, and the decline rate further increased in April (down 38.6% from the previous quarter); the cumulative sales from January to May were 115,589. Taiwan, a year-on-year increase of 38.1%, compared with January-April (a growth of 50%) fell by 12%; from January to May, the chain increased by 13.7%, compared with a decrease of 22% in January-April growth rate.

Duan Jiaxuan, researcher of China Investment Advisor Machinery Industry Co., pointed out that since 2010, excavators have been the darling of the construction machinery market. Especially at the end of 2010, major companies have expanded the production capacity of excavators, and other companies have also developed excavator machines. The series tried to drive the growth of corporate profits through the rapid growth of the excavator market. In fact, both the consideration of risk factors and the consideration of revenue, bank credit does not contribute to the promotion of the construction of affordable housing, which indirectly leads to the shrinking of sales volume in the construction machinery market.

The impact of bank credit tightening on the construction machinery market has gradually emerged. In the first quarter, although the market sales overdraft was the main factor of the year-on-year decline in sales during the month of May, credit tightening was still a factor that could not be ignored. In the second quarter, the frequent occurrence of extreme weather and drought and flood alternated greatly affected the construction progress of the project. As a supporting factor of the construction machinery industry, the progress of the infrastructure construction has greatly affected the development of the construction machinery market. The real estate regulation and control, the progress of major infrastructure projects, bank credit, etc. are still the key factors that restrict the development of the industry.

Zhang Yanlin, research director of China Investment Consulting Co., Ltd. pointed out that excavators will continue to be the fastest growing sub-sector in the construction machinery industry based on the good expectation that water conservancy construction will be started one after another and that the construction of houses will continue to be pressured. Due to the outstanding contributions of several leading domestic companies in the field of excavators, the share of domestic brands of excavators quickly penetrated into the position of replacing Korean companies. The pace of replacing Korean systems in the future should be accelerating, and there is still a certain degree of difficulty in fighting against the Japanese and European and American series.

The data shows that the market share of domestic brands increased further from January to May, from 34.5% in the first four months to 37%, and foreign brands decreased from 65.5% in January to April to 63%. According to the “2010-2015 China Construction Machinery Industry Investment Analysis and Prospect Forecast Report” released by the China Investment Advisor, Sany Heavy Industry, which currently ranks first in domestic excavator production capacity, has reached an annual output of tens of thousands of units, while the industry Four of the production capacity has reached the level of 4,000 units over the next year. The rate of production capacity expansion of other companies is also quite strong. In the next stage, the expulsion of domestic brand excavators on the import market and the second mobile phone market share may become the norm.