"It is no exaggeration to say that domestic excavators are already in excess industries." Chen Peiliang, vice president of Zoomlion, recently told the reporters of the "First Financial Daily" about the prospects of the excavator industry, it seems very worried. As one of the manufacturers of excavators, the company's annual production capacity of 5,000 units only released more than 1,000 units last year, and this year's situation is not optimistic.
Overcapacity With the gradual entry into China of all types of excavator parts manufacturers in recent years, Chinese excavator companies are catching up with foreign companies quickly. Currently, in addition to Doosan Heavy Industries, Caterpillar, Hitachi Construction Machinery, Kobelco, Volvo and other overseas investors, there are Xiagong, Sany Heavy Machinery, Liugong, XCMG, Zoomlion, and Shandong Lingong. excavator.
If you look at the sales figures, the rapid growth of the entire excavator industry can be described as a “scrap of flowersâ€.
In the first quarter of this year, domestic excavators sold a total of 74.214 million units, a year-on-year increase of 59%. In March alone, 24 excavator manufacturers sold about 43,000 units.
However, another senior executive of Zoomlion told this reporter that the domestic production capacity of excavators in the first quarter of this year has exceeded 300,000 units. Last year, the sales volume of excavators in China was about 160,000 units, which means that this year in each Under the premise that companies do not expand their production capacity, sales will double and it will be possible to digest these excess production capacity.
Industry insiders believe that it is unlikely that the excavator market will achieve sales of 300,000 units this year. According to the forecasts of the excavator branch of the China Construction Machinery Association, the total sales volume of excavators this year is about 190,000 units, between 2012 and 2014 between 218,500 units and 302,000 units.
Future or there will be a price war, "the future phenomenon of excess capacity will be more serious." The aforementioned Zoomlion senior pointed out that there are currently a total of 12 companies in the mid-to-long-term planning, such as Caterpillar completed the Jiangsu Wujiang, Xuzhou After the expansion of the production base, the total production capacity will reach 34,000 units; Sany Heavy Machinery will have 80,000 mid- and long-term plans, and Rongsheng Heavy Industries & Construction Co., Ltd., which invests in shipbuilding, is expected to build 30,000 hydraulic excavator production bases in the next few years. .
Chen Peiliang told this reporter that the reason why the excavator industry was generally optimistic, based on the following aspects: As 4 trillion investment projects have been launched one after another, whether it is construction sites or manufacturing companies, airports, railways, etc. Demand; Many manufacturers and distributors use various promotion methods. Buyers can use their own products on the one hand, and they can also lease excavators to third parties and repay them with rent. Excavators, unlike pumping machinery, have relatively high selling prices. It's very cheap, with less than 1 million yuan to buy several units, and pumping machinery costs as much as a few million; excavator key components such as castings, speed reducers, etc. are also expanding, so state-owned mining Machine companies can quickly mass production to meet market demand.
"In the short term, the production capacity of excavators may be passively reduced due to the impact of the earthquake in Japan." A fund company researcher told reporters that the current supply situation of hydraulic parts companies such as KYB and Kawasaki Heavy Industries is not stable, and their own accessories are also There is a shortage, so the capacity expansion of excavators in China will slow down in recent months. However, many companies have invested a lot of manpower and material resources, so they will not easily give up this part of the market.
The aforementioned senior executives of Zoomlion also pointed out that the excavator market will face an overall price war and a sharp drop in profitability. “This situation occurred five years ago in the loader market. At that time, there were 50 companies in the country with a production capacity of 300,000 units per year, but the demand was only about 100,000 units per year, resulting in some enterprises having only 300,000 yuan worth of products left. Less than 10,000 yuan in profits."
Overcapacity With the gradual entry into China of all types of excavator parts manufacturers in recent years, Chinese excavator companies are catching up with foreign companies quickly. Currently, in addition to Doosan Heavy Industries, Caterpillar, Hitachi Construction Machinery, Kobelco, Volvo and other overseas investors, there are Xiagong, Sany Heavy Machinery, Liugong, XCMG, Zoomlion, and Shandong Lingong. excavator.
If you look at the sales figures, the rapid growth of the entire excavator industry can be described as a “scrap of flowersâ€.
In the first quarter of this year, domestic excavators sold a total of 74.214 million units, a year-on-year increase of 59%. In March alone, 24 excavator manufacturers sold about 43,000 units.
However, another senior executive of Zoomlion told this reporter that the domestic production capacity of excavators in the first quarter of this year has exceeded 300,000 units. Last year, the sales volume of excavators in China was about 160,000 units, which means that this year in each Under the premise that companies do not expand their production capacity, sales will double and it will be possible to digest these excess production capacity.
Industry insiders believe that it is unlikely that the excavator market will achieve sales of 300,000 units this year. According to the forecasts of the excavator branch of the China Construction Machinery Association, the total sales volume of excavators this year is about 190,000 units, between 2012 and 2014 between 218,500 units and 302,000 units.
Future or there will be a price war, "the future phenomenon of excess capacity will be more serious." The aforementioned Zoomlion senior pointed out that there are currently a total of 12 companies in the mid-to-long-term planning, such as Caterpillar completed the Jiangsu Wujiang, Xuzhou After the expansion of the production base, the total production capacity will reach 34,000 units; Sany Heavy Machinery will have 80,000 mid- and long-term plans, and Rongsheng Heavy Industries & Construction Co., Ltd., which invests in shipbuilding, is expected to build 30,000 hydraulic excavator production bases in the next few years. .
Chen Peiliang told this reporter that the reason why the excavator industry was generally optimistic, based on the following aspects: As 4 trillion investment projects have been launched one after another, whether it is construction sites or manufacturing companies, airports, railways, etc. Demand; Many manufacturers and distributors use various promotion methods. Buyers can use their own products on the one hand, and they can also lease excavators to third parties and repay them with rent. Excavators, unlike pumping machinery, have relatively high selling prices. It's very cheap, with less than 1 million yuan to buy several units, and pumping machinery costs as much as a few million; excavator key components such as castings, speed reducers, etc. are also expanding, so state-owned mining Machine companies can quickly mass production to meet market demand.
"In the short term, the production capacity of excavators may be passively reduced due to the impact of the earthquake in Japan." A fund company researcher told reporters that the current supply situation of hydraulic parts companies such as KYB and Kawasaki Heavy Industries is not stable, and their own accessories are also There is a shortage, so the capacity expansion of excavators in China will slow down in recent months. However, many companies have invested a lot of manpower and material resources, so they will not easily give up this part of the market.
The aforementioned senior executives of Zoomlion also pointed out that the excavator market will face an overall price war and a sharp drop in profitability. “This situation occurred five years ago in the loader market. At that time, there were 50 companies in the country with a production capacity of 300,000 units per year, but the demand was only about 100,000 units per year, resulting in some enterprises having only 300,000 yuan worth of products left. Less than 10,000 yuan in profits."
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