How does the construction machinery decline obviously?

After the rapid development of the golden decade, the remaining problems gradually revealed. Since 2011, the construction machinery industry began to show signs of decline. Among them, the industry’s own excess production capacity of sub-products, in addition to external causes, has become an industry irrational contradiction. Consensus.

The transformation of the business model to meet the meager profit era Compared to the golden decade, the desperate increase in the current construction machinery industry's more important task is to control the financial and inventory risks, including control of credit sales, strengthen the collection and reduce inventory. At the same time, in the era of meager profits, construction machinery companies need to adopt new business models. This includes strengthening management, streamlining internal processes and reducing management costs; using renminbi appreciation to increase imports of raw materials from abroad and reducing material costs; shifting production bases to underdeveloped areas, using locally available cheap human and natural resources, and reducing production costs. Directly contact with foreign companies, or make full use of the Internet to develop e-commerce, reduce the intermediate links in exports, and increase the efficiency of transactions.

Moderate Development of Large Lists in Overseas Markets From the perspective of the export regions of the construction machinery industry in 2012, Asia remains the traditional largest market for China’s construction machinery exports, with market share still reaching 42.72%. Followed by Europe, Africa and Latin America. From 2013's situation, in addition to continuing to expand in the traditional market, the industry is also constantly looking for opportunities in emerging markets. In June alone, several key industry companies disclosed the news that they had received large export orders. Anhui Jianghuai Automobile Co., Ltd. produced 590 heavy trucks exported to Venezuela, which became the company’s “largest single export” this year. XGMA's 204-segment new special forklift with a value of US$4.24 million was shipped to Algeria, a new type of forklift that XGMA launched an upgraded version for the African market. Hebei Xuangong received orders for 10 SD7 high-drive bulldozers from foreign aid projects in Cuba, and achieved sales of more than 8.5 million yuan, setting a new record for bulk export of high-powered products this year.

According to industry sources, the international competitiveness of China's high-end construction machinery products is not strong, which has always been a constraint on the further development of construction machinery companies in overseas markets. Some high-tech and high-value-added core components of China's construction machinery, such as transmission components, control components, diesel engines, and key hydraulic components, also need to be imported. Therefore, to fundamentally improve the innovation capability of China's construction machinery companies will only make further cost reductions, and help ease the current difficulties.