China Poised Excavator Independence 10 Years

September 11, Excavator Branch of the China Engineering Machinery Industry Association 10th Annual Conference delegates an increase of 10% over the first, reaching more than 300 people. Excavator development in the next 10 years, industry sales in 2006 compared with 1997, an increase of 10 times.

The 10-year major development

First held in 1997 Excavator Branch, National excavator output is less than 4,000 Taiwan circulation is only 3,390, but the total output of this industry is expected to reach 4.5 million, leading to more than 43,000, among which the state-owned and private enterprises excavator excavator production, the sales volume of about 50,000, 23% market share.

This is extremely valuable achievements of the last century and the mid-1990s, due to the entry of foreign-funded enterprises and the old excavator massive imports, coupled with the performance and quality at that time excavator difficult customer satisfaction, excavators domestic production enterprises (the so-called six people) that is almost entirely collapsed, once dropped to 5% market share.

Currently, China excavator The annual demand has more than 60,000 Taiwan (including import 20,000 more than a year old excavator), China has become the world's largest excavator market. Virtually all the world's leading manufacturing companies in China to set up wholly-owned excavator, joint ventures, production or sale of all brands of excavators.

China is still a developing country, the land area, building industry to grow, the demand for excavators. Excavators said China is the world's manufacturing center, is the world's leading industrial countries in almost all excavator manufacturers into China, many state-owned and private enterprises are optimistic about China's excavator market, have entered Excavator For the development and production of domestic output and the increase in demand as the market continues to increase.

It must be noted that although China has become a large excavator and demand, but it is certainly powerful. Excavator Development Center of international standard, not China, not the production of excavators key supporting parts in China. Excavator domestic enterprises in the master key and core technology research gap with foreign countries, notably with regard to the basic theoretical research in the excavator into the human, financial grossly inadequate.

Fortunately, in recent years the development of small-dug soon. After five years of small domestic estimates may catch up with the world's advanced level digging, digging a small real output, sales, exports, market share of the first; Medium and large excavator and excavator really catch up with the world's advanced level in time may be longer.
Both challenges and opportunities

"11th Five-Year Plan" period, from the central to local provinces, cities and autonomous regions in highway transportation, railway construction, oil and chemicals, mining, construction and other cities and villages have a lot of projects in excavators various construction projects has become the preferred types of planes. Especially in China's western and northern areas, the increase in construction projects, which also prompted the excavator to the real market potential market gradually transformed gradually into the communications area excavators. In accordance with the normal 15% annual growth rate, which is expected to be sold in 2010 the sum of all excavator enterprises around Taiwan can reach 70,000.

Due to an expanding market and users of excavators increased the demand excavator, a huge market, huge profits abroad to promote almost all of the major excavator manufacturers entering China. Excavator brands in the Chinese market, more and more models. Fierce competition in the market, on the one hand, promote the enterprise and upgrading of product quality, product innovation metabolism speed for customer service agents or enterprises to enhance the sense of user satisfaction with the increase of enterprise products. Meanwhile, the involvement of foreign brands and the brands of so many large foreign corporations or other forms of leasing agents, simplifying procedures, the rate will be gradually replaced, the amount of the domestic commercial banks are at a disadvantage in the mortgage.

In the competitive market, and one-sided pursuit of market share and lower first payment, to extend the repayment period, and did not have an in-depth understanding of the users of micro credit and a bad debt repayment ability of the enterprise operating blindly phenomenon frequently. This has many business sectors there is a big financial risk, various disputes and complaints are rising trend of the past two years. While increasing market share and increase sales efforts to pursue the goal of every enterprise, but to promote the early human consumption, Destructive Enthusiasm help.

In addition, many enterprises in the non-publicized meeting, or recommend products, it is not realistic to say that the best products to our own strengths than others short, belittle other home products, it should be taken note of. Because of the current situation is that the domestic market is not particularly good nor particularly bad products.

Excavator market in China in recent years there is a strange phenomenon, but an excavator, second or even three times, four times to keep prices and the prices of the reasons often boil down to the prices of raw materials, especially steel prices, but changes in the prices of steel excavator cost does not play a key role. Because excavator is a high technological content, high cost, profit products. He notes that the fundamental reason why prices are still not fully competitive industry, coupled with some shortages in the same time period enterprises often have prompted the price upward. In addition excavators to be a profit-making tool, a piece of equipment or tens of millions of dollars, or even a few million dollars, users can buy for good quality products and services, increase three, and 50,000 yuan to care, but to our customers is an unfair act. It can be said the same brand, the same types of excavators in China is probably the highest sellers.

Manufacturers and agents should establish interdependent interests of the Community, manufacturers can market, the domestic demand, the arbitrary dictates of agents, very harsh demands until the threat of an agent. But manufacturers must be aware that when the market downturn, only through the efforts of agents to reduce market risk, corporate rescue.