Construction Machinery Industry In China, 2014-2018
(PRWEB) April 19, 2014
In 2013, China's GDP increased by 7.7% YOY. According to IMF, the growth rate of global economy was merely 3%. China remains one of the fastest growing countries in terms of GDP and resident income in recent years. The GDP per capita was approximately USD 6,600 in 2013, far behind that of developed countries. Therefore, Chinese economy shows great potential for growth.
In 2013, the investment in fixed assets was CNY 44.7074 trillion in China, up by 19.3% YOY. The rapid growth stimulates demand for construction machinery. Consequently, as the global production and demand transfer, China becomes an important market and the manufacturing center of construction machinery with most of the market seized by the foreign-funded enterprises.
In 2013, the sales revenue of construction machinery industry surpassed CNY 600 billion in China, up by over 10% YOY.
The sales revenue of top 50 enterprises accounted for over 80% of the industry while that of XCMG exceeded CNY 100 billion. The annual sales revenue of over 10 manufacturers of construction machinery, including foreign-funded enterprises, surpassed CNY 10 billion.
Investment and M&A remained as the main trend of the industry due to high expectation of market demand. It is noteworthy that Chinese manufacturers of construction machinery are expanding business overseas. Certain Chinese manufacturers with strong competitiveness expand export and operate internationally through M&A and joint ventures. For instance, Weichai Power Co., Ltd., a subsidiary of Shandong Heavy Industry Group, purchased shares of KION Group. Liugong Machinery (Poland) sp. z o. o. signed Conditional Acquisition Contract with the asset custody side of ZZN Transmission Plant in Stalowa Wola, Poland. SANY GROUP purchased the remaining 10% shares of Putzmeister and became its 100% shareholder.
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Chinese government is determined to maintain economic growth through structure adjustment and reform instead of investment in fixed assets under the pressure of economy slowdown. The measures are proved to be effective in terms of urbanization. It once referred to an influx of rural migrants to cities that resulted in urban traffic congestion and increasing crime rate. However, current urbanization policies attempt to absorb surplus rural labors through synchronized development of small towns and medium to large cities. The number of small towns is approximately 20,000 in China. It is estimated that new urbanization infrastructure will stimulate demand of CNY 0.4-0.5 million for investment in fixed assets in the next 10 years. Decline of the governmental investment will make room for non-state-owned capital. The annual growth rate of investment in fixed assets like transportation, infrastructure and real estate is expected to surpass 15% in the coming years.
In 2014-2018, demand for construction machinery is estimated to increase outstandingly and create many opportunities for manufacturers at home and abroad.
Through this report, the readers can acquire the following information:
Production and Demand Status of Construction Machinery Industry
Government Policies of Construction Machinery Industry in China
Competition Status of Construction Machinery Industry in China
Analysis of Construction Machinery Sub-industries in China
Import and Export of Construction Machinery Industry
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Table of Contents
1 Basic Situation of Construction Machinery Industry
1.1 Definition and Classification
1.1.2 Analysis of Industry Chain
1.1.3 Analysis of Relations between Sub-industries
1.1.4 Major Products
1.2 Status in China Economy
2 Development Environment of Construction Machinery Industry in China, 2013-2014
2.1 Economic Environment
2.1.1 Global Economy
2.1.2 Chinese Economy
2.2 Government Policies
2.2.1 Policies Overview
3 Operation Status of Construction Machinery Industry in China, 2009-2013
3.1 Industry Scale
3.1.1 Number of Enterprises
3.1.2 Total Assets
3.1.3 Number of Employees
3.2 Supply Status
3.2.1 Gross Output Value
3.2.2 Production Volume
3.3 Demand Status
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This research report analyzes this market depending on its market segments, major geographies, and current market trends. Geographies analyzed under this research report include:
Rest of the World
This report provides comprehensive analysis of:
Market growth drivers
Factors limiting market growth
Current market trends
Market projections for upcoming years
This report is a complete study of current trends in the market, industry growth drivers, and restraints. It provides market projections for the coming years. It includes analysis of recent developments in technology, Porter’s five force model analysis and detailed profiles of top industry players. The report also includes a review of micro and macro factors essential for the existing market players and new entrants along with detailed value chain analysis.
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