"It's beyond expectation!"
For the boom of China's construction machinery industry before May this year, Qi Jun, President of the China Construction Machinery Industry Association, spoke in an interview with reporters in June 20th.
In the first five months of 2018, the sales volume of China's construction machinery industry increased by 35.6% compared to the same period last year, and the volume of exports increased by 40% over the same period last year.
Prior to this, affected by the downturn in demand, China's construction machinery industry entered a cyclical trough from 2012 to 2016. After five years of full adjustment, it began to recover in August 2016.
Qi Jun in June 20th at the fifteenth China (Beijing) international engineering machinery, building materials machinery and mining machinery exhibition and theme technical exchange conference, said that the key products of concern in 2017 increased by 45.7% to 796 thousand units.
According to the association data, the sales income of construction machinery industry increased by 540 billion 300 million yuan in 2017, an increase of 12.7% compared with the same period last year, and the total export volume was 20 billion 105 million US dollars, an increase of 18.5% over the same period last year. China is still the main market of engineering machinery.
"Make money again!"
This is the real experience of some workers in the construction machinery industry in recent two years.
For ordinary employees in construction machinery enterprises, enterprises earn money and their personal benefits and incomes are better.
According to the agency's combing, in 2017, 16 construction machinery listed companies had a total revenue of 219 billion 100 million yuan, an increase of 50.55% over the same period last year.
In terms of profitability, 16 companies share a net profit of 7 billion 193 million yuan. In 2016, due to the two losses, the total amount was -13.81 billion yuan. In 2015, the net profit of shareholders belonging to the parent company was -10.81 billion yuan, and the number of deficit companies was five.
In 2018, the operating efficiency of construction machinery enterprises continued to rise. In the first quarter, the net profit of 16 listed companies belonging to the parent company was 3 billion 266 million yuan, an increase of 95.49% over the first quarter of 2017.
With the strength and intensity of the recovery of the demand for the engineering machinery, the profits of the industry enterprises are gradually shaking off the yoke of the historical burden and returning to normal.
A barometer of the economy
In the eyes of some researchers, construction machinery is a barometer of macroeconomics, which has strong cyclical fluctuation attributes, and hysteresis reflects the trend of economic operation.
Qi Jun said, "the global economic recovery driven by the global construction machinery industry sales increased by 5 points last year, the domestic industry is more robust."
In 2017, China's economy exceeded expected growth of 6.9%, and the growth rate reversed the downward trend in recent years. In the first five months of this year, the national economy continued to remain stable and stable.
Liu Feng, the chief economist of galaxy securities, said in an interview with the China new network reporter that China's domestic demand is strong and many indicators are well reflected, and the expected goal of 6.5% growth in the whole year can be achieved.
"I am still confident that China's economy will achieve about 6.5% growth throughout the year." Mao Shengyong, a spokesman for the National Bureau of statistics, said recently.
New demand
Although it is called a barometer of macroeconomy, the market of construction machinery industry has its own characteristics.
"Over 40% of sales growth in China's construction machinery industry is abnormal." Qi Jun said that, after the rapid growth, the industry base is increasing, domestic infrastructure and real estate investment changes have a certain impact on the industry, is expected to return to normal stable growth in the second half of the year.
In May, domestic fixed asset investment slowed down, and Pan Xiangdong, chief economist of new era securities, said that the fall in investment was mainly caused by infrastructure investment.
Pan Xiangdong believes that high-end manufacturing, services, environmental protection, "three rural" and other areas still need large-scale investment. With the acceleration of fiscal expenditure and the peak of local debt issuance in the second half of this year, infrastructure investment may rebound.
"New investment and new demand are constantly emerging. The development of engineering machinery products should keep pace with the development of new products." Qi Jun said, for example, new demand for the withdrawal of old equipment under the new environmental protection standard, as well as the demand for new investment in the area of construction, construction of the new countryside, railway construction, water conservancy construction, and the construction of underground pipe corridor.
Qi Jun said, "in the long run, by 2019, the construction machinery industry will still maintain a stable and good development trend."
