Lifting machinery will usher in a peak period of renewal in 2020. Lifting machinery is a post-cycle product of construction machinery. Its recovery lags behind excavators, and its life is about 10 years. It is expected that a large number of lifting machinery sold in the previous cycle will usher in a new generation in 2018-2021. Peak period. How do the four leading construction machinery companies lay out the market in 2020? In recent years, China's construction machinery industry has continued to develop, market concentration has continued to increase, and local brands have risen strongly. In 2019, major companies disclosed their 2020 business plans and business layouts in their annual reports, and there are differences in the direction of their efforts in 2020.
Zoomlion: Exploring the Southwest Market and Accelerating the Distribution of the Earthwork Machinery Market
In 2019, after the sales function of Zoomlion's product line returned to the business department, the market competitive advantage was further strengthened. In 2019, the company's crane machinery and concrete machinery accounted for 83% of total revenue. In the future, with the coming of the peak recovery of post-cycle products of construction machinery, the company's performance will continue to grow at a high rate.
One of the operational measures for 2020 mentioned by Zoomlion in the 2019 financial report is to quickly break through potential markets. Judging from the financial report, there are mainly three potential markets mentioned by Zoomlion: earth-moving machinery, aerial work platforms, and agricultural machinery. Among them, the goal of earthmoving machinery in 2020 is to take advantage of the company's advantageous resources, create an ecosystem of production, sales, and supply for the entire industry chain, and achieve a comprehensive breakthrough.
Earth-moving machinery is a key segment of the strategic layout of Zoomlion. Over the past 12 years, Zoomlion Earthwork Machinery has continued to exert efforts in product development, market layout, and manufacturing, and has achieved remarkable results. Earth-moving machinery is becoming a strong growth point for Zoomlion, with sales in the first quarter of 2020 increasing by more than 600% year-on-year.
On April 18, Zoomlion Heavy Machinery (Sichuan) Co., Ltd. officially opened. As an important layout for Zoomlion Heavy Industry to develop the southwestern regional market, it marks the further extension of the strategic layout of Zoomlion Earthmoving Machinery, which is of great significance to the construction of a better industrial chain and value chain for Zoomlion Earthmoving Machinery.
The market share of the three companies, Xu Zhong, Zhonglian Heavy Industry, and Sany Heavy Industry, in the truck crane market has reached more than 90%. . In the tower crane market, Zoomlion's market share is as high as about 40%, and that of the big tower exceeds 50%. With the rise of prefabricated buildings, the demand for big towers continues to increase, and the company's market share is expected to increase further in the future.
Sany Heavy Industry: Layout digitization and vigorously promote the construction of "Lighthouse Factory"
Sany Heavy Industry mentioned in its 2019 annual report that in 2020, the company will fully promote the digitization of R & D, procurement, manufacturing, marketing services, and management, continue to promote the standardization of business processes, business online and data intelligence, and vigorously promote the construction of lighthouse factories .
In 2019, Sany accelerates intelligent and digital transformation, shifts all core businesses online, and takes the lead in starting the construction of six "beacon factories" in the industry, fully introducing new production methods such as Sanxian data centralized control and flexible production islands. Among them, after the transformation of No.18 Smart Workshop No. 18, the production efficiency has been improved by 50%, and it has become the "new beacon" that leads the industry's intelligent manufacturing.
On April 8, 2020, the Sany Group Manufacturing Management System (MOM) project was launched in Changsha, and an important step was taken in upgrading the software of the "Lighthouse Factory". By opening up production, quality, logistics, inventory and other production links, and deep integration with production line automation equipment, etc., MOM will establish a unified production data model, further refine production scheduling to people and equipment, and promote Sany Manufacturing Step into comprehensive intelligence ". It is reported that the new MOM system is scheduled to be launched in mid-2020, and will be piloted in five "lighthouse factories" and new heavy truck factories. After the project is completed, its production capacity will be increased by 50%, manpower requirements will be reduced by 60%, and the site will be compressed by 30%.
XCMG: plans to increase the investment of a wholly-owned subsidiary by 200 million yuan to accelerate the layout of the electric forklift industry
XCMG mentioned in its 2019 annual report that while promoting the development of the company's three main engines in 2019, XCMG also stepped up plans to develop electric forklifts and small construction machinery.
On April 22, 2020, XCMG issued an announcement saying that in order to further accelerate the strategic layout of the company's electric forklift industry and increase support for the electric forklift industry's business activities, the company plans to provide its wholly-owned subsidiary Xuzhou Xugong Special Construction Machinery Co., Ltd. ( (Referred to as XCMG Special Machine) increased capital by 200 million yuan.
For the purpose of this investment, XCMG stated that the electric forklift industry is one of the important directions of the company's strategic layout, and the existing registered capital and capital status of XCMG Special Machines cannot meet the rapid development of the company's electric forklift industry. The capital increase of XCMG special machine is used for XCMG special machine electric forklift related business, further accelerate the strategic layout of electric forklift industry.
Liugong: Acquired Hertz China for 1 yuan to fully enter the leasing market
Liugong mentioned in his 2019 financial report that one of the business plans for 2020 is to seek growth poles for emerging businesses and increase investment in the aftermarket business to obtain new profit growth points.
Since this year, Liugong has stepped up its efforts in the construction machinery aftermarket.
On March 2, Liugong announced the resolution announcement of the twenty-fourth (interim) meeting of the eighth board of directors. The announcement focused on Liugong's layout of leasing and second mobile phone business, especially the company's acquisition of Hertz Equipment Rental for $ 1 The 100% shareholding of Hertz Equipment Leasing Co., Ltd. (hereinafter referred to as "Hertz China") held by Holdings (HK) Limited has attracted industry attention.
On April 30, Liugong and Herc Holding of the United States jointly announced that both parties completed the settlement of the equity transfer of Hertz China, and Hertz China officially became a wholly-owned subsidiary of Liugong.
The successful acquisition of Hertz China marks that Liugong will accelerate the layout of the construction machinery equipment rental market, further expand Liugong's comprehensive solutions, and achieve industrial upgrading. After joining Liugong, Hertz China will become a Liugong equipment rental platform, and empower Liugong dealers to carry out rental business.
