After grassroots investigations and market research, CME observed that the sales of excavators (including exports) in July 2020 is expected to reach 17,500 units, a year-on-year growth rate of about 42%.
Among them, 15,200 units in the domestic market, a year-on-year growth rate of about 49%,
The export market is about 2,300 units, a year-on-year growth rate of about 7%.
Market concentration is further improved, and the strong are always strong
From the perspective of sales volume, the market concentration of excavators is relatively high. Leading companies rely on technological advantages, excellent supply chain systems, rapid market response capabilities and more flexible sales methods, and market concentration has further increased.
After grassroots investigation and market research, CME believes that CR5 in the domestic excavator market is expected to reach 70% in June 2020. Market concentration will further increase, and the trend of the strong will become more obvious.
Market competition will become increasingly fierce
With the release of production capacity in the second half of the year, demand entering the traditional off-season, and price competition, competition in the Chinese excavator industry will become more intense in the second half of 2020.
CME believes that companies should pay more attention to cash flow, profit and product quality in order to achieve high-quality sustainable development.
Sales in 2020 are expected to exceed 270,000 units
In 2019, my country's excavator market ushered in a peak of recovery, with annual sales of 235,693 units.
From January to June 2020, the Chinese excavator market is like a roller coaster. The sales peak season after the Spring Festival is cold, and the sales of excavators from January to February 2020 decreased by 47% year-on-year; the sales volume in March was 49,408, the highest value in history, and sales in April 45,426 units, a year-on-year increase of 59.89%; May sales of 31,744 units, a year-on-year growth rate of 67.98%; June sales of 24,625 units, a year-on-year growth rate of 62.9%.
Due to the increased counter-cyclical adjustment policies, it is expected that the excavator industry will be dominated by domestic demand in the short to medium term. Under the combined effect of new demand and replacement demand, the demand for the excavator industry will grow steadily in 2020.
Based on the market situation and industry operation in the first half of the year, CME predicts that the annual sales (including exports) of excavators in 2020 are expected to exceed 270,000.
