According to statistics released by CEMA, the total sales volume of construction machinery in Japan increased by 27.3% in 2021 to 27569 billion yen (about 151 billion 400 million yuan), the first increase in three years, and the market demand has obviously recovered from the decline caused by COVID-19 in the previous year.
In the first quarter of 2021, the total sales volume was 667.8 billion yen (about 36.7 billion yuan), an increase of 7.8% year-on-year;
The total sales volume in the second quarter was 656.2 billion yen (about 36.1 billion yuan), an increase of 42.5% year-on-year;
The total sales volume in the third quarter was 693.7 billion yen (about 38.1 billion yuan), an increase of 35.7% year-on-year;
The total sales in the fourth quarter was 739.2 billion yen (about 40.6 billion yuan), an increase of 28.6% year-on-year.
Sales in the four quarters all achieved positive growth, showing an overall upward trend.
Japan's domestic market
From January to December 2021, the sales of domestic construction machinery in Japan decreased by 0.2% year-on-year to 993.7 billion yen (about 53.9 billion yuan), falling for the second consecutive year. Among them, although the sales growth in March was negative (- 2.6%), the sales was still the highest in the whole year, at 121.2 billion yen (about 6.6 billion yuan). In addition, the highest domestic growth rate occurred in May, at 10.9%.
From the sales of 9 different models and parts, from January to December 2021, the hydraulic crusher became the product with the highest year-on-year increase with a year-on-year growth rate of 11.1%.
In addition, shoveling machinery increased by 3.9% to 113.3 billion yen (about 6.1 billion yuan), concrete machinery increased by 7.3% to 32.4 billion yen (about 1.8 billion yuan), other construction machinery increased by 4.2% to 72.5 billion yen (about 3.9 billion yuan), and parts increased by 4.2% to 130.5 billion yen (about 7.1 billion yuan).
Although the sales of hydraulic excavator decreased by 0.7% year-on-year, it still became the champion model in Japan's domestic sales in 2021 with the achievement of 297.3 billion yen (about 16.1 billion yuan).
Japan's export market
From January to December 2021, the export volume of construction machinery in Japan was outstanding. From January to December, the export volume was 1763.2 billion yen (about 95.6 billion yuan), an increase of 50.6% year-on-year, realizing the first positive growth in three years. Among them, the increase was the most obvious from April to August, with a year-on-year growth rate of more than 60%. The export volume in August was the most prominent, with a year-on-year growth rate of 93.3%.
In terms of export volume, the export growth rate of other models was negative from January to April in 2021, except for the models (- 1.4%).
Shoveling machinery increased by 76.5% to 19.6 billion yen (about 10.7 billion yuan).
Hydraulic excavators increased by 53.4% to 702.5 billion yen (about 38.1 billion yuan);
Small hydraulic excavators increased by 38.8% to 305.8 billion yen (about 16.6 billion yuan);
Construction cranes increased by 5.1% to 62.9 billion yen (about 3.4 billion yuan);
Road machinery increased by 76.1% to 33.7 billion yen (about 1.8 billion yuan);
Concrete machinery increased by 16.3% to 1 billion yen (about 50 million yuan);
Hydraulic crusher increased by 36.7% to 9.2 billion yen (about 500 million yuan);
Other construction machinery increased by 61.9% to 225.4 billion yen (about 12.2 billion yuan);
Parts increased by 47.6% to 220.3 billion yen (about 11.9 billion yuan).
In December 2021, the Bank of Japan made a judgment on the current economy: at present, Japan's economic recovery is obvious. COVID-19's downward pressure on consumption and supply constraints have gradually eased, external demand has increased and the financial environment is loose. Under the stimulus of government fiscal policies, the Japanese economy is expected to continue to recover, and economic growth will continue to rise in 2022.
Therefore, CEMA predicts that Japan's public investment will remain stable in 2022, and private capital investment is expected to rebound and increase slightly, which will provide opportunities for the growth of domestic construction machinery demand in Japan. Meanwhile, exports will still be the main driving force of Japan's construction machinery industry, and the export volume is expected to increase further, mainly concentrated in the three major export destinations (North America, Europe and Asia).
