The construction machinery industry is still in the adjustment cycle. According to the statistics of 26 excavator manufacturing enterprises by China Construction Machinery Industry Association, 15600 excavators of all kinds were sold in January 2022, a year-on-year decrease of 20.4%.
At the same time, as an investment dependent and cyclical industry, construction machinery faces many uncertain factors such as rising raw material prices, tight supply chain and emission upgrading. For investors, it is difficult to control the direction of the industry.
However, the turning point and opportunity of the industry have emerged.
"I am optimistic about the trend of the industry in 2022". Xiang Wenbo, chairman of Sany Heavy Industry, who has just been performing his duties for one month, made a public voice a few days ago, not talking about his feelings of taking office, mainly to "cheer up" the construction machinery industry: the industry may fall in the first quarter and the first half of the year, but may rise in the second half of the year, with "low in the first half and high in the second half of the year". Xiang Wenbo also stressed that the construction machinery industry is far from the top.
Export sales continued to grow at a high level
From the monthly sales data, since April last year, the construction machinery industry has entered the adjustment period, walked out of the curve of "high before low", and finally maintained the slight increase of the whole year by relying on the "Changyang" and export outbreak in the first quarter.
According to the statistical data of China Construction Machinery Industry Association, from January to December 2021, the 25 host manufacturing enterprises included in the statistics sold 342800 sets of various mining machinery products, a year-on-year increase of 4.6%. Among them, the sales volume in the domestic market was 274400 units, a year-on-year decrease of 6.3%.
Although the construction machinery industry has entered the adjustment cycle, structural highlights still exist. For example, last year, the export sales volume of excavators was 68400, a year-on-year increase of 97%. At the beginning of this year, compared with domestic sales, exports still maintained a high growth trend. The sales data of excavators in January showed that domestic sales were 8282 units, a year-on-year decrease of 48.3%; 7325 units were exported, with a year-on-year increase of 105%.
Xiang Wenbo said, "construction machinery enterprises should hedge the impact of cyclical adjustment in the domestic market through internationalization."
In addition to internationalization, Xiang Wenbo believes that the other two means of enterprise confrontation cycle are to improve product competitiveness and promote intelligent manufacturing and digital transformation. The former improves market share, while the latter reduces costs and increases efficiency and improves competitiveness.
In fact, Xiang Wenbo has long predicted the trough of this cycle.
"The construction machinery industry has experienced five years of rapid growth from 2016 to 2021. The moderate decline in growth and even negative growth are expected, which is the characteristic of the industry." "We don't feel particularly stressed," Xiang Wenbo said
A number of people in the construction machinery industry told the securities times that due to the maturity of the industry, enterprises and market, the periodicity of construction machinery is weakening. The previous ups and downs will be difficult to reproduce, and more are small band mild adjustments.
Industry ushers in strategic opportunities
Although the construction machinery industry is still in the adjustment cycle, the "spring" has appeared.
The CCTV financial excavator index shows that the national engineering projects entered the closing stage in January. Although the workload of various construction machinery decreased year-on-year, the operating rate of construction machinery in many places remained high and the import and export trade was active.
In terms of workload, the frontal crane has increased for three consecutive months since November 2021, which are 116.46 (hours), 119.36 (hours) and 120.35 (hours) respectively; In terms of operating rate, the data of front crane, excavator, truck crane, crawler crane, mixer truck and pump truck are more than 50%. Among them, truck crane, front crane and pump truck ranked among the top three, with operating rates of 73.99%, 58.04% and 54.80% respectively.
It is noteworthy that the cumulative workload of various mechanical equipment in 2021 increased by 20.12% year-on-year, indicating that China continues to strengthen infrastructure construction.
Xiang Wenbo predicted that 2022 may be a better year for the construction machinery industry. "At the end of last year, the central economic work conference clearly put forward strategic measures to carry out infrastructure investment moderately in advance, which will be a great opportunity for the construction machinery industry."
According to the policy transmission cycle, Xiang Wenbo believes that the construction machinery industry will pick up in the second half of the year, with "first low and then high" in the whole year.
In addition to policy dividends, Xiang Wenbo believes that construction machinery is "far from the top", and there are at least four opportunities to significantly improve the industry space.
First, the international space is still very large; Second, China's aging will bring great demand for replacement of construction machinery; Third, the technology cycle, such as "double carbon", the traditional construction machinery based on fossil energy will be phased out; Fourth, in the future, the industry will be intelligent, less populated or even unmanned.
Big fish eat small fish, and the industry speeds up merger and reorganization
On February 7, Zoomlion announced that it planned to acquire 29.99% shares of Luchang technology at a transfer price of 21.67 yuan / share. After the transaction is completed, Zoomlion will become the controlling shareholder of Luchang technology. After the acquisition, Zoomlion is expected to form synergy in the informatization and intelligence of intelligent agricultural machinery and engineering vehicles such as cranes, excavators and concrete machinery, as well as the improvement of intelligent cockpit and man-machine environment.
In February, Komatsu officially announced that it would lift the joint venture agreement with state machinery Changlin Co., Ltd. and Sumitomo Co., Ltd. to produce various construction machinery products in China. After the termination of the cooperation, Komatsu (Changzhou) Construction Machinery Co., Ltd. will become a wholly-owned subsidiary of Komatsu.
In February, Cummins announced that it had reached an agreement to acquire junkebo vehicle system. Junkebo is an important supplier of engine braking, cylinder stop, start stop and thermal management technology. This acquisition will bring new technologies to Cummins's current and future advanced diesel engine platform, provide new growth opportunities, and boost Cummins's turbocharging technology system business to further grow in the world.
On February 14, Liugong held a joint venture agreement signing ceremony with the Thai dealer yontrakarn, which is the first joint venture of Liugong in-depth layout of RCEP area.
On February 18, Sany high altitude Machinery Equipment Co., Ltd. was established with Xiang Wenbo as its legal representative and a registered capital of 100 million yuan.
On February 18, the commencement of Xingbang intelligent International Smart manufacturing city was grandly held. Its official commencement marks that Xingbang intelligent has entered a new development stage of high-end intelligence, green environmental protection and extreme excellence.
On February 22, manitone group announced that it plans to pursue the investment of 70 million euros (US $80 million) for the expansion, innovation driven and new series product development of its two North American manufacturing plants in yankeeton and Madison, South Dakota.
On February 22, Cummins and Meritor jointly announced that they had reached an agreement that Cummins would acquire Meritor to further strengthen the strength of powertrain parts and accelerate the development of electrified power solutions. Meritor is a leading provider of transmission, travel, braking, aftermarket and electric powertrain solutions in the global commercial vehicle and industrial markets. According to the agreement, Cummins will acquire Meichi with us $36.50 per share in cash, with a total transaction amount of about US $3.7 billion, including debt assumed and cash expenditure for acquisition.
Recently, Sany Italian headquarters held its opening and ribbon cutting ceremony in Turin. Sany Italy undertakes the functions of product display, direct selling, service and training. As the Italian headquarters and accessories Center, Sany Italy supports the radiation of agents in Italy.
"Three modernizations" become the general direction of the industry
Enterprises will accelerate their transformation in 2022. Just at the beginning of the year, Sany Heavy Industry threw out its own reform plan. Liang Wengen, who "decided to work for another 10 years", chose to turn from front of the stage to behind the scenes. Liang Wengen resigned as the chairman of the company and the special committee of the board of directors, and Xiang Wenbo served as the chairman of the company. Liang Wengen said that his energy investment in Sany Heavy Industry will not be reduced, but will focus more on the company's long-term strategy and development opportunities, especially digital transformation. This also means that the leading enterprise in the field of construction machinery will pay more attention to enterprise transformation and innovation in 2022.
Liang Wengen's expectation of the latest reform can be seen in the new year's message in 2022. He said that Sany group's operating performance hit another record high, and its overseas sales increased by 65% year-on-year; Breaking through a number of key intelligent manufacturing technologies, Beijing pile driver factory was rated as the first "lighthouse factory" in the global heavy industry; The intelligent and unmanned products were accelerated, and the electric transformation was fully started.
He proposed that the "super technology window" brought by the superposition of the fourth industrial revolution and the third energy revolution. In 2022, Sany group will fully implement the "three modernizations" strategy of digitization, electrification and internationalization.
Digitization, electrification and internationalization, the reform key words of Sany Heavy Industry are also the general direction of the current development of the construction machinery industry.
Throughout the development of the industry, the competition in the electrification process of China's construction machinery is more intense than expected. At present, Zoomlion, Sany Heavy Industry, XCMG machinery, Liugong and other construction machinery companies actively layout electrification and intensively launch a variety of electrification products, lest they fall behind at a slow pace. In 2021, the sales volume of electric engineering machinery products such as loaders, excavators and bulldozers has reached thousands. In 2021, Sany Heavy Industry launched a total of 26 electric products, including more than 2000 orders for engineering vehicles such as electric mixer and dump truck; Zoomlion has released 8 series of pure electric pump trucks, off-road pure electric wide body dump trucks and 16 kinds of new energy engineering machinery; Including XCMG, Liugong, Lingong, Shanhe intelligent, Shantui, Tongli heavy industry and other industries, enterprises have also increased their electric layout one after another.
