After many years of downturn, China's construction machinery has ushered in a new round of growth and has continued to improve. Recently, Qi Jun, President of the China Engineering Machinery Industry Association, announced the results of the 2017 industry. The sales of major products increased by 45.7% year on year. The economic benefits of the main enterprises have been greatly improved, and the total profit growth is nearly 500%. Sales rose far above the 10% predicted by the experts at the beginning of last year, but it was unreasonable, which greatly boosted industry confidence.
This year, the rally is continuing and the whole industry is in full swing. In the first quarter, the accumulative sales of excavators broke through 60 thousand units, up 48% from the same period, second high in the same period, and the accumulative sales of loaders reached 30589, up 33.5% from the same period. Who will be the potential stock in this new game?
The adjustment and growth of each round of construction machinery industry is closely related to the current economic environment at home and abroad. In recent years, China's urbanization accelerated development, infrastructure investment exceeded expectations, new rural construction reached a new level, and China's economy was developing new vitality. All kinds of good trend directly led to the revival of construction machinery.
After five years of industry adjustment, the capacity digestion of construction machinery has basically been completed, and the equipment after the last explosive growth has also reached the upgrading node. Some enterprises with small scale and weak competitiveness were eliminated. Industry concentration is higher, stronger enterprises are stronger.
Throughout the market after baptism of the survival of the enterprise, it can be seen that those large and thick enterprises have strong funds, strong R & D ability, technology lead, stable management, and a strong anti risk ability that small enterprises do not possess. With many years of experience and judgement, they broke through a barrier and became the last winner.
For any product, if we want to have a foothold in the market, we must first have excellent product quality. As a tool for users to become rich, engineering machinery is even more so. Most of the enterprises in the industry have a considerable history. Most of them invest in R & D, and upgrade the product quality and operating comfort. In recent years, the iterative upgrading of products is more frequent. In the premise of ensuring the reliability, it gradually tends to intelligence and environmental protection. This requires enterprises to have continuous innovation capital and ability to meet the growing demand of customers in the development of the times.
In addition to product quality, service is also an important measure. All the products, there will be a failure. Once the maintenance is not timely, it will seriously affect the revenue of the customers. In recent years, a number of ethnic enterprises have sprung up. One of the main reasons is the high importance attached to services. After sale service has also become an important factor for customers to buy products.
Products and services are undoubtedly important conditions to win the market. In the past two years, John Deal, who is increasingly influential in the industry, can not be underestimated in these two aspects. Although the enterprise from the United States has entered the Chinese market late, its own development history of more than 180 years is a proof of its quality and strength. Judging the performance of an excavator or loader, the most important thing is whether the quality of its core components is reliable. John Deal has independent research and development of the positive flow hydraulic system and engine, not only make the control of the hydraulic system achieve the highest level of control precision in the industry, but also provide a strong power for the equipment. This is also a win win win win win win win win win for customers.
More importantly, Dier is equally impressive in terms of service. From the supply of spare parts to equipment maintenance and troubleshooting, we can respond quickly, even if the desert Gobi, which is thousands of miles away, will arrive at the scene at the first time. At the same time, every quarter can hold a service patrol, keep abreast of the use of equipment, shorten the distance from customers, and solve the worries of customers.
More and more customers use dill equipment, and have a real experience in the past 100 years of technology accumulation, excellent product quality and worry free after-sales service. From mouth to mouth, John Deal has also gained fame in the Chinese market. In the past, most foreign brands rarely held large-scale market fairs due to cultural differences. This has also virtually lost the opportunity of close contact with customers. But John Deal was different. In the first quarter of this year, 18 national exhibition games were held, more than 4000 customers participated, and hundreds of local exhibition games were held by dealers, and nearly 10000 customers participated. These fairs have covered most of the market in China, and Dier's quality has been gained by more Chinese users and the market influence has been further enhanced. The integration of culture also allowed dill to increase the relationship with Chinese customers. During the promotion period, the sale of its products is the best proof.
This year is the key year for the implementation of the 13th Five-Year plan and the 40th anniversary of reform and opening up. In early April, this year's Boao forum for Asia released a clear signal of the new round of opening up: China's opening door will not be closed, it will only become bigger and bigger. This also provides policy support for the development of foreign brands in China, to make the Chinese market more international and to allow Chinese customers to enjoy better quality products and services. In 2018, the construction machinery industry will enter a period of steady development on the basis of the rapid growth in the early stage, from high-speed development to high quality development. Are you the potential stock in this new round of market?
