According to CCTV Finance, excavators have always been regarded as a barometer of the construction machinery industry. According to data released by the China Construction Machinery Industry Association, the 25 excavator manufacturers included in the statistics in June sold about 25,000 excavators of various types. A year-on-year increase of approximately 63%. The total sales of excavators from January to June 2020 is about 170,000 units, an increase of about 24% year-on-year.
In an interview with CCTV Finance, a relevant person in charge of XCMG said that although the past two months have been the traditional off-season for the excavator industry, due to the strong overall market after the resumption of work and production, this year’s off-season has shown the characteristics of the off-season.
According to the data of the professional version of Tianyancha, there are more than 40,000 excavator-related companies in my country that include "excavators" in their business scope and whose status is active, surviving, moving in, or moving out. In terms of geographical distribution, Shandong Province has the largest number of excavator-related companies, exceeding 7,100. Zhejiang Province, Anhui Province, Jiangsu Province and other provinces, cities and regions have the next highest number of related enterprises.
From the perspective of industry distribution, 42.87% of excavator-related companies belong to the leasing and business service industry, 31.68% are wholesale and retail, 10.84% are construction, and 5.41% of these companies are manufacturing. In terms of registered capital, more than half of excavator-related companies have a registered capital of 0 to 1 million. In addition, nearly 60% of excavator-related companies are individual businesses.
Excavators are important construction machinery supporting infrastructure construction and one of the indispensable "assistants" in the construction engineering industry. Data from the professional version of Tianyancha shows that in the past ten years, the number of excavator-related companies in my country (all companies) has increased from 10,000 to 56,000, which is more than five times higher. The number of new companies has increased year by year.
As of August 4, according to the industrial and commercial registration, Tianyancha Professional Edition data shows that more than 3,700 new excavator-related companies have been added in the first half of this year. Among them, my country's excavator-related companies registered 851 in April, an increase of 25.7% from the previous month.
Infrastructure boosts demand for excavators, industry insiders are optimistic about the market in the second half of the year
The excavator market in the first half of this year has exceeded industry expectations. How about the sales of dealers? Is there any change in the demand for excavators at downstream construction sites?
Huang Mingchun, general manager of Shanghai Weiqi Industrial Development Co., Ltd., has been engaged in earthwork transportation for more than ten years. He told reporters that he was affected by the epidemic and the construction schedule was delayed during the rainy season in Shanghai. The construction site is rushing recently. He has all a dozen excavators. Pull to work on the construction site.
Huang Mingchun, general manager of Shanghai Weiqi Industrial Development Co., Ltd.: There are more than a dozen excavators, one or two on each site, and five or six site projects are under construction, which is not enough. We plan to rent another part from an external leasing company. Each lease is difficult to rent. There is a lot of living outside, and all of them are rented out.
Due to the large weight and volume of the excavator and the high transportation cost, most OEMs rely on dealer channels for sales. Liang Lunheng is the distributor of XCMG excavators in Guizhou. In order to welcome the small peak season in September and October, he has prepared about 200 excavators in his warehouse in Guizhou.
Liang Lunheng, Chairman of Guizhou Hengdaxin Machinery Co., Ltd.: A large-scale earth and stone developer in Guizhou purchases 500 million yuan of equipment from our company every year. I came to the factory and ordered 50 50-ton excavators. Grab and stock up.
The reporter came to the excavator production base of SINOMACH in Changzhou, Jiangsu. A purchasing group was visiting. One of the agents, Yang Shengdong, is from Huainan, Anhui, and has been engaged in the excavator rental business for nearly ten years. He told reporters that he plans to add two new excavators for rent.
Yang Shengdong, Sales Manager of Anhui Taikai Machinery Equipment Sales Co., Ltd.: Several cities in northern Anhui are expanding, with more roads being built, and the leasing business is doing well. The monthly rent for large excavators is more than 20,000 yuan, and the monthly rent for small excavators is 10,000 yuan. Multiple.
Industry insiders said that they are optimistic about the excavator market in the second half of the year.
Excavator competition is intense
With the strong rise of domestic brands, the excavator market is becoming more and more concentrated. In the fierce market competition, how to break through?
During the epidemic, many excavator OEMs opened up live-streaming sales methods, and opened up sales on live-streaming platforms and short-video platforms.
Traditional excavators are mostly diesel-powered, but the current excavator market is fiercely competitive, and many companies have begun to cultivate market segments and develop new products to break through, such as the development of new energy excavators.
Kong Fanhong, General Manager of Changlin Co., Ltd. of SINOMACH: It has no chimney and uses lithium batteries, which can guarantee more than five hours of continuous operation.
The reporter learned that the price of excavators has been in a downward channel for the past one or two years. In April of this year, although some excavator OEMs announced price increases for some models, the overall gross profit margin of excavator OEMs was still squeezed.
Kong Fanhong, General Manager of Changlin Co., Ltd. of SINOMACH: The gross profit level of 15%-20% is relatively healthy and normal. Compared with the current point of view, the gross profit level of products of various manufacturers is different, but most manufacturers are difficult to maintain about 20%. The gross profit margin.
According to industry insiders, the current concentration of my country's excavator market is increasing, and domestic brands account for an increasing market share. Under fierce market competition, the survival of the fittest is inevitable.
Zhang Fengting, deputy general manager of the excavation machinery division of XCMG: The market concentration of domestic brands reached 70% historically in the first half of the year. This is a big reversal from the pattern of 90% of foreign brands 10 and 15 years ago.
In addition, CCTV Finance pointed out that with the strong rise of domestic brands, the excavator market has become increasingly concentrated. In the fierce market competition, many excavator OEMs have developed a live-streaming sales method and opened up sales on the live-streaming platform and short video platform. Many companies have begun to cultivate market segments and develop new products to break through, such as the development of new energy excavators.
According to data from the professional version of Tianyancha, among my country's excavator-related companies, 211 have their business scope including "new energy and lithium batteries", and 125 have their business scope including "e-commerce, e-commerce, and Internet sales."
