Construction machinery started well in 2019. According to the latest data of China Construction Machinery Industry Association, the 25 main machine manufacturers included in the statistics in February sold 18 745 excavation machinery products, an increase of 68.7% over the same period last year. Domestic market sales (excluding Hong Kong, Macao and Taiwan) were 17266, up 77.6% year-on-year. Export sales were 1 459 units, up 5.2% year-on-year.

Specifically, in February 2019, sales of 2359 large excavators increased by 11.7%, 4239 medium excavators by 34.7% and 10668 small excavators by 55.2%.

From January to February 2019, 25 main machine manufacturing enterprises included in the statistics sold 30501 excavation machinery products, an increase of 39.9% over the same period of last year. Domestic market sales (excluding Hong Kong, Macao and Taiwan) were 27400 units, up 42.2% year-on-year. Export sales of 3073 units, up 21.8% year-on-year.

Considering the impact of the Spring Festival holidays in 2019, the data from January to February are basically good.

According to the industry data of the past year, the construction machinery industry as a whole is better. In December 2018, 25 main machine manufacturers included in the statistics of China Engineering Machinery Industry Association sold more than 16,000 excavators, up 14.4% year on year. For eight consecutive months, the construction machinery industry has reached a new high in the same period, with sales exceeding 10,000 units in 16 consecutive months. In 2018, the total sales of excavators exceeded 203,000 units, up 45.0% from 140,000 units in the same period last year, and reached an all-time high.

Overseas market sales are booming all year round. Last December, the export sales of excavators approached 1749 units, an increase of 38% over the same period of last year. So far, they have exceeded 1000 units for 13 consecutive months. The monthly export sales of loaders are over 1500 units. In December, the export volume was 2286 units, accounting for 23.3% of the total sales volume, a slight increase of 3.9% over the same period last year.

According to the latest enterprise news, Liugong's net profit in 2018 can reach 900 million yuan, an increase of 159% over the same period last year, and Xugong Machinery expects the net profit to reach 2.15 billion yuan. Shanhe Intelligence expects total revenue of 5.751 billion yuan in 2018, an increase of 45.73% over the same period last year, and net profit of 431 million yuan, an increase of 165.33% over the same period last year. Sany Heavy Industry expects net profit of 5.9 billion to 6.32 billion yuan in 2018, an increase of 18.2% to 202% over the same period last year. Zhonglian Zoomlion expects net profit of 1.95 billion to 2.15 billion yuan in 2018, up 46%-61% from the same period last year.

Capital construction and real estate are two downstream pillar industries of construction machinery. At present, a series of policy signals for stable investment have been strengthened. With the continuous refinement of relevant policies, the acceleration of approval of infrastructure projects and the acceleration of issuance of special bonds, the growth rate of capital investment has steadily rebounded in the fourth quarter of last year.

In the National Transportation Work Conference of 2019, it was pointed out that in 2019, about 1.8 trillion yuan will be invested in fixed assets of highways and waterways. The new 200,000 kilometers of rural highway will be rebuilt to realize the hardening of roads in towns and villages with qualifications. New inland high-grade waterways reach the standard mileage of 400 kilometers. There are 5,000 newly built villages for passenger cars, of which 3,000 are in poverty-stricken areas. Five thousand new villages have been built through direct postal service. We will ensure that the restructuring of transport structure is progressing in stages, with an increase of 350 million tons in railway freight volume and more than 15% in container hot metal intermodal transport volume. The state invested heavily at the beginning of 2019, and the construction machinery industry is expected to grow steadily in 2019.

Li Hongbao, Executive Vice President and Secretary-General of Excavator Branch of China Construction Machinery Industry Association, predicts that the excavator market will continue to grow in 2019 and the domestic sales will reach 200,000 units.

Qi Jun, president of China Construction Machinery Industry Association, also predicts that there will be unforeseen risks in the development of national economy in 2019. The whole industry should actively respond to these risks and take measures to make full use of and implement the national macro-control policies so as to make the development of the industry sustainable and better. It is expected that the whole industry will maintain a sound development trend in 2019 and achieve sustained and stable development, mainly due to the sustainable and stable investment strategy at the national level, the achievement of the transformation and upgrading of the industry, the drive of the product renewal cycle, the drive of the national environmental protection policy, the "one belt and one road" pulling the export, and the overseas construction projects of large enterprises driving the products to go out.

(Source: China Industrial News Network)