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In 2003, the production and sales of the construction machinery industry exceeded 100 billion yuan, and all kinds of product varieties had a substantial increase, and many products continued to maintain a growth rate of over 50%. According to statistics, the annual sales volume of excavators has reached 35,000 units, and the annual production and sales volume of loaders has reached 80,000 units. However, there are some problems that are worth exploring and thinking about.
Reloading of loader companies As the loader is the largest product in the industry, especially in recent years, it has attracted people's attention. In addition, there is a not very accurate statement that the loader represents the history of the development and change of the domestic construction machinery industry. The loader companies are also the most competitive and dynamic enterprises in the industry. Therefore, more attention should be paid to the loader.
From the current situation, the target loader load in 2004 will exceed 110,000 units. After years of continuous growth, competition will be even fiercer. Although China’s construction machinery market will remain the main battleground of the world’s engineering machinery industry in the next few years, it will be the most dynamic market. However, for each manufacturer, the cruelty and fierce competition may be even more fierce in 2004. Considering the influence of various factors, especially when compared with the situation of long-term fixed output in foreign markets, some experts believe that 2004 will be a year for Chinese loader companies to reshuffle.
The strong intervention of foreign capital broke the inherent pattern of the industry. After nearly 30 years of entry into China, Caterpillar suddenly changed its focus on high-end products. In a very short period of time, it signed a cooperation memorandum with Shandong Engineering Machinery Plant. Apart from continuing cooperation with XCMG, it is still contacting other companies. enterprise. Therefore, it was asserted that Caterpillar wanted to change its long-term high-end product strategy in the Chinese market and began to conceive low-end markets represented by loaders.
The other is the entry of auto companies. Auto companies have entered the loader production field. It is reported that Beiqi Foton planned to complete the infrastructure construction in Xuanhua, Hebei Province within four months, that is, by the end of March 2004. The plan is to produce more than 2,000 loaders throughout the year; Henan Yutong Automotive announced that it has completed the integration of Zhenggong and plans to produce more than 6000 units throughout the year. station. In addition, the acquisition of Jianghuai Automobile and Anhui Hefei Forklift Factory is on schedule.
The pace of social capital intervention in the industry continued to accelerate. Xinjiang Delong Holdings’ Hunan torch has recently announced that it is holding the Yellow River Engineering Machinery Plant. Liu Yonghao, the richest man in China’s private company, also intends to intervene in the production of excavators and loaders.
Who can persist in the decline in profits?
Another issue facing the industry is the growth in production and sales, and the decline in profitability. In particular, this problem is even more serious for loaders, bulldozers and other products with lower average profit levels in the industry.
The rise in prices of raw materials such as steel products has seriously affected the profitability of enterprises. According to preliminary estimates, the price of main timber such as loaders and excavators has more than doubled in the past year. According to relevant national data, the production capacity of the Chinese steel market in 2003 was one-fifth of the global total, but the market demand was one-fourth of the global total, which was greater than supply, which was an important reason for the sharp rise in steel products. . If anyone expects that this year's situation will turn for the better, I am afraid we must be disappointed. Because some analysis shows that China's steel demand this year will account for one-third of the world, but the production capacity will not have much growth. How long does this demand exceed the supply, and no experts have come out to understand it.
If some enterprises can maintain profits in 2003 due to the inventory of raw materials in the first half of the year, so that the annual profit level does not fall much. The situation in 2004 is really not optimistic. For most companies, this year's profitability is likely to be difficult to support plans to expand. Some people even believe that if the current price continues to be maintained, the loader industry will enter a loss state after the end of the first quarter of 2004.
In short, the decline in the overall profitability of the industry will become inevitable in the coming period. How to absorb this unfavorable factor may cause companies to have unique skills. Internal tapping is one of the effective methods. In addition, it is also a method to strengthen close cooperation with outsourcing companies. At the same time, it is also a good idea to refer to other industries such as the Automobile Group Alliance and the steel company to establish a long-term cooperative relationship.
Manufacturers and agents still need to run in
The cooperation and integration between some companies and some agents is underway. This is reflected not only in the selection and change of individual specialists of loaders or excavators, but also in the transfer of high-end products agents such as earthmoving machinery and road maintenance machinery, plus some The mutual penetration between the managers of the company and other industry agents makes the relationship between agents and manufacturers subtle.
With the development of the market, an after-sales service era has arrived, and the important role of agents in the work has also been recognized more and more.
Due to the characteristics of the Chinese market, the current development of the agency system is very imperfect. In particular, the sudden suspension of the insurance company's mortgage business has greatly affected the sales of agents. At the same time, it also exposed the weaknesses and shortcomings of many agents. Due to the non-standard agency system, the normal operation of many enterprises has been restricted and restricted to some extent, such as the difficulty of export work, the promotion of the market regulation model, and so on.
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