Machinery / Industrial Parts & Tools

According to the statistics of 25 excavator manufacturers from the China Construction Machinery Industry Association, the sales of various excavators in September 2021 were 20,805 units, a year-on-year decrease of 22.9%, and a decline for six consecutive months. Among them, 13,934 domestic units, a year-on-year decrease of 38.3%; exports of 6,151 units, a new high for the year, a year-on-year increase of 79%.

From January to September 2021, a total of 279,338 excavators were sold, an increase of 18.1% year-on-year. Among them, 232,312 domestic units, a year-on-year increase of 9.16%; 47,026 units exported, a year-on-year increase of 98.5%.

1. Big Dig's growth rate turned negative for the first time in 16 months

From the perspective of the tonnage structure, the total domestic sales of large, medium and small excavators fell by 38.2% in September. Compared with August, the decline continued to expand. Among them, the sales of large digging fell by 36.3%, the sales of medium digging fell by 44.6%, and the sales of small digging fell by 35.8%. In September, the decline in sales of large, medium and small digging continued to expand.

In the first three quarters, the cumulative domestic sales growth rates of large, medium and small excavators were -1.7%, 22.2%, and 5.9% respectively. Among them, the cumulative sales growth of small and medium-sized digs continued to slow down, and the cumulative sales growth of large-sized digs turned negative for the first time in 16 months.

2. Exports of excavators have grown by more than 50% for 9 consecutive months

In September, 6,151 excavators were exported, a year-on-year increase of 79%. A total of 47,026 excavators were exported from January to September, a year-on-year increase of 98.5%. The export growth rate of my country's excavators has maintained positive growth for 51 consecutive months and a high growth rate of over 50% for 9 consecutive months. Exports have maintained a high boom. China Development Bank Securities believes that with the continuous restoration of overseas demand and the enhancement of domestic brand market competitiveness, the export market has become an important revenue growth point for the construction machinery industry.

3. The excavator is expected to achieve a growth of more than 10% throughout the year

Bohai Securities believes that the National IV emission standards for non-road mobile machinery will be implemented at the end of 2022. Taking into account the slowdown in the issuance of special bonds in the first half of the year, the progress of some projects has been lower than expected, and the overall industry growth rate has shown a slowdown.

In the second half of the year, with the accelerated issuance of special bonds, the improvement of new real estate construction and the favorable demand for large-scale mining from the resumption of work in mines, industry sales are expected to rebound in the second half of the year, and excavators are expected to achieve a growth of more than 10% throughout the year.