Machinery / Industrial Parts & Tools

In the context of market downturn and high inventory pressure, whether the "National IV" will be postponed has become the focus of the industry. The latest news that the author got at the first press conference of China Construction Machinery Industry Association (hereinafter referred to as the Association) recently is that the time for the national three emission standards of construction machinery to switch to national four emission standards is December 1, 2022, and the switch will be carried out as scheduled, no longer. postpone.

By December 1, 2022, the national fourth switch, less than 4 months have passed. Under the heavy pressure of environmental protection and the impact of the epidemic, the standard switching time is tight and the task is heavy. It is imminent to upgrade technology and clear inventory. It is gratifying that industry enterprises are ready for the national four standards.

The industry is actively preparing for the National IV work

In December 2020, the Ministry of Ecology and Environment and the State Administration for Market Regulation jointly issued the revision list for the "Limits and Measurement Methods of Exhaust Pollutants from Diesel Engines for Non-Road Mobile Machinery (China's Third and Fourth Stages)" (GB20891-2014) , and released its supporting technical specification "Technical Requirements for Pollutant Emission Control of Non-Road Diesel Mobile Machinery" (HJ1014-2020). According to relevant requirements, from December 1, 2022, all production, import and sales of non-road mobile machinery below 560kW (including 560kW) and the diesel engines installed should meet the National IV standard.

Qi Jun, Honorary President and Special Advisor of China Construction Machinery Industry Association, said that the switchover of the four emission stages of non-road mobile machinery is the most important work in the current industry. Since the official release of the National IV emission standards, the entire industry chain has been actively doing various preparations, from the main engine to the engine companies and the upstream and downstream of the industry.

The association has always paid close attention to and tracked the emission-related work of construction machinery, organized offline and online activities of the National IV emission standards, built a communication platform for the National IV emission seminars, coordinated the work of the National IV emission-related supporting organizations, and timely reported the implementation of the national IV emission standards. Problems and demands in the process. It is hoped that enterprises will strictly implement national standards in accordance with the established goals and requirements, achieve compliant production, and promptly make preparations for emission upgrades to switch on schedule.

Li Jin, Secretary General of the Association's Small and Medium Enterprise Service Committee, said that the implementation of the "four-stage" emission standards for non-road mobile machinery will definitely have a great impact on the cost of enterprises. Especially in the current epidemic situation, small and medium-sized enterprises have built their own data reporting platforms. will be a very difficult decision. In order to solve the problems of small and medium-sized enterprises in implementing the national four standards, the Association's small and medium-sized enterprise service working committee relies on the shared platform established by the complete set of companies to provide thoughtful services for the majority of small and medium-sized enterprises, helping enterprises to successfully pass the four national standards.

The market is recovering rapidly

Although the implementation of the National IV will bring a certain impact to the market, from the perspective of the industry in the second half of the year, the market is entering a state of recovery. From the latest official WeChat news of the association, it can be seen that the construction machinery market is recovering rapidly.

According to the association's statistics on 26 excavator manufacturing enterprises, in July 2022, 17,939 excavators of various types were sold, a year-on-year increase of 3.42%; of which 9,250 were domestic, a year-on-year decrease of 24.9%; and 8,689 were exported, a year-on-year increase of 72.8%. From January to July 2022, a total of 161,033 excavators were sold, a year-on-year decrease of 33.2%; of which 100,374 were domestic, a year-on-year decrease of 51.3%; and 60,659 were exported, a year-on-year increase of 72.3%. From the perspective of the overall market, starting from the first week of July, the national construction data has improved, and the industry turning point in the second half of the year may be forming.

Wu Peiguo, secretary-general of the association, said that in the 2021 annual report, the industry's operating income reached 906.5 billion yuan, a year-on-year increase of 17%; key statistical enterprises were 573.8 billion yuan, an increase of 18.3% over 2020. Relevant host, supporting and service companies have worked hard to overcome difficulties such as restricted movement of people in some regions, blocked cross-regional logistics, and poor port dredging and transportation, and have achieved orderly resumption of production and production. The decline narrowed in June, and the industry was generally stable. run.

At the same time, Wu Peiguo pointed out that he hoped that relevant companies would make a rational analysis of the market demand of each product line and set reasonable expectations. In order to meet the needs of users, the production should be reasonably arranged according to the needs of the market. Strengthen capital management and channel management, and take multiple measures to improve business quality and profitability.

The "14th Five-Year Plan" period is a critical period for the construction machinery industry to transform from a large manufacturing country to a powerful manufacturing country. Focusing on the innovation-driven development strategy, efforts should be made to complete key tasks such as comprehensively improving the basic capabilities of the industry, improving the quality of construction machinery products, and comprehensively promoting green development.

Companies are launching new products

In order to fully meet the requirements of the National Fourth Standard, the current mainstream projects of construction machinery and equipment such as port construction, urban construction, and mining have taken the lead in the development of electrification, and large-scale machinery and equipment such as excavators have also begun product upgrades. Electric products have been developed.

On August 5, Shantui Excavator released a total of 11 National IV excavators, including SE17SR-10 and SE25SR-10.

Recently, more than 60 sets of construction machinery and equipment equipped with Guangxi Cummins National IV engine have been successfully put on the market, including graders, excavators, loaders and other construction machinery and equipment, distributed in Northwest, North, Central, South and other regions.

In June, the offline ceremony of Weichai Lovol’s first National IV excavator FR700F was held in the company’s final assembly workshop, marking the official rollout of the company’s first National IV 70-ton excavator.

Chai Wenjun, Senior Deputy General Manager of Sany Heavy Industry Co., Ltd. and General Manager of Road Machinery Co., Ltd., said that the "National IV" emission standard is about to be implemented. Faced with the conversion of old and new kinetic energy, manufacturing, and green transformation, Sany will comprehensively increase Investment in the field of new energy development and equipment manufacturing is committed to the innovation and development of the industry, and to create more environmentally friendly and energy-saving construction machinery.

Whether the upcoming implementation of China IV will cause certain pressure on the current market. Liugong's board secretary said at a recent press conference that the company took the lead in launching the national IV standard products, and the original inventory of the national three products will not suffer large losses.

According to the current market conditions, some people in the industry said that the price of China IV products is expected to be at least 10% higher than that of China III products, or even 20%-30%. Generally speaking, with the arrival of the emission standard upgrade time node, various manufacturers will also conduct price promotions for National III products to speed up inventory clearance. In addition, the price increase of National IV products will also stimulate users' demand for purchasing National III equipment in advance. Construction machinery is expected to usher in a new round of purchases.