So far, it is widely believed that the construction equipment produced by Chinese companies-even those produced by top foreign companies in China-lags in quality and technology behind products produced by foreign companies in their home countries. But the latest research from CLSA proves that this idea is long outdated. The agency tested a series of Chinese-made excavators and found them to be strong and efficient. Products manufactured by leading Chinese brands such as Sany Heavy Industry, Zoomlion, Liugong Machinery also have the advantage of low prices. The construction equipment produced by these companies will soon occupy construction sites around the world.
Since the global financial crisis broke out five years ago, great changes have taken place. Until then, nearly 90% of excavators on Chinese construction sites were foreign brands, although these excavators were generally made in China. From 2008 to 2009, the Chinese government implemented a huge fiscal stimulus policy, which as a result brought prosperity to the construction industry, which in turn encouraged Chinese machinery manufacturers to expand their scale, and a number of new companies entered the market. Although local Chinese companies are technically inferior to Hitachi in Japan and inferior to Caterpillar in the United States in terms of product variety, Chinese companies offer buyers very high discounts. By 2011, Chinese companies had occupied half of the domestic market. As the scale continues to expand, top Chinese companies can't wait to upgrade their technology. They have invested heavily in acquiring foreign competitors and suppliers or forming joint ventures with foreign companies. Sany Heavy Industry acquired two German companies, Putzmeister and Intermix, and a joint venture with Austria's Palfinger. Zoomlion acquired CIFA in Italy. Liugong and Xugong have established joint ventures with Cummins in the United States and Doosan in South Korea to improve their diesel engines.
Since the global financial crisis broke out five years ago, great changes have taken place. Until then, nearly 90% of excavators on Chinese construction sites were foreign brands, although these excavators were generally made in China. From 2008 to 2009, the Chinese government implemented a huge fiscal stimulus policy, which as a result brought prosperity to the construction industry, which in turn encouraged Chinese machinery manufacturers to expand their scale, and a number of new companies entered the market. Although local Chinese companies are technically inferior to Hitachi in Japan and inferior to Caterpillar in the United States in terms of product variety, Chinese companies offer buyers very high discounts. By 2011, Chinese companies had occupied half of the domestic market. As the scale continues to expand, top Chinese companies can't wait to upgrade their technology. They have invested heavily in acquiring foreign competitors and suppliers or forming joint ventures with foreign companies. Sany Heavy Industry acquired two German companies, Putzmeister and Intermix, and a joint venture with Austria's Palfinger. Zoomlion acquired CIFA in Italy. Liugong and Xugong have established joint ventures with Cummins in the United States and Doosan in South Korea to improve their diesel engines.
