XCMG Chronicle of Events 2014
July 23, 2014
An XCMG crane was working on the construction site of the Arena Fonte Nova of Salvador in Brazil, which successfully hosted six matches of 2014 FIFA World Cup, including the quarter final between the Netherlands and Costa Rica.
The other day, the thrilling 2014 FIFA World Cup was held in Brazil, the “Hometown of Samba” in full swing. More than 40 XCMG equipment of various varieties were involved in constructing many “World Cup” stadiums, including Corinthians Arena, Sao Paulo, Recife Pernambuco Stadium, and the Brasilia World Cup National Stadium that was set to host quarter final and the final for the 3rd place. Meanwhile, a brilliant strip of “XCMG Gold” conveyed “Made in China” equipment’s weight and strength to domestic and overseas customers.
Time has come to the middle of 2014. Over the past half year, international economy was volatile, and the crane industry was in the slump. In the face of both opportunities and challenges at home and abroad, XCMG marched forwards through development and reform, and strongly put in place a series of responsive, highly-efficient, and coordinative measures, which in turn made the company accumulate endogenous power for transformation, transcendence and reform. As a result, the company has managed to maintain its leading status in the industry.
Going Global: Make Constant Achievements While Heading towards the Industry Zenith
In June, there came a steady flow of good news from XCMG’s overseas market, saying that it had exported to West Asia, North Africa and Central Asia 300 cranes, which were the largest batch of orders for cranes of the industry this year. For example, it delivered to the Middle East 15 XCMG Crawler Cranes worth more than RMB 20 million, to the SE Asia a 1250t Crawler Crane, registering a new tonnage record at home, to Russia 120 Truck_mounted_crane/ 'target='_blank' style='color:blue;'>Truck Mounted Cranes, and to Brazil a batch of 13 horizontal directional drills for the first time. It is worth pointing out that 100-odd dump Trucks have been exported to overseas market, another breakthrough in export of core parts of XCMG. Particularly, the 40 XCMG Excavators going to the high-end market of North America further testifies XCMG’s quickened pace in exploring high-end markets, which greatly invigorates the market confidence. By virtue of their superb product performance, XCMG construction machinery equipment has been extensively applied in various grand projects home and abroad, and they well showcase the image of “Made in China”.
On June, 6, XCMG Brail Manufacturing Base, the first overseas manufacturing base wholly funded by XCMG, was completed and put into operation, which not only symbolizes a crucial advancement of XCMG’s “Going-Global” strategy, but also serves as a firm bond for promoting cultural exchange between China and Brazil. In light of the planning, Brazil Base is set to improve five core aspects in an all-round way, including marketing channel, after-sales service, spare parts supply, marketing planning, and credit financing, with a view to advancing XCMG’s market shares and fine product reputation.
Simultaneously, XCMG continues deepening its integration with German SCHWING in technology and culture, and has forged strong strategic alliance with XCMG Europe GmbH, Germany FT Company, and Nederland-based AMCA Company in terms of R & D and operation, in order to assist XCMG in developing international business.
This year, XCMG has attended several international exhibitions with brand-new image and products. For instance, it struck a pose brilliantly at Brazil Road Machinery Expo, making itself the exhibitor with most complete product varieties; it partook in ROMEXPO as the only Chinese brand, and all of its exhibits were ordered by visitors present; it made presence at Brazil M&T Expo, the largest construction machinery expo in Latin America, becoming the most eye-catching spotlight at the opening ceremony; it again took part in Project Qatar 2014 and CTT Russia 2014 with a full range of products, construing XCMG’s strength in product innovation and leading role in construction machinery industry.
“A mighty country cannot do without a strong manufacturing industry, and Chinese people should not depend slavishly on others, but develop our own competitive machinery manufacturing industry. It is inevitable for a national enterprise to go global quickly and accelerate the pace of developing international market before achieving success”, Wang Min, chairman of XCMG, was quoted as saying.
As a pacesetter in the construction machinery sector, XCMG shoulders the responsibility and anticipation of revitalizing national industry, and bears in mind the dream of being international and world-class. Today, it is exerting tremendous efforts to arrive at the zenith of the construction machinery industry while making independent innovations and marching towards high-end markets.
Reinforcing the “Bone”: XCMG Frequently Stirs Sensations in the Market, Manifesting Its Leading Role in the Market.
According to experts, the construction machinery sector, a highly cyclical industry, is closely associated with macro-economic situation. Due to a series of factors, including financial strain in all industries and the government, serious overcapacity in the industry, and political and economic turmoil in the international arena, it is extremely difficult for construction machinery market to spring up. In the second half of 2014, market demands in the construction machinery industry will probably remain sluggish, and also the industry will be still running in slump, but the decline rate is slowing down and there will be an upturning trend.
Market adjustment provides XCMG with a hard-won opportunity to address problems, shape up, and reinforce competitiveness. By espousing the “Three More Priorities” business guideline, XCMG shall carry out the “Three Highs and Three Lows” management philosophy, namely, “High Investment, High Consumption, High Pollution, and Low Output, Low Benefit, and Low Quality”, in an effort to increase its profitability, risk control capacity, operation competence, and development capability, and to put in place its reform objective, transformation mission, and priority work. Regardless of high pressures and serious challenges ahead, XCMG clung to correct development guideline, transformed its mode of development, and adjusted its business structure. In the first half of 2014, it ran ahead of its domestic counterparts in several indexes and showed an overwhelming development momentum.
Recently, XCMG stirred sensations frequently in domestic market. For example, the Concrete Machinery worth RMB 40 million is fueling construction of an industrial park on Changxing Island, the largest island in the north of the Yangtze River; XCMG road building and Maintenance Machinery is selling well, and three major road building machinery products are showing robust growth, of which, large-scale road Paver’s sales volume goes up by 182%, sharing half of the market size in the industry; XCMG Tower Crane division has received an order worth RMB 100 million from Hainan and realized its goal of doubling sales and achieving sustainable development in the first half year; mining Dump Truck is best-selling and XCMG has obtained an order on purchase of 300 mining Dump Trucks; XCMG loader sales in Northwest has set a new record. Moreover, XCMG has made significant breakthroughs in sales of core components like hydraulic parts and transmission, which further testifies its leading role in the industry.
It is always easy to pulse the dream in the promising era. Premier Li Keqiang’s “HSR Diplomacy” mirrors the entire nation’s anticipation to the manufacturing industry. While on the bumpy slope, those who halt their steps will fall into predicament. When sailing against the current, those who stop the boat are bound to fall behind. Stepping on the new journey, XCMG, teeming with boundless vitality and energy, is determined to face up to more arduous missions and challenges. Today, XCMG, without diverting its attention, is straining its muscles to reach the zenith of the world construction machinery industry, in order to further highlight its presence in China core industries, heighten its reputation in the global market, and enlarge its influence to a large extent. All in all, XCMG is endeavoring to become the most sophisticated and competitive representative in China equipment manufacturing industry.
