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SANY to usher in its Turning Point in Overseas Business

March 13, 2019

Construction machinery has been in great demand since the beginning of this year. Chinese construction machinery enterprises tried their best to keep production lines in full operation but still face surging demands.

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"Although the production capacity of China's construction machinery enterprises has been greatly promoted, it is still hard to meet the market's demands," said Wang Jinxing, deputy secretary general of China Construction Machinery Association (CCMA). As China increases the investment in the infrastructure construction, construction machinery enterprises see more market opportunities. How to enhance the capacity to manufacture more machines to meet the market's needs is a challenge that Chinese construction machinery enterprises need to face.
SANY, as the leading enterprise in the industry, also faces the same situation.
Pu Mingjun, a director of the assembly line for SANY's Truck-mounted Concrete Pump, said that SANY has operated two assembly lines for Concrete Pump machinery manufacturing to meet clients' purchasing demands, but it still has 360 ordered machines waiting for delivery. "Our monthly production capacity is up to 450 machines, which is still far behind to meet clients' needs," he added.
Chen Jing, a SANY's senior executive noted that SANY's revenue increased by 30 percent in the first quarter of the year 2018 and the profit doubled, which is an outcome of the improvements of per capita benefit and internal management dividend. SANY will take more efforts in the improvements of informatization and efficiency, especially in clients' customization, flexible production and information upgrading for research and development.
Intelligent manufacturing is a trend in construction machinery industry. Advanced manufacturing technology and high-end products have become SANY's core competitiveness when it faces the global competition.
According to the statistics of CCMA, from January to June of 2018, China has sold 8,895 Excavators to overseas countries, a year-on-year growth of 110.5 percent. In June, the export sales of Excavators was 1,723 units, an increase of 143.7 percent over the same period of last year. With the recovery of the construction machinery industry, SANY's global strategy has showed encouraging signs that the company may usher in a turning point of its global business in 2018.
"SANY's overseas business has been growing steadily. The company's overseas sales of last year was about 15 billion yuan, and it will be over 20 billion yuan this year. Thanks to the Belt and Road Initiative, nearly 70 percent of SANY's overseas sales come from the Belt and Road related countries," Chen said.

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