Construction Machinery Industry Has a Long Way to Go, Facing a Serious Challenge
Construction Machinery Industry Has a Long Way to Go, Facing a Serious Challenge
Half of the year 2014 has went by, the construction machinery industry seeks for development confronted with serious challenges. The whole performance of the market in the last half year was not satisfying and it will face great stress to improve in the following half year. In conclusion, the construction machinery industry still has a long way to go.
In the early year, some reports showed that some advanced manufactures adopted the selling policies including reducing price, extending the warranties as well as the low-down-payment, showing the tendency of excessive competition, which disrupted the market order, added the running risk of the whole industry and influenced the stable, reasonable and orderly development of construction machinery industry in China. It reflects the fierce competition and disordered state of the whole industry from one aspect.
Influenced by the market downturn, some enterprises employ unreasonable running and selling policies to continue to stand in the market, which brings more attack to the market and makes it more difficult for the companies to go back to normal operation.
It is said that currently,the incomes of some enterprises continue to decline and the cost to increase.They have difficulty in the funds flow and their interest tend to decrease.The running state of parts of enterprises is not in proportion to their scale, bringing to general high expenses. What’s more, the costs increase quickly, generating the gap between the running cost and the income.
Currently, the transformation of the structure aimed at stimulating the development is the key point of the healthy development of the construction machinery industry.The upgrade of emission standard and development of the relevant technology are also of great importance.
In the past half year, the construction machinery industry developed slowly; in the following half year, relevant staffs should ,make advantage of favorable factors to promote the transformation and upgrading, thus making the construction machinery industry develops stably and healthily.