The following is a speech by Su Zimeng, President of China Construction Machinery Association, at the BICES 2023 press Release and User Symposium.
Distinguished Guests, Comrades and Friends,
Good morning, everyone!
Today is the second day of the second lunar month, 212 days before the BICES 2023 exhibition in Beijing. On the second of the second lunar month, when the spring is full and everything is recovering and vibrant, we gather here in Beijing to jointly hold the BICES 2023 press release and user forum, closely combining national customs with modern life. Make us more splendid long culture, love the motherland more concerned with complex difficult situation is tested and stability for the construction machinery industry, the more inspired us to firm the confidence, hand in hand, shoulder to shoulder is innovative, energetic energy and use our wisdom and labor, for the engineering machinery industry to make new greater contribution to the development of high quality. At the same time, we sincerely invite leaders at all levels, industry colleagues, users and media friends to continue to support and actively participate in the Beijing BICES 2023 exhibition.
Thanks to your common concern and support, BICES in Beijing has gone through 34 years and will successfully hold its 16th session in September this year. Due to the impact of COVID-19, we did not hold BICES in 2021, but the pace of transformation, upgrading, innovation and development of enterprises in the industry has not slowed down. The construction of industrial chain and supply chain has been strengthened, and a series of new products, new technologies and new achievements that meet the needs of domestic and foreign users have been emerging, which have won recognition and praise from users, media friends and all sectors of society. Therefore, BICES 2023 in Beijing is more promising. On this important day, Our association is pleased to invite a number of key users of construction machinery from China Railway, China Railway Construction, China Construction Group, China Road and Bridge, China Civil Construction, Sinopec, Beijing Construction Engineering, Beijing Urban Construction, China Electric Power Construction Enterprise Association, China Chemical Construction Enterprise Association, China Metallurgical Construction Association and other relevant media friends to the meeting. We hope that you will continue to give in-depth guidance and enthusiastic help to our industry work and Beijing BICES 2023. Here, I would like to welcome all of you and thank you for your long-term support for the work of the Association and the BICES exhibition!
Today's event also marks that BICES 2023 has reached the stage of excellence and full implementation. We should earnestly perform our duties, work intensively and thoroughly, and do a good job in organizing exhibitors, users, visitors and exhibition operation, so as to ensure a complete success of the exhibition.
On behalf of the association, I would like to take this opportunity to report to you as follows:
I. Industry development situation in 2022 and trend outlook in 2023
(I) Review of the development of construction machinery industry in 2022
Since 2022, facing the severe and complex development situation, all enterprises in the construction machinery industry have fully implemented the decisions and arrangements of the CPC Central Committee, fully, accurately and comprehensively implemented the new development concepts, seriously faced the triple pressure of shrinking demand, supply impact and weakening expectations, actively responded to the changes in the domestic and foreign market environment, coordinated the epidemic prevention and control and industry development, and adhered to the principle of stability, seeking progress while maintaining stability. Adhering to the priority of development, adhering to the principle of seeking truth from facts, respecting laws, system concept and bottom line thinking, implementing the package of policies and follow-up measures of The State Council to stabilize the economy, working together to overcome difficulties, and striving for success, have made contributions to the steady operation, steady and long-term development of the industry.
1. Sales of main engineering machinery products.
According to the statistics of the key enterprise Express associated with the association, the sales of major products in the construction machinery industry decreased significantly in 2022 compared with 2021. The sales volume of excavators was 261,000 units, down 23.8% year on year, including 109,000 units exported, up 59.8% year on year, and 152,000 units sold in China, down 44.6% year on year. The sales of loaders were 123,000 units, down 12.2% year on year, including 42,500 units exported, up 24.9% year on year, and 80,900 units sold in China, down 24% year on year. Truck cranes 25,900 sets, down 47.2% year-on-year, including 5,504 export sets, up 73% year-on-year, domestic sales 20,400 sets, down 55.5% year-on-year; Industrial vehicles were 1.048 million units, down 4.68 percent year on year, among which 362,000 units were exported, up 14.5 percent year on year, and 686,000 units were sold domestically, down 12.4 percent year on year.
The products with an increase over 2021 are lifting platforms, wide-body vehicles, bulldozers and graders, among which the sales of lifting platforms in 2022 were 196,200 units, up 22.5 percent year on year, including 71,500 units exported, up 60.4 percent year on year, and 125,000 units sold domestically, up 7.91 percent year on year.
2. The competitive advantage in the international market continued to improve, and the export volume increased significantly.
Sorted out according to customs statistical data:
In 2022, China's import and export volume of construction machinery was 47.033 billion US dollars, up 24.6% year on year. Among them, the import amount was 2.731 billion US dollars, down 26.6% year on year; Exports amounted to 44.302 billion US dollars, up 30.2 percent year on year.
Full-year exports set a new record of $44.302 billion, on top of the record $34 billion in 2021. The net increase in exports was US $10.28 billion on top of US $13 billion in the previous year, bringing the two-year net increase to US $23.34 billion.
The export of high-tech construction machinery increased significantly, among which the export of crawler excavators increased by 65.8% year on year. Exports of wheeled excavators increased 53.3% year on year; The export of bulldozers with more than 320 horsepower increased by 87.8%; Off-highway mining dump truck exports increased by 78.6%; The export of all-pavement cranes over 100 tons increased by 66.6%; The export volume of truck cranes over 100 tons increased by 107.9%; Electric forklift exports increased by 76.6%.
Exports to major trading partners increased significantly, among which exports to Russia increased by 70.65%; Indonesia grew by 67.14%; Brazil grew 57.63%; Belgium 59.3 per cent; Saudi Arabia up 122%; South Africa grew by 52% and the United States by 29.8%; Australia up 35.6%; India grew 27.2 per cent.
3. The high-quality development of construction machinery industry has achieved positive results
In 2022, the whole industry will continue to implement the innovation-driven development strategy, adhere to the "four directions", accelerate the pace of independent innovation, strengthen industry-university-research and application cooperation, continue to accelerate the speed of digital transformation and intelligent upgrading, remarkable achievements in green development, upgrade and switch the National IV emission standards for non-road machinery as scheduled, popularize and apply a number of scientific research achievements, and further optimize the industrial chain and supply chain. New breakthroughs were made in the R&D and manufacturing of high-end parts and components, and major technologies and equipment continued to be put on the market, better meeting the needs of national infrastructure and major projects. The industrial base has been upgraded and the capacity to modernize the industrial chain has been significantly improved.
In a word, the construction machinery industry has weathered multiple tests in 2022, overcome the severe impact of the epidemic and triple pressures, and achieved stable development. Exports have played an outstanding supporting role in achieving continuous and substantial growth. Overall, the economy has performed in line with expectations for the whole year, which is commendable.
(2) Trend forecast of construction machinery industry in 2023
In January 2023, due to fluctuating factors such as holidays, epidemic and the implementation of national Phase 4 emission standards in December, the sales of major products of construction machinery were relatively low. Data for the first half of February show an improvement.
There are many factors conducive to the stable development of the construction machinery industry in 2023: China has won a major and decisive victory in epidemic prevention and control, the national macro-policy control is strengthened, the coordination and cooperation of various policies are improved, the real estate will gradually get out of the bottom, and the role of investment will be strengthened. Major projects and projects have been started successively; The economy will achieve a steady growth target, and the demand for construction machinery will be good. Generally speaking, the whole industry is expected to face a certain pressure in the first quarter of 2023, but as time goes by, the pressure will gradually ease, the annual domestic construction machinery market demand will be better than 2022; Exports are expected to remain at a high level, although they will face challenges due to base factors and increasing downward pressure on overseas economies. It is expected that the construction machinery industry will achieve effective improvement in quality and reasonable growth in quantity.
In 2023, the escalation of geopolitical conflicts will still threaten the recovery of global trade, inflationary expectations will continue, the game between major powers in key areas will intensify, developed economies will raise their demands for industrial chain security, the risk of world economic recession will rise, and the export of construction machinery will face certain uncertainties. The domestic economy is still faced with the triple pressure of shrinking demand, supply shock and weakening expectations. The construction machinery market in some areas still needs to be digested, and the industry will face both new opportunities for development and severe challenges.
Ii. Major work of the industry in 2023
We should fight against time to improve the economy, take high-quality development as the top priority and implement it into our specific work. We should strengthen confidence, work in unity, adhere to the general principle of seeking progress while maintaining stability, continue to deepen supply-side structural reform, seriously face and effectively respond to risks and challenges, take the initiative to respond to changes, and coordinate the whole industry to achieve effective improvement in quality and reasonable growth in quantity. To accelerate the construction of a modern industrial system and complete the year's development goals and tasks.
1. Further integrate industrial development with key projects and major needs, actively coordinate production and demand, and make industrial contributions to the building of a modern market system.
2. We will continue to strengthen investment in scientific and technological innovation and research, highlight the dominant position of enterprises, promote cooperation between enterprises, universities and research institutes, accelerate digital transformation and intelligent upgrading, promote human resources development, and strengthen weak links in industrial and supply chains. Speed up the improvement of basic capabilities including basic parts and components, industrial basic software, basic materials, basic manufacturing process and equipment, industrial technology and other basic capabilities. While actively applying new materials, new processes and new technologies, constantly improve the service capability and product quality of enterprises, strive to build world-class core competitiveness, and promote the high-quality development of the industry to a new level.
(3) To actively respond to the national dual-carbon development strategy, practice the concept of green and low-carbon development, orderly promote the electrification of construction machinery and the application of green manufacturing, green construction technology and equipment, and realize the dual-carbon development goals of the industry. It is necessary to speed up the establishment of an independent and controllable industry chain of new energy construction machinery and strive to realize synchronous development of the whole industry chain of new energy construction machinery. It is necessary to closely track and actively complete the follow-up work of the four-stage switching of emission standards for non-road construction machinery.
(4) Further strengthen international cooperation, constantly improve the competitive strength and international position of the construction machinery industry, continue to improve overseas business capabilities and overseas investment quality and efficiency, and promote the construction of first-class international construction machinery enterprises. We will expand the overseas application of high-quality domestic construction machinery, strengthen the resilience of the steady growth of the export of construction machinery, and strive to maintain the steady growth momentum of China's export of construction machinery.
(v) The Association will continue to strengthen the guidance of Party building, complete and consolidate the inspection rectification measures, further strengthen the system construction and scientific management, constantly improve the service capacity and level, actively promote the transformation of industrial momentum and the coordinated development of upstream and downstream of the industrial chain, large, small and medium-sized enterprises, and continue to track and feedback the implementation of various policies and measures in the industry-related fields. Timely put forward policies and suggestions conducive to the high-quality development of the industry, seriously reflect the demands of members and strive to help member enterprises solve problems.
(vi) Together with our partners and with your support, the Association will work hard to run the 16th China (Beijing) International Exhibition and Technical Exchange on Construction Machinery, Building Materials Machinery and Mining Machinery (BICES 2023). To build a high quality exhibition service platform and provide thoughtful services for the exhibitors and the vast number of users of technical progress, brand publicity and market communication.
