Posted on 12 Jan 2023
Chinese sales of excavators to both domestic and overseas customers during December dropped by 29.8% on year to 16,869 units, according to the latest data released by the China Construction Machinery Association (CCMA) on January 11. Total sales were also lower by 28.8% from November.
The CCMA survey among the country's 26 major excavator producers showed their domestic sales last month totaled 6,151 units, plunging by 60.1% on year or 57.3% on month.
Part of the reason for the drop last month was the fact that starting December 1, China's central government had banned both the production and sales of non-road motor machinery including excavators and loaders whose exhaust emissions fail to meet the latest Stage IV standards, as reported.
Most customers in need of excavators had bought machines complying with Stage III standards during the past few months before the ban took effect, mainly because such excavators were priced to clear, a Shanghai-based analyst said. This resulted in poor sales last month in the domestic market.
Besides, the government's shift in COVID-containment measures last month had caused the surge in confirmed cases of the virus, which had affected the machinery industry as it had many other manufacturing sectors, he added.
In contrast, during last month, China's excavator sales to overseas buyers surged by 24.4% on year to 10,718 units, the CCMA data showed.
Throughout 2022, total excavator sales inside and outside China added up to 26,1346 units, falling by 23.8% on year. Among the total, domestic sales accounted for 58.1% or 151,889 units, slumping by 44.6% on year, the CCMA data showed.
On the other hand, China's excavator exports soared by 59.8% on year to 109,457 units during 2022, the CCMA data indicated.
As for loaders, another key item of construction machinery, domestic sales of these among the 22 manufacturers under CCMA's tracking slipped by 18.3% on year to 5,162 units in December. The total domestic sales throughout 2022 declined by 24% on year to 80,894 units.
Source:Mysteel Global
