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According to the forecast revision by Off-Highway Research, sales of construction equipment in China could increase by 14% this year. Although the previous forecast shows that sales will fall by 8% due to the impact of Covid-19, now it seems that the stimulus measures granted will reverse this trend.
Sales earth moving and road construction equipment in China are expected to a total of 418,180 units this year, up from 368,115 in 2019, after previously forecasting that 2019 will be the highest point of the current cycle and that sales will fall to 337,700 units in 2020. China has recovered from the pandemic faster than most countries, so in March sales of Chinese excavators reached record levels, according to data provided by the China Construction Machinery Association.
“The recovery in the equipment market is due to investments made to limit the impact of the epidemic on the economy as a whole” (…) “The government has adopted policies to increase investment, but also to issue special local bonds. Although in the first two months of the year many construction projects were suspended, in March they reappeared along with many new schemes. ” Chris Sleight, CEO of Off-Highway Research Sleight added that another factor that determined the current market boom was the number of old equipment that was nearing the end of its life and needed to be replaced, as well as stricter environmental regulations.
Source: https://traficmedia.ro/vanzarile-de-utilaje-de-constructii-din-china-vor-creste-cu-14/
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