SHANGHAI (Reuters) - China’s strong construction machinery sales are expected to continue until at least early next year but could be hobbled by any slowdown in Beijing’s recent infrastructure investment drive, industry executives said.
XCMG Construction Machinery told Reuters its sales in China had jumped by over 20% this year versus 2019, although overseas sales have been hit by the global spread of the virus.
Overall, the industry is expected to see a 15% or more year-on-year jump in China sales this year, according to consultancy Off-Highway Research, which had previously forecast sales to fall 8% prior to the COVID-19 outbreak.
Rosy sales in China have not necessarily translated to profit jumps for equipment manufacturers, as a more players join a lingering price war, he added.
“Competition in China is very fierce, the prices for some standard products have fallen to levels where they can’t really go any lower anymore,” XCMG’s Wang said.
Japan’s Komatsu, ”, Wang Min, Shi Yang, Rosy, XCMG’s Wang
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SHANGHAI, China, U.S