The core parts and components have been competitive for many years, and the development of domestic engineering machinery has suffered from "card neck"
“The key components are subject to people and swallowed profits.†Chang Zheng, director of the International Affairs Department of the Asian Manufacturing Association, said in an interview that the domestic construction machinery industry still needs a large number of imports including hydraulic components, engines, control components and transmission systems. The core and key components inside.
Essence Securities industry researchers said that domestic companies have to bear the high pricing power of the accessory suppliers and the supply restrictions of the parts suppliers.
Excavator core parts cost over 40%
Hydraulic parts and engines are the two largest components of construction machinery. The cost of these two types can be as high as 30%-50%. Taking excavators as an example, among the various costs of composing excavators, only the core components consisting of hydraulic system and engine account for 42% of the cost of an excavator.
The hydraulic originals that mainly rely on imports have become the “profit killers†of domestic construction machinery enterprises. Huatai United Securities Research reported that the imported hydraulic components are so expensive that they “eat 70% of profitsâ€.
Not only that, foreign companies have a particularly long lead time for Chinese companies. For example, the supply cycle of Rexroth in Germany is 88 weeks, which means that Chinese companies need to decide their own purchases of hydraulic products one and a half years in advance.
According to the data, foreign brands occupy more than 70% of the market share of domestic excavator hydraulic cylinders. Foreign suppliers rely on this market monopoly position to formulate “overlord clauses†from time to time. In addition to requiring domestic construction machinery enterprises to order in advance, they even put The delivery time of domestic enterprise orders is extended. As early as 5 years ago, the People’s Daily reported that in the second half of 2007, due to the inability to supply overseas parts and components, Zoomlion and Sany Heavy Industries had to re-adjust their production schedules and production plans.
Today, we can still see the constraints of key components on the development of the domestic construction machinery industry from the "12th Five-Year Development Plan" of the construction machinery industry. According to the "Planning", the key supporting components of domestic engineering machinery involving high-tech and high value-added mainly rely on imports, with an average price of more than 80,000 US dollars per ton. For example, transmission components, control components, diesel engines and key hydraulic components are severely in short supply. The contrast with the structural shortage is strong, which seriously restricts the development of Chinese construction machinery to high-end technology products.
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