Excavator sales have declined for three consecutive months, and industry insiders say the market is too large

Economic Observation Network reporter Li Zichen On the evening of July 6, statistics from the China Construction Machinery Industry Association showed that in June 2021, the sales of excavators of 26 mainstream domestic excavators were 23,100 units, down 6.19% year-on-year; among them, domestic sales were 16,965 units, down 21.9% year-on-year; export sales were 6,135 units, an increase of 111% year-on-year. This is the third consecutive month of year-on-year decline in monthly sales of excavators.

From January to June 2021, 26 mainstream excavator manufacturers in China sold a total of 223833 excavators, an increase of 31.3% year-on-year; of which 193,700 units were domestic, an increase of 24.3% year-on-year; exports were 30,133 units, an increase of 107% year-on-year.

The historical extreme of monthly sales of excavators occurred in March this year. According to the statistics of the above-mentioned associations, this figure is 79,035 units, achieving a year-on-year increase of 60%, and the sales volume in the month even exceeded the sales volume of 2016 (70,320 units). Among them, the domestic market sales volume of 72977 units, an increase of 56.6% year-on-year; export sales of 6058 units, an increase of 116.5% year-on-year.

In late March this year, the domestic excavator industry once reported that the market was out of stock, and the relevant person from the excavator business department of XCMG Group told the Economic Observation Network that the market situation was indeed very good at that time, but they felt that the market intention began to decline, the peak passed, and the market ownership was too large.

In April 2021, 26 excavator manufacturing enterprises in China manufactured and sold 41,100 excavators in China, down 5.2% year-on-year. Compared with March, it fell sharply by 48.0%. In May, it continued to decline sharply year-on-year.

From the perspective of industry sales law, March has always been the peak sales season for excavators, but the sales volume of the month is still far beyond expectations. Industry analysis believes that behind the hot market is the result of multiple factors such as infrastructure demand, environmental protection policy upgrades, environmental protection operation requirements, and machine substitution labor.