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Also blowing policy warm air, engineering machinery can fly?

March 09, 2023
Premier Wen Jiabao proposed at the executive meeting of the State Council a few days ago that “Intensify support for the protection of affordable housing and rural dilapidated housing, and promote the implementation of major projects under the 12th Five-Year Plan on schedule”. This is like a warm wind. The construction machinery industry felt a slight warmth. According to the author's analysis, the meeting sent a clear signal: We must implement the overall tone of steady progress, adhere to the implementation of a proactive fiscal policy and a prudent monetary policy, and place steady growth on a more important position.

The executive meeting of the State Council proposed to increase the credit allocation for the state’s key projects under construction and continuing projects, promote the implementation of major projects under the “Twelfth Five-Year Plan” on schedule, start a batch of projects that are related to the overall situation and have strong stimuli; strengthen municipal projects and railways , energy conservation and environmental protection, informatization, rural and infrastructure construction in the western region, etc.; increased efforts to support affordable housing and rural dilapidated housing reconstruction and other work requirements.

It is understood that in the strong winds of "stabilizing growth" as a result of the national policy warming, all kinds of construction sites such as "Tie Gongji" across the country have slowly been opened. Then, in this process, the main force involved in the construction work. - Can construction machinery take advantage of the wind?

The rapid progress of major projects The feasibility study reports and project proposals for airport construction projects in Fuyuan, Heilongjiang, Xinjiang, Shihezi, Qingyang, Gansu and Chongqing Jiangbei were approved by the Basic Industry Division of the National Development and Reform Commission. This was approved by the National Development and Reform Commission in March. Haikou, Haikou, China A batch of airport construction projects have been approved once again since the project proposal for the second phase of the Lanzhou International Airport expansion project and the feasibility study report for the new airport construction project for the Kaili Huang civilians in Guizhou.

Li Jiaxiang, director of the State Civil Aviation Administration, revealed on March 4 that 17 local airports will be built this year. Apart from local funds, 20 billion yuan of civil aviation construction funds will be guaranteed each year.

Between 2005 and 2010, China’s civil aviation company invested a total of RMB 250 billion in facilities construction, which is approximately the sum of capital for civil aviation construction during the previous 25 years. In the past five years, China has newly built 33 airports, bringing the total number of airports in the country to 175. However, Li Jiaxiang stated that China’s airport construction is still far from enough. From the year of 2011 to 2016, China will build 56 new airports. By then, the number of airports in the country will reach more than 230.

Since the end of February this year, the speed of examination and approval of major domestic construction projects has accelerated markedly. Apart from airport construction projects, some expressway networks and rail transit projects have received centralized approval, and a number of key regional and key industry projects are gradually being introduced. In April, within one month, the NDRC approved a total of 328 projects, which is much higher than the 173 during the same period of last year. By May, project approvals have accelerated, of which only as many as 100 have been on May 21st. The project was approved.

According to reports, construction machinery, including shovel transportation machinery, lifting machinery, pumping machinery, piling machinery, road surface machinery, etc., is an indispensable construction equipment for various construction projects. Looking back in 2009, 4 trillion yuan of investment in pulling construction machinery out of a wave of magnificent market, and now with another batch of financial funds in place, from May to June, the infrastructure investment represented by airports, railways, highways, etc. The growth rate is expected to pick up quickly. Construction machinery may once again rise in the wind.

According to the data of the hot upgrade of water conservancy construction, the national water conservancy investment will reach 345.2 billion yuan in 2011, and the average annual water conservancy investment will reach 400 billion yuan in the next 10 years.

It is understood that in addition to the total investment of 1.8 trillion yuan in water conservancy during the "12th Five-Year Plan" period at the national level, the investment in water conservancy in many provinces will also exceed 100 billion yuan in the next few years -

Fujian Province has proposed a 20 billion yuan water conservancy investment target for 10 years. It has also set up a water conservancy investment group and plans to raise 50 billion yuan in 10 years.

Guizhou has played a "back-end catch-up" water conservancy investment card. The province's total investment in water conservancy projects will be 200 billion yuan in the 10 years between 2011 and 2020, including 103.3 billion yuan during the "12th Five-Year Plan" period.

Shanxi decided to invest 100 billion yuan in five years to accelerate the construction of water conservancy projects led by Shanxi Dashui Network Project;

Liaoning Province, where frequent floods and droughts occur in history, plans to implement 6 major categories of 64 water conservancy projects over 20,000 during the “12th Five-Year Plan” period, arrange a total investment of 90 billion yuan, and has signed 40 billion with the National Development Bank. Yuan financial cooperation agreement.

Water conservancy construction will be accompanied by project construction. Therefore, in the next 10 years, the total investment of 400 billion yuan in water conservancy construction will directly drive the demand for construction machinery such as excavators, loaders, bulldozers, cranes, etc., along with the commencement of water conservancy projects. Construction machinery will also use this to open up another huge space for development.

Urbanization of Safeguard Houses Accelerates All-round Speed ​​The Ministry of Finance announced on May 24 that in order to support the regions in completing the task of adding 2.3 million public rental housing units in 2012, the Ministry of Housing and Urban-Rural Development recently issued a special subsidy for public rental housing in 2012. The capital is 66 billion yuan. The Ministry of Finance stated that the funds were earmarked for subsidizing public rental housing projects implemented by government organizations, including expenses such as investment subsidies, loan interest subsidy, and capital of government investment projects.

In addition to the 31.7 billion central government special funds previously allocated to support urban shanty towns and low-rent housing construction, the special fund for guaranteeing housing projects is close to 100 billion yuan.

For many years, the real estate market has always been the "main battlefield" for construction machinery products, especially concrete equipment, earth and stone machinery, and pile-working machinery. Its demand can even account for 30% to 40% of annual product sales. In the past few years, the booming real estate industry has made great contributions to the rapid growth of the construction machinery industry. Today, the Central Government has invested large amounts in the construction of affordable housing, and the construction machinery industry may usher in a new round of development opportunities.

In the past 30 years, China has taken a road of rapid urbanization. By 2011, China’s urbanization rate has exceeded 50% to reach 51.27%, but even so, China’s urbanization is still very high compared with developed countries. Big gap. By 2020, the level of urbanization in China will strive to reach around 60%.

According to relevant data, for every additional urban resident, the city needs to increase the investment in fixed assets by 500,000 yuan, and by increasing the urbanization rate by one percentage point, the rural population influx into the city will increase by 13 million (calculated by the population of 1.3 billion). Therefore, it will drive 6.6 trillion yuan of urban construction investment, so the investment in fixed assets brought about by the urbanization rate of less than 10% will be staggering.

The continuous and rapid advancement of the urbanization process will surely provide a long-term and stable driving force for the development of the construction machinery industry.

Market rebound is not far away Since the second half of last year, the Chinese construction machinery market has been in a relatively sensitive period of integration. Despite the news of warming, the current market situation is still grim, and the specific period of recovery is not clear. In this turbulent economic and political situation both at home and abroad, China is still a “place of enjoyment” in the eyes of many foreign companies. Caterpillar Rilavin once said that to win the world must win together with China! As a result, Caterpillar, Sandvik, and Case have all increased their investment in China; CIFA, Putzmeister, and Schwing have all taken their orders to China, and the world’s concrete machinery has only since then become the leader of China’s horses. All indications are that China Construction machinery began its rise on the world stage.

At the same time, in the words of Premier Wen Jiabao's “keeping the economy stable and rapid development,” infrastructure investments such as railways and airports have been revived. As an important measure that has historically been considered as a stable economic fluctuation, the construction of affordable housing in infrastructure is obviously the The highlights of the recovery of infrastructure construction are those that are closely related to the construction machinery market. According to a survey conducted by the China Construction Machinery Business Network, the “stable growth” policy warm-up has been clearly reflected in the industry’s stock market for the first time. Statistics show that 13 major construction machinery stocks actively bought more than 10 million yuan worth of stocks in May, and from the May rise or fall, there were 12 stocks out of 14 stocks, accounting for 85.7%.

Although from the data, the sales situation of the construction machinery industry in May is still unsatisfactory, but I believe that as the policy is gradually transferred to place, "major public funds" and other large-scale infrastructure investment in an all-round warmer, construction machinery will gradually recover, turning point is expected Appeared in June, and the point of significant improvement is expected to occur in the first half of next year.
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