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Mining machinery enterprises should accelerate the space of upgrading products to high-end

2/24/2012 8:23:38 PM

China mining machinery industry grew a lot in 2011. But compared with the successive decades of rapid growth, the main economic indicators were in the overall fall. The profit growth was lower than the sales growth in 2011.

The reasons were as follows: first, it was related to the machinery products prices, the oversupply and market saturation resulted in the slow growth. Second, the production costs continued to increase. With the continuous development of society, the limited raw material prices were also rising, water and electricity prices were getting higher and higher, all of those greatly increased the costs of production. The rising product prices made the growth rate of enterprise orders decreased significantly. The surveyed statistics of key companies in machinery industry showed that the growth rate of total orders had dropped to 6% in the end of this year, which was significantly lower than the level of above 30% at the same period of last year. The shortage of orders was further exacerbating the contradictions of oversupply. Third, the overcapacity led to the oversupply of some products, which was also contributed to the sliding of industry margins. 

In the context that the slowdown of domestic demand becomes the main constraints of the industry running, the imports are still large, and the import growth is still so strong, which only shows that the domestic supply is still not meet the various needs. Through the foreign trade surplus of China machinery industry achieved $12.4 billion in 2011; the surplus is mainly due to the low-end processing trade in the industrial chain. The competitiveness of our country is mainly embodied in the cost-effective advantages of low-end products. There is still a huge gap with the world advanced level. 

How to deal with these problems? To speed up the adjustment of industrial structure is the only way to fundamentally relieving the declining of industry margins and increasing the market demand. First of all the mining machinery enterprises should accelerate the space of upgrading products to high-end. For example, in the broken machines, we should research and upgrade new type jaw crusher, ball mill and others. Second, the machinery industrial enterprises should be consciously committed to improving the ability of independent innovation and market share in the high-end equipments, committed to improving the quality and brand reputation of hot-sale products, devoted to improve the energy efficiency level of the products, worked to the development of modern manufacturing services, in order to better provide equipment support for all user industries to change the development mode., Last but not least , the mining enterprises should make great efforts in personnel training. Only in this way the innovation could have an inexhaustible power.

 

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