Excavator sales continued to decline in May, highlighting the steady economic growth pressure      

After six months of market phenomenon, the expected "micro stimulation" policy did not show the expected effect, the construction machinery industry is far from picking up, many dealers said that the demand situation in the second half is not optimistic. Excavator sales are slowing down further.

After 3 and April, China excavator sales fell sharply by 7.8%, 20.2%, May data is to make everyone surprised: the chain fell nearly 40%, down 30% over the same period last year. As an important tool for the construction of mining excavators, its bleak sales data also reflects the downward trend of fixed asset investment growth, which reflects the pressure behind the steady economic growth.

Excavator is one of the important parts of construction machinery equipment. The downstream industries of construction machinery include new housing construction, railway infrastructure investment, mining industry investment, etc., the demand for real estate for construction machinery accounts for 55%, the railway infrastructure demand accounts for about 35%, and the demand for mining industry accounts for about 10%.

From more than a year of data, the excavator sales and fixed asset investment growth also showed relatively strong positive correlation.

At the beginning of last year, sales of excavators were not large. Since March, with the convening of the two sessions of China and the commencement of various projects, the sales volume of excavators rose once, and then entered a relatively low season. By November, sales of excavators rose with the introduction of relevant national favorable policies. In addition, in 2013, a significant change in the sales of all types of excavators, that is suitable for urban and rural construction of small excavators sales have been significantly improved.

And this year, excavator sales in the first 1 and February showed a strong growth, but in March the demand fell back to a weak level, 4 and May is a sharp decline. Similarly, in the first quarter of this year, fixed asset investment grew year on year to 17.6%, compared with last year's 19.6% year-on-year growth rate, there has been a certain degree of decline. 4 and May, there is still not much stimulus plan, 1~4 month fixed asset investment growth continued to decline, an increase of only 17.3%.

According to the first quarter of this year GDP data, fixed asset investment accounted for GDP ratio of 53%. As the excavator sales and fixed asset investment before showing a strong positive correlation, so when the excavator sales situation is not good, the pressure of economic growth will be highlighted.

After the announcement of GDP in the first quarter, the government has repeatedly stated that the economy is still in a reasonable range of operation, maintaining a good situation. The State Council has repeatedly referred to steady growth, although there is no large-scale stimulus plan, but this year the government has carried out micro stimulation in many fields, there are directional monetary policy "water"".

In front of the cruel excavator sales data, facing the economic downward pressure, I believe the government can find a balance in maintaining growth and stable employment, to achieve good economic transformation and upgrading. It is gratifying to note that the price index has been relatively stable since the beginning of this year, and the unemployment rate remained at a low level of 4.08% in the first quarter.

In the future development, construction machinery need to actively adjust the development mode, improve marketing ability and service ability, looking for new direction of development.