South Korea’s Doosan Infracore Co.’s excavator sales in China are on a sharp rise, riding on heavy infrastructure investment projects led by the Beijing government.
According to Chinese construction equipment industry association sources on Tuesday, Doosan Infracore sold a total of 1,701 excavators in China in March, selling 700 more units compared to the same month last year. Sales in the first quarter doubled from a year-ago period to 3,198 units.
The spike in excavator sales in China benefits from Beijing government’s infrastructure projects that have started in full gear. The country that introduced New Silk Road Project with an ambition to connect Asia to Europe through infrastructure rebuilding across Asia has launched road, railway, and other pork-barrel projects.
In sync with the massive state-led infrastructure projects, the total excavator sales in China jumped to 20,587 units in March from last year’s monthly average of 5,000 units. The demand for excavators in China is expected to grow even faster and hit 40,000 units in the first quarter, doubling that of a year-ago period. Industry watchers predict nearly 90,000 excavators would be sold in China this year.
Doosan Infracore sold 22,093 excavators in China in 2010 alone but had seen its excavator sales falling steadily since then. It sold 3,526 units in 2015, 6,905 units in 2014, and 8,218 units in 2013.
By Moon Ji-woong
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