Sany Group crosses over into prefabricated buildings and wants to lay out the whole industrial chain

Press:Compared with the traditional building construction method, the construction speed of the prefabricated building site is fast and the progress is controllable.

(This article was published in the 42nd issue of China Economic Weekly in 2016) Hunan reports

Build a villa in 3 days, build a floor in 7 days, and assemble a bridge in 10 days; Compared with the traditional building construction method, it saves 70% energy, 80% of water, 70% of time, 20% of land and 20% of materials...... On October 13, the 15th China International Housing Industry and Building Industrialization Products and Equipment Expo was held in Beijing, and major domestic enterprises participated in the meeting, which was amazing.

Under the favorable policy situation, many enterprises have made efforts in the prefabricated building market, and even the equipment manufacturing industry has also entered the cross-border market. Has the prefabricated building, which has been promoted for decades, really ushered in spring?

"I've been dormant for 20 years, and I've waited for this opportunity"

2016 is regarded as a turning point for prefabricated buildings by many enterprises.

In February 2016, the Central Committee of the Communist Party of China and the State Council put forward the "Several Opinions on Further Strengthening the Management of Urban Planning and Construction": "Increase policy support and strive to use about 10 years to make prefabricated buildings account for 30% of new buildings." ”

Beijing, Shanghai, Anhui, Hunan and other local policies have also followed intensively. Gao Dongshan, deputy director of the Hunan Provincial Department of Housing and Urban-Rural Development, said that the production capacity of prefabricated buildings in Hunan has reached more than 20 million square meters, and by 2020, the proportion of prefabricated buildings in Hunan will reach 30%, and the Changzhutan area will reach 50% in 2020. Favorable policies have aroused the ambition of enterprises.

"Sany's goal is to build a whole industrial chain from prefabricated building process equipment, PC parts and components, EPC general contracting management, building development to real estate operation." Tang Xiuguo, president of Sany Group Co., Ltd. (hereinafter referred to as "Sany"), said.

Tang Fen, President of Yuanda Housing Industry Group Co., Ltd. (hereinafter referred to as "Yuanda Residential"), said, "Yuanda Residential, after 20 years of dormancy, finally waited for this opportunity. According to the analysis of the 2016 semi-annual report of Yuanda Residential, the "ceiling" of the construction industrialization industry has almost disappeared and will usher in a huge amount of market space. Expectations are bursting, and the market is hot.

The reporter of "China Economic Weekly" learned that many local governments and enterprises rushed to the top and stook their land.Trinity ConstructionLi Zhelong, project manager of the operation center, revealed, "At present, the average monthly salary of the team leader on the production line is between 10,000 and 15,000, and you can imagine how tight the talent is." Enterprises even robbed each other of people, and once all the production workers of one company were poached by competitors in a matter of days at higher prices. The advantages of prefabricated buildings are obvious.

The reporter of "China Economic Weekly" saw that in Sany Construction and Yuanda Residential, walls, doors, windows, and roofs have been produced on the assembly line. At Hunan Mingxiang Technology Co., Ltd., the entire bridge is prefabricated in the factory. Fast on-site construction speed and controllable progress are the distinctive characteristics of prefabricated buildings. Tang Fen introduced that using the superimposed prefabrication technology of Yuanda Residential, the construction of a section of the underground pipe gallery project of more than 40 meters on Laodong Road in Changsha City took only 5 days, which increased the project speed by 10 times.

Controllable quality is another advantage of prefabricated buildings. Ma Zhiqiang, director of Sany Construction Engineering Research Center, said, "We do it in the way of making construction machinery products. For example, to see how the house is more waterproof, do a comparative test, 24 hours of water, just like the fatigue test of an excavator in the proving ground. Such a R&D system and R&D ideas are completely different from the previous building construction. ”

In this way, the building accuracy of the house produced by Sany Construction can be controlled within 2 mm, the surface flatness deviation is less than 0.1%, and the tensile strength of the exterior wall bricks is increased by 9 times. "The old problems of hollowing and cracking walls are basically impossible." Ma Zhiqiang said.

Labor shortages have gradually made the traditional cast-in-place construction method unsustainable. Ma Zhiqiang told the China Economic Weekly, "This year, I went to a construction site to observe, almost all of them are workers over the age of 45, and the proportion of female workers is close to half, which shows that China's labor-intensive industries are extremely short of labor." "But the original work of 100 construction workers can be completed by 10 people in an industrialized way.

The cost is high, and the progress of prefabricated buildings has been slow in the past 20 years

Despite all the benefits and the fact that the current market seems to have reached a tipping point, the progress of prefabricated buildings over the past 20 years has been extremely slow.

For many years, high direct costs have been the fatal wound of prefabricated buildings. Tang Fen introduced that Yuanda Residential began to build a complete industrialized house in 1999, with a cost of 3,000 yuan per square meter. At that time, the housing price in Changsha was only more than 1,000 yuan per square meter. "This is a big obstacle to the market promotion of Yuanda's industrial buildings."

Li Zhelong has studied housing industrialization in China Metallurgical Group for many years. He introduced that according to the project calculation of MCC, if the structural prefabrication rate reaches 55% and all links are smoothly promoted, the direct cost per square meter will increase by about 200~250 yuan.

In addition to the relatively high direct costs, there are other obstacles in front of the prefabricated building. Fang Zhi, a professor at Hunan University's School of Civil Engineering, believes that the lack of a national standard system, including design standards, construction procedures, and acceptance specifications, is a major obstacle to the application of new technologies.

Gao Dongshan, deputy director of the Hunan Provincial Department of Housing and Urban-Rural Development, said that to increase demonstration applications, local standards, enterprise standards and industry standards can be established first, and then raised to higher standards. In this regard, the Hunan Provincial Department of Housing and Urban-Rural Development will give full support.

In addition, the inconsistency of local promotion policies, imperfect supporting policies, and difficulty in implementing incentive policies also lead to the difficulty of sustainable development of prefabricated buildings. A comparative data reveals the location of the new technology. As a leading enterprise of prefabricated construction in China, Yuanda Housing Co., Ltd. had an operating income of 1.761 billion yuan and a net profit of 170 million yuan in 2015. China's *5655 construction enterprise - China State Construction (601668. SH) achieved operating income of 880.58 billion yuan and net profit of 26.06 billion yuan in 2015. The difference between the two cannot be counted in the same way.

Government support, reduce costs, and scale up quickly

Tang Fen believes that only by quickly achieving scale can we greatly reduce costs and solve other problems. However, without government support, businesses alone cannot do this.

Shanghai is regarded as a benchmark for the development of prefabricated buildings. Shanghai's "Implementation Opinions on Promoting the Development of Prefabricated Buildings in the City", which has been implemented since January 1, 2015, stipulates that from 2016, all new civil buildings within the outer ring road should be prefabricated buildings, and more than 50% outside the outer ring road. If the prefabricated assembly rate reaches 40% or more, the subsidy is 100 yuan per square meter.

Another provision is more powerful: the project that voluntarily implements prefabricated buildings will be rewarded with a plot ratio of no more than 3%. "The housing price in Shanghai is tens of thousands of yuan per square meter, the floor area ratio has increased, and the saleable area has increased, so developers are of course willing to use prefabricated buildings." Li Zhelong said.

Stimulated, Shanghai's prefabricated building market has skyrocketed. According to the data of the Shanghai Municipal Commission of Housing and Urban-Rural Development, the implementation of prefabricated buildings in the city reached 3.12 million square meters in 2014, doubling compared with 2013; In 2015, nearly 6 million square meters of prefabricated buildings were implemented, and the average annual growth rate of prefabricated building production capacity exceeded 100%.

However, not every place is like Shanghai, and the policies and implementation are different from place to place. When the policy is driven by external forces, the industry leaders also pay attention to reducing product costs and gaining market competitiveness.

Sany is replicating its experience in the field of construction machinery, and its volume is expanding rapidly. In 2014, Sany acquired Zhongshan Kuaierju Company and quickly entered the field of construction industrialization equipment, and now occupies more than 40% of the market share of PC (prefabricated concrete) complete sets of equipment in China. In April 2015, the Ministry of Housing and Urban-Rural Development approved Sany and North China University of Technology and China State Construction to jointly build the Ministry of Housing and Urban-Rural Development's New Building Industrialization Integrated Construction Engineering Technology Research Center. In 2016, Sany invested in the establishment of a construction industrialization company in Kunshan, with a planned total investment of 6 billion yuan, and the long-term goal is to form a 10-billion-level construction industry cluster in Kunshan that radiates the Yangtze River Delta region.

Tang Xiuguo said that Sany's accumulated industrialization capacity in the field of equipment manufacturing has played a role, "within three years, construction industrialization will be able to surpass the traditional construction industry in terms of quality, cost and construction period." ”

Ma Zhiqiang introduced that in Sany, the mechanical design has already realized three-dimensional drawings, and the foundation in this regard is very strong. Sany Construction has introduced intelligent manufacturing technology, BIM management (building information modeling) throughout the whole process, and all digitalization from design, production to construction, which not only reduces the cost, but also reduces the risk of later construction.

In the fully prefabricated and assembled Yuanda beautiful house, Tang Fen told the reporter of China Economic Weekly that the technology of Yuanda Housing has developed to the sixth generation, and the high cost is no longer the weakness of Yuanda Housing, "In high-rise buildings, our direct cost has been the same as the traditional construction method, and the overall cost is lower than the traditional construction method." For underground engineering, the direct cost is reduced by 50%, because the indirect cost reduction brought by the advantages of fast construction and low maintenance cost is greater. Tang Fen revealed that at present, Yuanda has completed the technical reserves of the whole industry chain, and on this basis, it has begun to export its capabilities.

At the end of 2015, Yuanda Housing released the "Yuanda United" industrial cooperation plan, fully opened up the core resources such as brand, technology and management, and worked with more partners to do a good job in prefabricated buildings. "By the end of September 2016, the 'Yuanda Alliance' has landed in more than 30 cities, covering the Beijing-Tianjin-Hebei region, the Yangtze River Delta, the Central Plains Economic Zone, the Silk Road Economic Belt, the Pearl River Delta and other node cities." Tang Fen said that the goal of Yuanda Housing is to complete the layout by 2017, and achieve an overall production capacity of 100 million square meters, which will quickly form a large-scale. This is 5 times its current capacity.

Dialogue with Tang Xiuguo, President of Sany Group: Why do equipment manufacturing enterprises do construction?

China Economic Weekly: Many enterprises in the industry believe that 2016 is a turning point for prefabricated buildings, how do you view the development of prefabricated buildings?

Tang Xiuguo: The transformation and upgrading of China's construction industry to take the road of industrialization has won a broad consensus. The development of building industrialization needs to be supported by three major elements, one is systematic design, the second is industrial construction, and the third is factory manufacturing. Nearly 1,000 Grade A design institutes and nearly 10,000 first-class construction units in China have provided strong support for the first two elements of industrialized buildings, but a few prefabricated building manufacturing enterprises have become the shortcomings of China's development of industrialized buildings. For a manufacturing company like Sany, this is an opportunity.

China Economic Weekly: Sany's entry into the field of prefabricated buildings has attracted widespread attention in the industry.

Tang Xiuguo: Prefabricated buildings, also known as industrialized buildings, are the core of industrialization, and their level depends on the industrialization level of parts and modular manufacturing, which determines the benefit indicators of the entire prefabricated building.

Sany Group has been operating in the field of construction equipment for more than 20 years, and is the first enterprise in the construction industry that is good at manufacturing and understanding construction in the manufacturing industry. In 2014, Sany entered this field, became the leader of PC equipment in two years, and rapidly developed the whole industrial chain upstream and downstream, because we used industrialized thinking, copied the soft power in the field of engineering equipment, and provided strong support for the whole industrial chain of prefabricated buildings.

In the future, Sany Group will give full play to its own strengths, learn from the successful experience in the equipment manufacturing industry, make up for China's shortcomings in the field of parts and components and modular manufacturing, and promote the development of prefabricated buildings.