"Nihon Keizai Shimbun" pays attention to Sany: Chinese machinery giants accelerate overseas layout

Reference News Network reported on October 30 According to a report by Nihon Keizai Shimbun on October 29, Chinese construction machinery giant Sany Heavy Industry began to focus on overseas business. On the 28th, Sany Heavy Industry Co., Ltd. was listed on the Hong Kong Stock Exchange, successfully raising about HK$13.4 billion (HK$1 is about 0.91 yuan - note on this website), which will be used to improve the overseas sales network and production system in the future. In the context of fierce domestic competition, Sany Heavy Industry is committed to expanding its market in Asia and Africa to achieve renewed growth.

Xiang Wenbo, rotating chairman of Sany Group and chairman of Sany Heavy Industry, said at the listing ceremony that the listing of Sany Heavy Industry on the Hong Kong stock market is a historic opportunity to open up broader international financing channels and embrace a larger international market.

In 2003, Sany Heavy Industry was listed on the Shanghai Stock Exchange, and this listing in Hong Kong is a dual-platform listing. The closing price on the first day was up 3% from the issue price. Of the funds raised, 45% will be invested in the construction of the global sales network, 25% will be used for R&D and innovation, and 20% will be used to improve overseas manufacturing capabilities.

The company plans to expand sales channels in Europe, Asia and Africa, and also plans to build production bases in some emerging markets.

The predecessor of Sany Group was a private welding factory born in Changsha, Hunan Province in 1989, and successfully achieved mass production of domestic concrete conveying pump trucks in the 90s of the 20th century, officially entering the construction machinery industry. The Group's business coversConcrete pump truck, excavators and other products, and continue to increase sales by virtue of price advantages.

In 2002, Sany Heavy Industry became one of the first Chinese construction machinery manufacturers engaged in export business. In 2012, Sany Heavy Industry acquired the German concrete pump truck leader Putzmeister. At present, Sany has set up factories in the United States, Germany and other places, and its products are sold to more than 150 countries and regions. In 2024, it achieved revenue of RMB78.3 billion, an increase of nearly 6% over the previous year. Sales growth in overseas markets such as Africa and Asia drove total revenue growth.

As China promotes the upgrading of large-scale equipment from 2024, the domestic market is showing signs of stabilization. Industry data shows that domestic excavator sales will reach 200,000 units in 2024, achieving the first increase in three years.

According to the report, Sany Heavy Industry seeks to break through in overseas markets, but still faces fierce competition. The company has entered the United States, the world's largest construction machinery market, but faces trade barriers such as tariffs on Chinese products.

Xiang Wenbo said in an interview with Chinese media on the 11th, "We want to go in the direction of high-end and differentiation", expressing his willingness to strengthen R&D investment. (Compilation/Liu Lin)

Source: Reference News, Nihon Keizai Shimbun