As China’s construction machinery industry continues to grow, more and more companies are already not satisfied with the development in the domestic market alone. How to seek greater development space in the international market is a major choice for many companies. In recent years, the share of exports in the sales of many companies has been greatly increased. However, overseas markets maintained solely by sales networks are not stable, and their ability to resist risks is not strong.

Therefore, how to better achieve direct communication with the target market is an in-depth consideration for the company. Especially for industry leaders, the transition to a global company has already been on the agenda. This includes not only the globalization of product sales and procurement of parts, but also the globalization of services, capital, and production.

How to integrate deeper into the global construction machinery market is one of the important issues that China's construction machinery enterprises must solve in the “Twelfth Five-Year Plan”.

The export business is worth looking forward to. In the current domestic market is not "to force", many companies have set their sights overseas. In the first half of 2011, China’s construction machinery products were exported to 198 countries or regions. In 22 countries and regions with export value of over US$100 million, the total exports amounted to US$4.367 billion, accounting for 84.13% of the total export value of construction machinery.

There were 6 countries with export value over US$200 million, of which US$601 million was US, up 64.65% year-on-year; India was US$367 million, up 48.59% year-on-year; Russian Federation was US$362 million, up 165.18% year-on-year; Japan was US$358 million, up year-on-year. The increase was 47.24%; Brazil was 329 million US dollars, up 62.93% year-on-year; South Korea was 232 million US dollars, up 43.88% year-on-year.

In addition, we must also pay attention to the fact that the increase in the import and export business of construction machinery parts and components in China is also very fast. In the first half of 2011, China’s export of construction machinery parts and components amounted to US$2.36 billion, an increase of 48.67% year-on-year, accounting for 35.65% of the total exports of construction machinery; parts and components imports were US$2.128 billion, an increase of 45.69% year-on-year, accounting for 40.99% of the total imports of construction machinery; The surplus of imports and exports of spare parts and components was 232 million U.S. dollars, accounting for 16.24% of the total surplus of imports and exports.

In terms of business, in 2011, Xugong, Zoomlion, Shantui, Dingsheng Tiangong and other host companies set a large export quota, in particular, XCMG, but also won the big bill of 4.842 billion yuan in one fell swoop, setting a record for the industry. This laid a solid foundation for the host companies to strengthen export confidence.

XCMG's Venezuela project has a total value of 4.842 billion yuan (equivalent to US$744.6 million) and relates to engineering cranes, shovels, road construction and maintenance machinery, road and compaction machinery, concrete machinery, piling machinery, heavy trucks and specialties. 6025 machines such as special vehicles. Regarding single orders, whether it is the order amount or the number of equipment, this project has created a precedent for China's construction machinery export and the world's construction machinery market. It also created an independent large-scale manufacturing enterprise group to undertake and independently execute large-scale engineering machinery export projects. The precedent.

However, we must cause everyone to attach sufficient importance to the fact that although the policy environment is promising, the overall situation of exports is not a good one. There are still many obstacles and difficulties that cannot be overcome on the way to exports. In particular, the product structure of local companies still needs to be further sorted out, and the core competitiveness is still lacking. This makes Chinese companies have no ability to compete equally with international giants in overseas markets.

The overseas deployment of leading enterprises “into Poland is another important measure for Liugong to realize its second domestic market strategy.” During the two sessions, Wang Xiaohua, chairman of Liugong, who is the deputy to the National People's Congress, said in an interview with this reporter that the acquisition HSW and Liugong acquired not only market, technology, production facilities, but also channels.

Once upon a time, the firestorms in the Chinese construction machinery market attracted many foreign-funded enterprises to participate in them. The expansion of these companies, without exception, was accompanied by the localization of production and sales. In addition to these enterprises, apart from producing only products with very small production volumes, the world's giant construction machinery companies have established joint ventures or wholly-owned manufacturing plants in China without exception.

The history of the development of these foreign-funded enterprises in China provides a good reference for the development of Chinese companies. Only by achieving localization of production can we better dominate the market. A Finnish user once told reporters that the reason why the Chinese construction machinery brand is difficult to open up in the European market, product quality is only one aspect, and the timeliness of services is a more critical issue. He said that if the same product is selected from local brands in Europe, the timeliness of the service will be guaranteed and the replacement cycle will be relatively short. However, at present, the service system of Chinese companies in Europe is not perfect, and it is difficult for them to accept longer service periods. The resulting high time cost.

In fact, Chinese companies have come a long way from many aspects through the globalization of kits procurement systems and increasingly internationalized management concepts. In Latin America, Eastern Europe, and the Middle East, where the demand for products is second only to Europe and the United States, the popularity of Chinese products continues to increase. However, how to solve problems that are closer to the local market has become particularly important.

Therefore, it is extremely urgent for powerful companies to deploy overseas. In 2008, Zoomlion acquired Italy's CIFA; Sany’s overseas presence has spread across four continents, with R&D and manufacturing bases in India, the United States, Germany, and Brazil; at the end of 2010, Liugong’s acquisition of the Polish HSW, coupled with its previous layout In India, Liugong’s “second local market” has already made a good second move... Besides, the overseas layout plans of Xugong, Xiagong, Shantui and other companies are also worth looking forward to. At present, relevant departments in China are also formulating relevant laws and regulations to make overseas investment more convenient.

The overseas financing curtain has opened up a large number of listed companies in the construction machinery industry, but only Longgong, which is listed overseas, has delayed the construction of some of its construction machinery businesses. In April 2010, Sany Heavy Industry took the lead to express its intention to raise over RMB 10 billion through the listing of H shares. On January 6, 2011, Zoomlion’s H-share over-allotment rights, with a total amount of 130 million shares, were fully exercised. They were ready to raise capital of HK$1.948 billion, plus the previously raised HK$13.033 billion, total H-share issuances raised by the company. It is estimated to be nearly 15 billion Hong Kong dollars, the highest since the world's construction machinery industry financing since 1998. After the reunification, Xugong Machinery, which has completed the issuance of more than three months of A-shares, announced on January 5 that it plans to list its H-shares. The issuance limit will be 20% of the company's total issued capital, and the distribution of 10 to send 10 shares will be distributed at 1.2 yuan. Program.

In September, XCMG and SANY announced successively the dates for the public offering, pricing and listing. The main reason is that the global economy has not shown an ideal environment. Under the successive attacks of the US debt crisis and the European debt crisis, the Hong Kong stocks are showing signs of weakness and they have struggled for a few months at a psychological level of 19,000 points. If rushed to market, the market reaction may lead to narrowing the range of offering prices, thereby reducing the size of the company's financing. However, even so, the three leading enterprises of construction machinery will never stop their overseas financing.

The top three sales in China's construction machinery industry all target the Hong Kong Stock Exchange. This is by no means a coincidence. It is a consensus reached when building a world-class construction machinery giant. H-share listing, for these companies, the most important feature is multi-channel financing. In fact, when Zoomlion launched the H-Shares listing plan, it was not more than half a year before its A-share offering was increased. The company’s appetite for funding of 5.6 billion has been much larger than expected. In fact, this is the same as the nature of companies relying on "walking on two legs" in both domestic and international markets. It only relies on domestic financing platforms, apparently it does not use multiple platforms for financing, and risks are small.

In addition, companies can use the financing platform for cross-regional resource integration. This will allow companies to have fast capital circulation and can support their overseas strategies more quickly. Taking Zoomlion as an example, it currently has listed financing platforms in six countries (or regions).

Another is to enhance the company's international reputation. Although these three companies have a certain reputation internationally, it must be admitted that this is far from the expectations of these companies. In many areas overseas, Chinese companies are still known for their cost-effectiveness. There is no particularly strong gap between Chinese companies, and the strength of individual brands is not strong enough. For companies building world-class engineering machinery giants, it is imminent to adopt a variety of ways to enhance the brand's international image. H-share listing is one of the most convenient channels.