China Agricultural Machinery Industry Report, 2006-2007
The year 2006 witnessed a fast growth in China agricultural machinery industry, and the gross industrial output value of agricultural machinery enterprises (excluding agricultural diesel engine and agricultural pump) stood at RMB131.67 billion, with a year-on-year rise of 23.54%.
Agricultural machinery industry experienced a rapid growth in 2006, large-medium tractors and harvesting machinery grew up by 54.1% and 88.7% respectively. Moreover, the yield of rice transplanters doubled and that of rotary tiller, cultivation machine and conservation tillage machinery grew fast as well. However, there was a slow growth for the yield of small-sized tractors, up 2.5% compared to the same period last year, all of which shows that adjusting and optimizing the structure of agricultural machinery has achieved an obvious result. In the meanwhile, the quality and security of agricultural machinery have been greatly improved and after-sale services significantly bettered.
The Year 2006 saw the prosperous sales of agricultural machinery in domestic markets, and the production/sale ratio was up to 97% or more. By region, the markets in the central region and west region started up early and grew rapidly. There is a fast growth for large-medium tractors and combine harvesters in Shandong, Henan, Hubei, Jiangsu, Anhui provinces and Xinjiang Autonomous Region. The sales of agricultural machinery in Shandong province in 1H2006 almost doubled. By category, there was a great demand in the market for medium-sized tractor, head-feed combine harvester, rice transplanter and cultivation machine in South China; large-medium tractors and matching agricultural tools as well as rice field machinery in Northeastern Region of China; and large-medium tractors, combine harvesters and cultivation machinery in the Central China.
In 2006, 100-120 horsepower products were best distributed. The rapid development of large-and medium-horsepower tractors is also incentive to the demand for the matching agricultural machinery like corn combine and rice transplanter widely popularized in the market.
Due to the promising prospect of agricultural machinery industry, a great number of enterprises are marching into this field. Up to now, there have been more than thirty Large- and medium-horsepower tractor producers in China. The excessive production capacity of low-end products led to the fierce competition among enterprises, bringing a negative influence on the agricultural machinery industry. The 2007 national subsidy for purchasing agricultural machinery climbs to RMB 1.2 billion, of which RMB 91 million will be assigned to cultivation regions directly affiliated to the Central Government.
As for the issues of rural economy, rural development and rural demography, the Opinions of the Central Committee of the CPC and The State Council Concerning Several Policies on Promoting the Increase of Farmers’ Income on February 8th 2004; the Opinions of the Central Committee of the CPC and the State Council Concerning Several Policies on Strengthening Rural Work for the Improvement of Agricultural Comprehensive Production Capacity on January 30th 2005; and the Several Opinions of Central Party Committee and State Council on Promoting the Construction of a New Socialist Countryside on February 21st 2006. This shows Chinese Government attaches great importance to the rural issues.
It is mentioned in the Several Opinions of Central Party Committee and State Council on Promoting the Construction of a New Socialist Countryside that efforts should be made to promote the mechanization of the agriculture; to improve the mechanical operation level in major grain producing regions; and to encourage the utilization of energy-saving agricultural machinery and processing equipment, etc., which is undoubtedly conducive to the rapid development of China agricultural machinery industry in the long run.
Agricultural machinery industry experienced a rapid growth in 2006, large-medium tractors and harvesting machinery grew up by 54.1% and 88.7% respectively. Moreover, the yield of rice transplanters doubled and that of rotary tiller, cultivation machine and conservation tillage machinery grew fast as well. However, there was a slow growth for the yield of small-sized tractors, up 2.5% compared to the same period last year, all of which shows that adjusting and optimizing the structure of agricultural machinery has achieved an obvious result. In the meanwhile, the quality and security of agricultural machinery have been greatly improved and after-sale services significantly bettered.
The Year 2006 saw the prosperous sales of agricultural machinery in domestic markets, and the production/sale ratio was up to 97% or more. By region, the markets in the central region and west region started up early and grew rapidly. There is a fast growth for large-medium tractors and combine harvesters in Shandong, Henan, Hubei, Jiangsu, Anhui provinces and Xinjiang Autonomous Region. The sales of agricultural machinery in Shandong province in 1H2006 almost doubled. By category, there was a great demand in the market for medium-sized tractor, head-feed combine harvester, rice transplanter and cultivation machine in South China; large-medium tractors and matching agricultural tools as well as rice field machinery in Northeastern Region of China; and large-medium tractors, combine harvesters and cultivation machinery in the Central China.
In 2006, 100-120 horsepower products were best distributed. The rapid development of large-and medium-horsepower tractors is also incentive to the demand for the matching agricultural machinery like corn combine and rice transplanter widely popularized in the market.
Due to the promising prospect of agricultural machinery industry, a great number of enterprises are marching into this field. Up to now, there have been more than thirty Large- and medium-horsepower tractor producers in China. The excessive production capacity of low-end products led to the fierce competition among enterprises, bringing a negative influence on the agricultural machinery industry. The 2007 national subsidy for purchasing agricultural machinery climbs to RMB 1.2 billion, of which RMB 91 million will be assigned to cultivation regions directly affiliated to the Central Government.
As for the issues of rural economy, rural development and rural demography, the Opinions of the Central Committee of the CPC and The State Council Concerning Several Policies on Promoting the Increase of Farmers’ Income on February 8th 2004; the Opinions of the Central Committee of the CPC and the State Council Concerning Several Policies on Strengthening Rural Work for the Improvement of Agricultural Comprehensive Production Capacity on January 30th 2005; and the Several Opinions of Central Party Committee and State Council on Promoting the Construction of a New Socialist Countryside on February 21st 2006. This shows Chinese Government attaches great importance to the rural issues.
It is mentioned in the Several Opinions of Central Party Committee and State Council on Promoting the Construction of a New Socialist Countryside that efforts should be made to promote the mechanization of the agriculture; to improve the mechanical operation level in major grain producing regions; and to encourage the utilization of energy-saving agricultural machinery and processing equipment, etc., which is undoubtedly conducive to the rapid development of China agricultural machinery industry in the long run.
1. Operation of Agricultural Machinery Industry, 2006
1.1 Market Environments
1.1.1 Economic Trend and Climate Index Conducive to Agricultural Machinery Industry
1.1.2 Influences of Upstream Industries on Agricultural Machinery Industry
1.1.3 Promotion of Agricultural Output Value due to State Agriculture-aiding Policies and Fiscal Support
1.1.4 Trend of Utilizing Technologies for Value Creation in the Industry
1.1.5 Gradually Steady Growth of Machinery Industry
1.2 Market Situation
1.2.1 Supply and Growth of Agricultural Machinery
1.2.2 Changes in the Launch of Key Agricultural Machinery
1.2.3 Sales Volume and Demand of Agricultural Machinery
1.2.4 Product Composition and Regional Distribution
1.2.5 Demand & Supply Analysis of Agricultural Machinery Market
1.3 Operating results
1.3.1 Sales Revenue and Profits (Losses) of Agricultural Machinery Industry
1.3.2 Growth for Economic Benefits of Agricultural Machinery Industry
1.3.3 Competitive Performance of Agricultural Machinery Enterprises of Varied Scale
1.3.4 Competitive Performance of Agricultural Machinery Enterprises of Varied Ownership
1.4 Financial Results
1.4.1 Operating Capability and Growth of Agricultural Machinery Industry
1.4.2 Solvency of Agricultural Machinery Industry
1.4.3 Industrial Capital Access (or Expansion)
2. Development of China Agricultural Machinery Industry: Challenges and Reforms
2.1 Development of Global Agricultural Machinery Industry and Market Appraisal
2.1.1 The Global Agriculture being towards Mechanization in Recent Years
2.1.2 Development of Agricultural Machinery Industry in U.K and its Market Features
2.1.3 Development of Agricultural Machinery Industry in Japan and Product Demand Structure
2.1.4 New Fields of Agricultural Machinery in America
2.1.5 Great Demand of Most ASEAN Countries for Agricultural Machinery
2.2 Key Factors for the Development of China Agricultural Machinery Industry
2.2.1 Production Capacity and Technical Development Trend
2.2.2 Agricultural Development Orientation and the Increasing Output Value Expand the Demand for Agricultural Machinery
2.2.3 Current Development of Related Industries and the Influences on Agricultural Machinery Industry
2.3 Appraisal of Current Development of China Agricultural Machinery Industry
2.4 Development Trend of China Agricultural Machinery Industry
3. Development of China Agricultural Machinery Industry: Regional Comparison
3.1 Shandong Province
3.1.1 Product Supply and Sales
3.1.2 Distribution Layout and Competition of Enterprises
3.1.3 Competitive Advantages
3.1.4 Focused Problems and Development Prospect
3.2 Anhui Province
3.3 Liaoning Province
...
3.4 Jilin Province
3.5 Jiangsu Province
3.6 Zhejiang Province
3.7 Other Regions and Competition Analysis
4. Agricultural Machinery Industry in 2007 and Study on Key Product Development
4.1 Study on the Demand & Supply of Agricultural Machinery
4.1.1 Supply Structure and Trend of Agricultural Machinery, 2007
4.1.2 Demand Structure and Trend of Agricultural Machinery, 2007
4.1.3 Development Trend of Agricultural Machinery Enterprises of Varied Scale, 2007
4.1.4 Output Value and Profitability of Agricultural Machinery, 2007
4.1.5 Downstream Customer Development and Potential Demand, 2007
4.2 Machinery for Field Infrastructure Construction
4.3 Harvesting Machinery
4.4 Farm Operation Machinery
4.5 Field Cultivation, Planting and Management Machinery
4.6 Agricultural Transport Machinery
5. Forecasted Market Demand of Agricultural Machinery Industry, 2007
5.1 Forecast and Analysis of Market Environments, 2007
5.2 Quantitative Forecast of Market Demand, 2007
5.3 Forecasted Consumption of Agricultural Machinery in Regional Markets, 2007
5.3.1 North China
5.3.2 East China
5.3.3 South China
5.3.4 West China
6. Analysis of Operation and Competition of Well-known Enterprises
6.1 Major Agricultural Machinery Manufacturers
6.2 Shandong Foton Heavy Industries Co., Ltd.
6.2.1 Operation & Sales
6.2.2 Profitability
6.2.3 Competitive Advantages
6.3 Beiqi Foton Motor Co., Ltd.
6.4 Weifang Disel Engine Manufacturing Co., Ltd.
6.5 Sichuan Agricultural Machinery
6.6 Shandong Haihua Group Co., Ltd. (SHG)
7. Investment Opportunities and Risks of Agricultural Machinery Industry
7.1 Investment Opportunities
7.2 Investment Focus
7.3 Market Access Risks
Tables/Figures
Price Indices of Agricultural Production Materials, 2006
Production Price Index of Farm Produce, 2006
Climate Index of Macro-economy and Corporate Boom, 2006
Supply and Growth of Agricultural Machinery, 2006
Yields of Main Segmented Products of Agricultural Machinery Industry
Sales Volume of Agricultural Machinery, 2006
Composition of Agricultural Machinery in Demand and Regional Distribution
Sales Income and Profits (Losses) of Agricultural Machinery Industry
Product Supply of Agricultural Machinery in Different Regions, 2006
Product Sales of Agricultural Machinery in Different Regions, 2006
The Growth for Economic Benefits of Agricultural Machinery Industry
Main Economic Indicators of Agricultural Machinery Industry
Agricultural Machinery Yield of United Kingdom and the Demand
Product Demand Structure of Japanese Agricultural Machinery Industry
Production and Sales of Major Agricultural Machinery Manufacturers
The Supply and Sales of Agricultural Machinery in Shandong Province
The Supply and Sales of Agricultural Machinery in Anhui Province
The Supply and Sales of Agricultural Machinery in Liaoning Province
The Supply and Sales of Agricultural Machinery in Jilin Province
The Supply and Sales of Agricultural Machinery in Jiangsu Province
The Supply and Sales of Agricultural Machinery in Zhejiang Province
Supply Structure and Trend of Agricultural Machinery in Recent Years
Demand Structure and Trend of Agricultural Machinery in Recent Years
Economic Benefits and Development Trend of Agricultural Machinery Enterprises of Varied Scale
Development Trend of Output Value and Profitability of Agricultural Machinery
Supply Trend of Harvesting Machinery
Consumption Trend of Farm Operation Machinery
Forecasted Demand of Agricultural Transport Machinery, 2007
Forecast of Production Capacity of China Agricultural Machinery Industry, 2007
Forecasted Demand of China Agricultural Machinery Industry, 2007
Output Value of Major Agricultural Machinery Manufacturers
Product Structure of Shandong Foton Heavy Industries Co., Ltd
Major Financial Indicators of Shandong Foton Heavy Industries Co., Ltd
Statistical Sales of Beiqi Foton Motor Co., Ltd
Major Financial Indicators of Beiqi Foton Motor Co., Ltd
Sales of Weifang Disel Engine Manufacturing Co., Ltd
Sales of Sichuan Agricultural Machinery
Major Financial Indicators of Sichuan Agricultural Machinery
Profitability Indices of Shandong Haihua Group Co., Ltd. (SHG)
Growing Trend of Agricultural Machinery Industry
1.1 Market Environments
1.1.1 Economic Trend and Climate Index Conducive to Agricultural Machinery Industry
1.1.2 Influences of Upstream Industries on Agricultural Machinery Industry
1.1.3 Promotion of Agricultural Output Value due to State Agriculture-aiding Policies and Fiscal Support
1.1.4 Trend of Utilizing Technologies for Value Creation in the Industry
1.1.5 Gradually Steady Growth of Machinery Industry
1.2 Market Situation
1.2.1 Supply and Growth of Agricultural Machinery
1.2.2 Changes in the Launch of Key Agricultural Machinery
1.2.3 Sales Volume and Demand of Agricultural Machinery
1.2.4 Product Composition and Regional Distribution
1.2.5 Demand & Supply Analysis of Agricultural Machinery Market
1.3 Operating results
1.3.1 Sales Revenue and Profits (Losses) of Agricultural Machinery Industry
1.3.2 Growth for Economic Benefits of Agricultural Machinery Industry
1.3.3 Competitive Performance of Agricultural Machinery Enterprises of Varied Scale
1.3.4 Competitive Performance of Agricultural Machinery Enterprises of Varied Ownership
1.4 Financial Results
1.4.1 Operating Capability and Growth of Agricultural Machinery Industry
1.4.2 Solvency of Agricultural Machinery Industry
1.4.3 Industrial Capital Access (or Expansion)
2. Development of China Agricultural Machinery Industry: Challenges and Reforms
2.1 Development of Global Agricultural Machinery Industry and Market Appraisal
2.1.1 The Global Agriculture being towards Mechanization in Recent Years
2.1.2 Development of Agricultural Machinery Industry in U.K and its Market Features
2.1.3 Development of Agricultural Machinery Industry in Japan and Product Demand Structure
2.1.4 New Fields of Agricultural Machinery in America
2.1.5 Great Demand of Most ASEAN Countries for Agricultural Machinery
2.2 Key Factors for the Development of China Agricultural Machinery Industry
2.2.1 Production Capacity and Technical Development Trend
2.2.2 Agricultural Development Orientation and the Increasing Output Value Expand the Demand for Agricultural Machinery
2.2.3 Current Development of Related Industries and the Influences on Agricultural Machinery Industry
2.3 Appraisal of Current Development of China Agricultural Machinery Industry
2.4 Development Trend of China Agricultural Machinery Industry
3. Development of China Agricultural Machinery Industry: Regional Comparison
3.1 Shandong Province
3.1.1 Product Supply and Sales
3.1.2 Distribution Layout and Competition of Enterprises
3.1.3 Competitive Advantages
3.1.4 Focused Problems and Development Prospect
3.2 Anhui Province
3.3 Liaoning Province
...
3.4 Jilin Province
3.5 Jiangsu Province
3.6 Zhejiang Province
3.7 Other Regions and Competition Analysis
4. Agricultural Machinery Industry in 2007 and Study on Key Product Development
4.1 Study on the Demand & Supply of Agricultural Machinery
4.1.1 Supply Structure and Trend of Agricultural Machinery, 2007
4.1.2 Demand Structure and Trend of Agricultural Machinery, 2007
4.1.3 Development Trend of Agricultural Machinery Enterprises of Varied Scale, 2007
4.1.4 Output Value and Profitability of Agricultural Machinery, 2007
4.1.5 Downstream Customer Development and Potential Demand, 2007
4.2 Machinery for Field Infrastructure Construction
4.3 Harvesting Machinery
4.4 Farm Operation Machinery
4.5 Field Cultivation, Planting and Management Machinery
4.6 Agricultural Transport Machinery
5. Forecasted Market Demand of Agricultural Machinery Industry, 2007
5.1 Forecast and Analysis of Market Environments, 2007
5.2 Quantitative Forecast of Market Demand, 2007
5.3 Forecasted Consumption of Agricultural Machinery in Regional Markets, 2007
5.3.1 North China
5.3.2 East China
5.3.3 South China
5.3.4 West China
6. Analysis of Operation and Competition of Well-known Enterprises
6.1 Major Agricultural Machinery Manufacturers
6.2 Shandong Foton Heavy Industries Co., Ltd.
6.2.1 Operation & Sales
6.2.2 Profitability
6.2.3 Competitive Advantages
6.3 Beiqi Foton Motor Co., Ltd.
6.4 Weifang Disel Engine Manufacturing Co., Ltd.
6.5 Sichuan Agricultural Machinery
6.6 Shandong Haihua Group Co., Ltd. (SHG)
7. Investment Opportunities and Risks of Agricultural Machinery Industry
7.1 Investment Opportunities
7.2 Investment Focus
7.3 Market Access Risks
Tables/Figures
Price Indices of Agricultural Production Materials, 2006
Production Price Index of Farm Produce, 2006
Climate Index of Macro-economy and Corporate Boom, 2006
Supply and Growth of Agricultural Machinery, 2006
Yields of Main Segmented Products of Agricultural Machinery Industry
Sales Volume of Agricultural Machinery, 2006
Composition of Agricultural Machinery in Demand and Regional Distribution
Sales Income and Profits (Losses) of Agricultural Machinery Industry
Product Supply of Agricultural Machinery in Different Regions, 2006
Product Sales of Agricultural Machinery in Different Regions, 2006
The Growth for Economic Benefits of Agricultural Machinery Industry
Main Economic Indicators of Agricultural Machinery Industry
Agricultural Machinery Yield of United Kingdom and the Demand
Product Demand Structure of Japanese Agricultural Machinery Industry
Production and Sales of Major Agricultural Machinery Manufacturers
The Supply and Sales of Agricultural Machinery in Shandong Province
The Supply and Sales of Agricultural Machinery in Anhui Province
The Supply and Sales of Agricultural Machinery in Liaoning Province
The Supply and Sales of Agricultural Machinery in Jilin Province
The Supply and Sales of Agricultural Machinery in Jiangsu Province
The Supply and Sales of Agricultural Machinery in Zhejiang Province
Supply Structure and Trend of Agricultural Machinery in Recent Years
Demand Structure and Trend of Agricultural Machinery in Recent Years
Economic Benefits and Development Trend of Agricultural Machinery Enterprises of Varied Scale
Development Trend of Output Value and Profitability of Agricultural Machinery
Supply Trend of Harvesting Machinery
Consumption Trend of Farm Operation Machinery
Forecasted Demand of Agricultural Transport Machinery, 2007
Forecast of Production Capacity of China Agricultural Machinery Industry, 2007
Forecasted Demand of China Agricultural Machinery Industry, 2007
Output Value of Major Agricultural Machinery Manufacturers
Product Structure of Shandong Foton Heavy Industries Co., Ltd
Major Financial Indicators of Shandong Foton Heavy Industries Co., Ltd
Statistical Sales of Beiqi Foton Motor Co., Ltd
Major Financial Indicators of Beiqi Foton Motor Co., Ltd
Sales of Weifang Disel Engine Manufacturing Co., Ltd
Sales of Sichuan Agricultural Machinery
Major Financial Indicators of Sichuan Agricultural Machinery
Profitability Indices of Shandong Haihua Group Co., Ltd. (SHG)
Growing Trend of Agricultural Machinery Industry
