KOTRA Helps Expand Market for Chinese Construction Heavy Equipment

Online and Offline Consultation Event for 'Construction Heavy Equipment GP' Held in Changsha, China from 19th to 22nd

Visitors attending the '2019 Korea Industry Fair' held at KINTEX in Goyang, Gyeonggi Province, are examining heavy equipment from Doosan Infracore. Photo by Hyunmin Kim, Goyang kimhyun81@

[Asia Economy Reporter Kim Heung-soon] KOTRA announced on the 16th that it will hold the 'Construction Heavy Equipment Global Partnering (GP)' online and offline consultation meeting from the 19th to the 22nd in Changsha, Hunan Province, China. GP is a project that supports our small and medium-sized enterprises and mid-sized companies in establishing cooperative relationships with global companies and entering the global value chain (GVC) stably.

This consultation meeting, linked with the 2021 Changsha International Process Machinery Exhibition (CICEE), was prepared to help our companies enter the construction heavy equipment and parts market, where demand is rapidly increasing due to the Chinese government's large-scale infrastructure construction policy. Changsha is the center of the construction heavy equipment industry, accounting for about 30% of the entire process machinery market in China. Headquarters of global construction and special heavy equipment companies such as Sanyi Heavy Industry and Zhonglian Zhongke, as well as about 200 parts companies, are located in Changsha.

In this second exhibition, about 1,450 companies are expected to participate, an increase of about 30% compared to the first event. KOTRA will install and operate a joint sample exhibition hall for eight domestic manufacturing companies related to heavy equipment parts such as hydraulic devices and motors, selected through a prior demand survey. Buyers will visit the exhibition hall and conduct consultations online with domestic companies.

The Chinese construction heavy equipment market continues to show a significant upward trend despite COVID-19. Last year, the size of the Chinese construction heavy equipment market increased by 7% compared to the same period the previous year, surpassing 700 billion yuan (approximately 123 trillion won) for the first time. From January to March this year, excavator sales also grew by 85% year-on-year, reaching 113,000 units.

Kim Sang-mook, Head of KOTRA's Innovation Growth Headquarters, said, "We plan to actively support our companies' overseas market entry through the global partnering project using both online and offline methods."

This content was produced with the assistance of AI translation services.