China New Product Precision Turned Components - Machinery Manufacturing Transformation and Upgrading – Basile

Machinery Manufacturing Transformation and Upgrading

New-type urbanization construction brings opportunities for transformation and upgrading. The “National New Urbanization Plan (2014-2020)” shows that in terms of infrastructure, by 2020, my country’s ordinary railway network will cover cities with a population of more than 200,000, and the express railway network will basically cover cities with a population of more than 500,000; Covering county towns, national highways basically cover cities with a population of more than 200,000; civil aviation services should cover about 90% of the country’s population. 

In terms of public services, the state’s huge investment in basic public services, infrastructure implementation, and resources and environmental protection will drive investment demand for transportation, water supply, sewage treatment, urban domestic waste treatment, information infrastructure, and urban community comprehensive service facilities. In terms of housing construction, the investment in housing construction, which mainly focuses on the transfer of agricultural population and the transformation of urban shanty towns and urban villages, will maintain a certain scale. The vigorous implementation of new urbanization construction will bring good news to the construction machinery-based manufacturing industry, and there will be rare opportunities for the upgrading of product quality and the transformation of product types and models. In this context, it is a rare opportunity for the machinery manufacturing industry to take the road of transformation and upgrading.

The “One Belt, One Road” strategy brings potential for transformation and upgrading. The “Belt and Road” involves a large number of facilities construction, which will directly drive my country’s construction machinery industry. For example, construction projects such as railways, highways, ports, power grids, and oil and gas pipelines in Southeast Asia; the China-Jiangsu-Ukraine Railway, the second phase of the Zhongta Highway in Central Asia, and the C and D lines of the Central Asia Natural Gas Pipeline; 

The Sino-Russian East and West Lines in Northeast Asia Natural gas pipelines; China-Pakistan highways, nuclear power plants, industrial parks, etc. in South Asia all have a large demand for construction machinery products. For my country’s construction machinery industry, seizing the strategic opportunity of the “Belt and Road” and actively advancing in the direction of Southeast Asia, Central Asia and Northeast Asia will help break the current downturn in the machinery industry and bring huge development potential for transformation and upgrading.

The investment in science and technology brings vitality to the transformation and upgrading. In recent years, the construction machinery industry has been affected by the domestic and foreign economic environment, and the situation is relatively sluggish.

In this atmosphere, companies in the industry generally improve product performance and quality by increasing investment in technology and improving the technological content of products, so as to get rid of the dilemma of homogeneity, in order to take the initiative in the increasingly fierce market competition. This situation has objectively promoted the improvement of the technical level of my country’s construction machinery, and the competitiveness of self-owned brand enterprises has been enhanced.