China's agricultural machinery to carry out the international development of the road

Recently, news about foreign famous agricultural machinery companies entering the Chinese market has frequently appeared in newspapers.

According to the "Heilongjiang Daily" on May 26, the world's top 500 companies, Kes New Holland and Harbin Economic Development Zone formally signed a contract, and decided to invest in building a new agricultural machinery production line based on Case New Holland's Harbin Company in Harbin Industrial New City. It is expected to be completed by the end of this year. It is reported that after the project is completed and put into production, it can annually produce 1,000 high-powered tractors and 600 bundling machines. It is estimated that the sales revenue will be 1 billion yuan and the profits and taxes will be 100 million yuan.

On April 7th, at the Jiangsu Agricultural Machinery Exhibition, the American AGCO Group held a China Development Strategy Information Conference, announcing that AGCO has established wholly-owned production bases in Changzhou, Jiangsu and Daqing, Heilongjiang.

Since then, foreign large-scale agricultural machinery companies have been put in place in China. Currently, in China, Deere has four factories, New Holland has two factories, AGCO plans to build two factories (also holding Shandong Dafeng), Ma Hengda has two factories, and Japan’s Kubota, Yanmar, and Izumi. In addition, Zhuhai built a production base in Jiangsu, South Korea’s International and Datong established a factory in Anhui, and Lexing, Maschio, and Reken planned to set up factories in Shandong. According to the statistics of the author, at present, there are more than 20 famous foreign agricultural machinery brands in China that are wholly owned or jointly established. There are also some foreign companies that are understanding the Chinese agricultural machinery market and have plans to invest in China. In addition to establishing a production base, some foreign companies already have products suitable for the Chinese market, ranging from complete machines to parts, products from large to small, and complete categories, such as Deere's introduction of small and medium sized tractors and rice harvesters developed for the Chinese market; The company not only produces whole machines but also produces parts and components, supplying both overseas and domestic companies.

In fact, in the past few years, the domestic agricultural machinery companies have also been exploring the path of internationalization. In March this year, the French company McCormick was successfully acquired by China Yituo Group, which is the Group's sixth overseas subsidiary. The strategic goal of determining a new round of development is to become an international company that is among the top six in the world's agricultural equipment industry, has independent intellectual property rights and strong comprehensive competitiveness, and is highly respected by society. .

Under the goal of the globalization strategy, Foton Lovol Heavy Industries will continue to build a full-value chain promotion capability by adhering to the business expansion path based on content growth. At present, Foton Lovol has established more than 300 marketing service channels worldwide, and has basically formed a global marketing network that covers the global target market of “sales, service, parts supply, user training and information feedback”.

However, compared with the international agricultural machinery giants' collective competition in the domestic market, the overall pace of internationalization of the domestic agricultural machinery industry is relatively slow, and it is obviously prepared and coped with. At present, most companies still only stay or meet the point of product export, and the market is mainly concentrated in the middle and below developed countries.

Recently, the first industry plan released by the Ministry of Industry and Information Technology ("Agricultural Machinery Industry Development Plan (2011-2015)" addresses the international market share of agricultural machinery products in China, analyzes the international agricultural machinery market, and proposes the development of internationalization of the agricultural machinery industry. aims. The first is the target of industrial scale, that is, by 2015, the total value of the agricultural machinery industry will reach 400 billion yuan, and the export trade volume will reach 12 billion US dollars, accounting for 20% of the total industry sales. In 2010, the agricultural machinery industry completed a total industrial output value of 2838 100 million yuan, of which 6.6 billion US dollars is exported, accounting for about 15% of the total output value. Second, the capacity of technological innovation in the agricultural machinery industry has been significantly enhanced, and new products developed have reached the international advanced level in the same period. The products provided can basically satisfy the strategy of safeguarding China's grain production safety and the needs of agricultural modernization, and become the world's largest and most powerful country in agricultural equipment manufacturing. The third is to expand the international cooperation in the agricultural machinery industry and actively implement the "going out" strategy.

“It is short-sighted to slow down in the internationalization field. Chinese companies must firmly pull out and must advance to the upper reaches of the industry to have a real way out.” To borrow a word from TCL President Li Dongsheng, encourage the agricultural machinery companies to go To go out, we must insist on going out. The internationalization of China's agricultural machinery industry has a long way to go.

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