The Russian market for road construction equipment has declined due to sanctions and rising prices for loans. Analysts believe that in the current situation, Chinese companies will not only replace the departed brands, but also push domestic factories. Russian suppliers are asking the Russian government for preferences.
The Russian market of road construction equipment (DST) is reduced by 12%, Kommersant writes.
This is happening against the background of the suspension of supplies of European and Japanese equipment (up to 95% in some segments) and the growth in sales of domestic DST in the domestic market (in the first six months of 2022 by 28% year-on-year, up to 30.6 billion rubles), reports ” Rosspetsmash.
However, the positive trend of domestic producers is supported only by old orders, and if compared with the end of the first quarter, growth slowed down (then sales grew by 39%, output – by 36%). Since March, the number of orders for the products of domestic factories has dropped sharply (compared to last year).
In six months, shipments of backhoe loaders fell by 47%, pipe-laying cranes and rollers by 34%. However, the segment of front loaders grew by 34%, excavators by 31%, mini-loaders by 15%, cranes and bulldozers by 6% and motor graders by 4%.
According to Russian Automotive Market Research, the production of special equipment in the Russian Federation decreased by almost 5%, to 26.4 thousand units of equipment (including ambulances, timber trucks, snowmobiles and other special equipment). In the red is the production of vehicles with hydraulic manipulators and loader cranes (by almost 9%, up to 988 units), excavators (by 19%, up to 983 units), rammers and self-propelled road rollers (by 35%, up to 117 vehicles), self-propelled graders (by 6%, up to 233 pieces). The production of self-propelled loaders (growth by 0.1%, up to 723 units) and bulldozers (growth by 0.2%, up to 568 units) is stable. The production of truck cranes slightly increased (growth by 2.3%, up to 1.3 thousand units).
If we consider the supply of foreign equipment, the market for front loaders decreased by 19%, backhoe loaders by 25%, wheeled excavators by 13% and motor graders by 12%. However, sales of caterpillar excavators increased by 28%, and loaders by 15%.
The share of European, American and Japanese brands is declining in favor of Chinese technology. Market participants are afraid of the expansion of products from the PRC, which can replace the departed companies and squeeze out domestic factories.
In this regard, manufacturers of Russian special equipment are asking the Government of the Russian Federation for additional preferences in the market, writes RBC.
At present, state-owned companies are considering the price of a domestic supplier at competitions with competition between Russian and foreign suppliers, as if he offered it 15% lower. If a company from the Russian Federation wins, the contract is signed at the offer price without taking into account the discount. When purchasing in the auction format and the victory of a foreign organization, the contract with it is signed with a 15% discount.
Now Russian manufacturers, represented by the Spetsavtoprom association, consider it necessary to oblige foreign suppliers to increase this discount for public procurement from 15% to 65%. The authorities are working on this issue.
Analysts believe that the overall slowdown in the purchase of new equipment is caused by uncertainty in the market, the high cost of loans and the expectation of a decrease in their price. Demand is expected to recover in the fall, as funding for infrastructure projects increases and lending rates fall.
