According to statistics from the China Construction Machinery Industry Association on the major manufacturers of flat machines, 859 flat machines of various types were sold in June 2024, an increase of 46.6% year-on-year, of which 102 were sold domestically, a decrease of 0.97% year-on-year, and 757 were exported, an increase of 56.7% year-on-year.

The latest data of the 'Excavator Index' jointly released by Sany Heavy Industry Group and Shugeng Internet on July 17 showed that the start-up rate of construction machinery equipment has shown signs of rebounding in China.

Sales of construction machinery products, represented by excavators, have achieved three consecutive months of positive growth. Among them, overseas market has become a new important growth point for the construction machinery industry.

China International Capital Corporation's research report pointed out that the downstream demand and investment intensity are generally weak, and the demand for the midstream machinery industry is in a weak state of repair.

Looking ahead, China International Capital Corporation recommends structural opportunities, including the long-term growth opportunities brought by replacing and supplementing ship and rail transit demand, the demand for energy and mining equipment driven by resource prices, the demand for specialized equipment brought by new technological changes, and the long-term export growth opportunities brought by the increase of China's overseas market share.

Soochow Securities pointed out that looking forward to the second half of the year, the improvement of domestic downstream infrastructure investment, coupled with the upward demand for updates, the domestic sales of construction machinery are clearly turning upwards, and it is expected to initiate a new round of upward cycle.

Companies related to construction machinery include:

Zoomlion (01157), Lonking (03339), First Tractor (00038), Sany Int'l (00631), Zhengzhou Coal Mining Machinery Group (00564), Sinotruk (03808), Weichai Power (02338), etc.