Views: 1 Author: PEAK Publish Time: 2023-11-23 Origin: Original
Objectively speaking, there is no market that only rises without falling, nor are there products that make a steady profit without losing. There are specific reasons for the rise, while there are superimposed factors for the fall. The phased downturn faced by the agricultural machinery market is the result of a combination of various unfavorable factors.
The pace of industrial upgrading is slow. High quality industrial resources are difficult to coordinate, inefficient industrial resources cannot exit, and agricultural machinery enterprises face the dual test of adjusting industrial stock and increasing cultivation.
One is that there are more and more agricultural machinery manufacturing enterprises, with duplicate manufacturing resources. There are nearly 2000 large-scale agricultural machinery enterprises in China, with dozens of small and micro enterprises competing fiercely in the region where leading agricultural machinery enterprises are located, and new faces join every year. The downward pressure on the industry continues to increase, and the contradiction of overcapacity is further reflected.
The second is the lack of industrial transformation and upgrading. Raw materials continue to rise, product prices decline, and the development model is difficult to sustain. The manufacturing capacity of high-end products is insufficient, and mid to low end products lack intellectual property protection, resulting in serious homogenization. According to statistics, the proportion of high-end agricultural machinery products in China is far less than 5%, while the remaining 90% or more are composed of homogeneous low-end products. Industrial resource conflict, on the one hand, faces the inability to leverage strategic resources and the difficulty of effectively withdrawing low-end resources; On the other hand, there is a lack of strategic positioning, and with the increasing call for the switch between the fourth and fifth national levels, enterprises are finding it difficult to make new manufacturing resource investments.
Thirdly, there is a lack of innovation ability. Insufficient innovation ability has become a "soft rib" in the development of agricultural machinery enterprises, with R&D investment of less than 2%, far below the level of multinational corporations. The profit of agricultural machinery enterprises has decreased, making it difficult to continuously increase investment in high-end agricultural machinery product research and development; From the perspective of the manufacturing industry, the number and skills of frontline technical workers in agricultural machinery enterprises cannot fully meet the needs of industrial transformation and upgrading, and the proportion of medium to senior skilled workers is significantly low.
Delayed user demand. Some regions have seen a decrease in user income from homework and an increase in machine purchase costs, which has constrained users' purchase of machines.
One is a decrease in operating income. The ownership of leading products such as large and medium-sized tractors and harvesting machinery in China has been increasing year by year, and demand in some regions is approaching saturation. The competition for field operation prices is fierce and competitive, making it difficult to ensure the profitability of agricultural machinery operation.
The second is the decrease in revenue for planting users. With the price adjustment of corn and rice grain crops, some users lack complete agricultural equipment for planting feed crops, and the low prices of economic crops such as watermelon and vegetables have significantly weakened their purchasing power.
Thirdly, the cost of purchasing machines has increased. The national subsidy policy has been adjusted, and the subsidy amount for some individual models has been reduced year by year, with some models even exceeding the annual operating income of users. The manufacturing cost of the fourth national product has increased, and the sales price has also increased simultaneously. At the same time, some users have a wait-and-see attitude towards the fourth national product, which has delayed the demand for complete machine purchases. Some regional users hope to directly purchase high-end products, but due to the higher price of the products compared to mid to low end products, there is a lack of special and superimposed purchase subsidy support, which has temporarily postponed the purchase demand.
