On December 8, Soochow Securities released a research report on the machinery and equipment industry. The report pointed out that the sales volume of excavators in November was +16% year-on-year, and the domestic market is expected to recover.

The specific contents of the report are as follows:

In November, the sales volume of excavators increased by 16% year-on-year, and the domestic market turned positive and the industry is expected to pick 

In November 2022, the sales volume of the excavator industry will be 23,680 units, a year-on-year increase of 16%, which is 25% lower than the previous CME forecast. Among them, the sales volume in the domestic market was 14,398 units, a year-on-year increase of 3%, which was lower than CME's previous expectation (+11%), and a quarter-on-quarter increase of 27%, showing a significant marginal improvement in sales. The export sales volume in a single month was 9282 units, a year-on-year increase of 44%, maintaining a high-speed growth. The sales volume of the industry continued to turn positive in November, mainly due to (1) the switching of the National IV standard in December 2022, OEMs clearing the inventory of the National III, and the price of the National IV equipment is higher, and users purchase machines in advance, (2) The globalization logic of domestic manufacturers is fulfilled , exports continued to be strong. From January to November 2022, the cumulative sales volume of the excavator industry was 244,477 units, a year-on-year decrease of 23%. Among them, the sales volume in the domestic market was 145,742 units, a year-on-year decrease of 44%; the export sales volume was 98,735 units, a year-on-year increase of 65%, accounting for 40% of the total sales volume. As the base declines, the growth rate of the industry is expected to maintain positive growth, and internationalization will become a bright spot in the future.

The domestic market is stabilizing, and globalization is entering a cashing period. The industry is expected to stabilize and recover in 2023