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The entire sales profit of the engineering machinery drops from 5.73% to 4.78% in 2000. Many of the enterprises have turned into foreign capital accessory manufacturing and OEM companies only for the sake of gaining processing charges.

It is showed in the statistics that during eight years since 2002, the sales scale of the engineering machinery (ore beneficiation)in China has augmented nearly four times than before—from 77.3 billion to 310 billion, the average annual growth rate is 24.4%. Thereinto, the year-on-year growth rate reaches up to 38%, in 2007, it is 37.2%.
Up to now, great investment of various enterprises is under way in full swing. On 20th May, China Railway Southern Equipment Manufacturing Base held a starting ceremony. It will invest 3 billion yuan on the following five giant projects: steel bridge structure, railway engineering machinery, marine engineering machinery, harbor engineering machinery as well as the wind power equipment etc. It is estimated that the project’s annual production value will reach 10 billion yuan from the initial investment in 2012 to 2014.
On 31st April, a famous shipbuilding enterprise in Jiangsu province—Rong’an heavy industry invested by the Rongsheng heavy industry held a discussion meeting in a high-profile manner, the general investment reaches 6 billion. There will be 30 thousand hydraulic excavators, 1 thousand track mounted cranes, 5 thousand tower cranes, 17.86 thousand crane trucks and 5 hundred rotary drilling rigs, becoming the largest engineering machinery manufacturing base in our country.
On the one hand, a surplus of the low-end production capacity exists in the domestic engineering market, thus the quality of the products is uneven, presenting a competition status of the unordered price reduction; on the other hand, the emergence of the import joint venture firms intensify the competition among the engineering machinery markets with high-technology content and high additional value. Meanwhile, some engineering machinery supporting hydraulic parts manufacturers expand the market one after another, which inevitably intensifies the degree of the market competition.
The future development of the engineering machinery relies on the structure optimization and independent innovation. At the same time, the merge and reorganization pace of the domestic machinery industrial enterprises should be accelerated, only in this way, problems like extensive development mode, huge but not strong industry as well as backward basic technology level etc in our machinery industries can be avoided.The entire sales profit of the engineering machinery drops from 5.73% to 4.78% in 2000. Many of the enterprises have turned into foreign capital accessory manufacturing and OEM companies only for the sake of gaining processing charges.

It is showed in the statistics that during eight years since 2002, the sales scale of the engineering machinery (ore beneficiation)in China has augmented nearly four times than before—from 77.3 billion to 310 billion, the average annual growth rate is 24.4%. Thereinto, the year-on-year growth rate reaches up to 38%, in 2007, it is 37.2%.
Up to now, great investment of various enterprises is under way in full swing. On 20th May, China Railway Southern Equipment Manufacturing Base held a starting ceremony. It will invest 3 billion yuan on the following five giant projects: steel bridge structure, railway engineering machinery, marine engineering machinery, harbor engineering machinery as well as the wind power equipment etc. It is estimated that the project’s annual production value will reach 10 billion yuan from the initial investment in 2012 to 2014.
On 31st April, a famous shipbuilding enterprise in Jiangsu province—Rong’an heavy industry invested by the Rongsheng heavy industry held a discussion meeting in a high-profile manner, the general investment reaches 6 billion. There will be 30 thousand hydraulic excavators, 1 thousand track mounted cranes, 5 thousand tower cranes, 17.86 thousand crane trucks and 5 hundred rotary drilling rigs, becoming the largest engineering machinery manufacturing base in our country.
On the one hand, a surplus of the low-end production capacity exists in the domestic engineering market, thus the quality of the products is uneven, presenting a competition status of the unordered price reduction; on the other hand, the emergence of the import joint venture firms intensify the competition among the engineering machinery markets with high-technology content and high additional value. Meanwhile, some engineering machinery supporting hydraulic parts manufacturers expand the market one after another, which inevitably intensifies the degree of the market competition.
The future development of the engineering machinery relies on the structure optimization and independent innovation. At the same time, the merge and reorganization pace of the domestic machinery industrial enterprises should be accelerated, only in this way, problems like extensive development mode, huge but not strong industry as well as backward basic technology level etc in our machinery industries can be avoided.

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