Following decline in the market this year, LiuGong chairman says a turnaround is imminent
The Chinese construction-equipment market saw a steep decline this year but is forecast to rebound in 2017, according to manufacturer LiuGong.
“I think we are very close to the bottom of the market in China. It may drop a little next year but then it will pick up. The problem is that the machine population is very high,” LiuGong Group chairman Zeng Guang’an told KHL International.
The executive said however that some smaller companies in the industry may drop out of the market.
“I believe some companies will move out of the industry. The strong companies will get stronger and the weak companies will get weaker,” he was reported as saying.
In response to the present sales slowdown in China, a priority for LiuGong is to build its overseas business, Guang’an added.
Europe will be a key focus over the next year as the company looks to build on its acquisition of Polish dozer maker Dressta, he said.