Large numbers of infrastructure projects hit heavy trucks in 2019 or break million more sales

In 2018, the sales volume of heavy trucks in China reached 1.1479 million vehicles, breaking the sales volume record set by the heavy truck market in 2017. In the development history of heavy trucks in China, the sales volume exceeded 1 million vehicles in three years, reaching 1.01 million vehicles in 2010, 1.12 million vehicles in 2017 and 1.1479 million vehicles in 2018, respectively. In January 2019, the sales volume of heavy trucks reached 96,000 vehicles. Although the sales volume of heavy trucks decreased to a certain extent as compared with the same period last year, the market performance of heavy trucks in January 2019 is still remarkable due to the approaching Spring Festival and other factors, which can be said to have continued the upturn in sales volume of heavy trucks since November 2018 to a certain extent. Heavy truck sales are likely to grow further in 2019, and the heavy truck market is likely to be the only one of all auto segments that is experiencing positive growth in the overall depth of the 2019 auto market adjustment, Cao He, president of Allied Vehicle Investment Management (Beijing) Co., Ltd., told reporters. So, against the backdrop of record sales of heavy trucks in 2018, is it still possible for the 2019 heavy truck market to break the 2018 sales record? Cao He gave a positive answer. He believes the government will further increase investment in infrastructure and fixed assets in 2019 amid downward economic pressures and greater export uncertainty, and that the launching of a large number of infrastructure projects will have an immediate impact on heavy truck sales. Central Economic Workers, end of December 2018 The meeting stressed the need to strengthen infrastructure patch-ups, And proposed three main directions for infrastructure investment, respectively, to accelerate the pace of 5G business, strengthen artificial intelligence, the industrial Internet, the Internet of Things and other new infrastructure construction, increase intercity transport, logistics, municipal infrastructure and other investment efforts, complement the rural infrastructure and public service facilities construction board and so on. The construction of inter-city transportation, market infrastructure, rural infrastructure and public service facilities will strongly drive the growth of sales of dump trucks, while investment in the logistics industry will drive up the sales of tractors and trucks. 21 January 2019, Ning Jizhe, director of the National Bureau of Statistics, told a press conference held by the State Council's Xinxin Office: "Infrastructure is still an important area in which we can make up for our shortcomings. Strengthening infrastructure construction, especially in order to improve consumer environmental services, and carrying out the rural revitalization strategy and the regional development strategy are still relatively inadequate in order to fight the three major battles." Investment data are expected to be stronger this year than last, as policies continue to be developed and implemented. Industry analysts expect growth in infrastructure investment to rebound to around 10 per cent in 2019 from 3.8 per cent in 2018. From the history of heavy truck sales year, the impact of infrastructure investment on heavy truck sales can also be glimpsed. In September 2008, after the outbreak of the international financial crisis, China's economic growth slowed down rapidly. In November 2008, the Chinese government introduced ten measures to further expand domestic demand and promote steady and rapid economic growth. By the end of 2010, about RMB 4 trillion will be required to invest. After investing The sales volume of heavy trucks peaked at 1.01 million trucks in 2010. According to the usual 7-8 year scrap cycle of heavy trucks, there will be a tide of replacement of old heavy trucks from 2017 to 2018. At the same time, the three-year action plan for winning the defence of the blue sky calls for the elimination of more than 1 million medium and heavy trucks from the Fenwei Plain by the end of 2019 in Beijing, Tianjin, Hebei and surrounding areas, releasing a large amount of demand for heavy truck purchases. As a result, 2017 and 2018 ushered in the golden age of the heavy truck market. In the context of the current macro-economic slowing down pressure, infrastructure investment will further highlight the role of the bottom, and the resulting increase in heavy truck sales is also reasonable. Mainstream car companies set positive growth targets In terms of sales targets, mainstream car companies have set positive growth targets. In 2019, the sales volume of heavy trucks in the Liberation Plan reached 268,000 vehicles, up 2.68% year-on-year; Dongfeng Group aims to sell 277,000 heavy trucks in 2019, of which the sales volume of heavy trucks will increase significantly from 2018; SINOTRUK will climb its sales target of 200,000 vehicles on the basis of sales of 189,700 vehicles; Shaanxi Automobile, which sold 172,000 vehicles in 2018, will also sell 200,000 heavy trucks in 2019; SAIC Hongyan's sales volume of heavy trucks increased by 45% year-on-year to 58,000 vehicles in 2018, compared with a target of 70,000 vehicles in 2019; Valin sold 22,000 vehicles in 2018, up 16.2% year on year, and will sell more in 2019 The volume target is set at 28,000 vehicles, an increase of 27 per cent; Xugong sold 17,300 vehicles in 2018, up 34% year-on-year, and plans to sell 24,000 vehicles in 2019, up 38.7% year-on-year. In addition, Hongyan, which specializes in heavy dump trucks, made a good start in January 2019 with sales of more than 6,000 heavy trucks, indicating that the large number of infrastructure projects initiated in the fourth quarter of 2018 have had a positive impact on the heavy truck market, in particular on the sales of dump trucks. After the Spring Festival, all heavy truck companies have entered a state of preparedness to lay a solid foundation for the upcoming peak sales season in March. Against the background of the acceleration of the elimination of the third car and infrastructure investment, multiple favorable factors in the heavy truck market will overlap in 2019, and sales of more than 1 million vehicles are still possible.