Myriad Moods of bauma China 2008

Myriad Moods of bauma China 2008

For the fourth time, bauma China welcomed exhibitors, visitors and all other participants from around the world at its biggest and vital trade exposition for global construction industry. The International Trade Fair for Construction Machinery, Building Material Machines, Construction Vehicles, and Equipment had all the elements of providing a comprehensive overview of development of products, services and innovations of internationaland Chinese building material machinery industry. It was intended to meet the needs for information and communication within the rapidly developing markets of China and Asia.

The organizers of the Show, the Munich Trade Fairs International Group(MMI), and China Construction Machinery Association (CCMA), along with other apex bodies connected with construction industry in China along with strong active international partners: the Committee for European Construction Equipment, VDMA, the Japan Construction Equipment Association, Korea Construction Equipment Manufacturers Association worked overtime to make this event bigger and better. While some called it the Royal Exhibitionfor the industry,others regarded it as Olympics in engineering machinery industry with its scale and level obvious to all. It was indeed a catalysticand milestone event. All in all, bauma China effectively proved itself much more an Extra international forum showcasing progress of global construction equipment industry, having more to offer that what meets the eyes, report S.A.Faridi and S.K.Khanna, who attended the proceedings of bauma China 2008, in Shanghai.

Despite the fact that it was being held in the backdrop of global financial crisis and economic meltdown, the mood of the participants, delegates and host of visitors was upbeat. They greeted each other irrespective of nationality, race and color with utmost courtesy, cordiality reflecting warmth, congeniality and bonhomie. The common refrain was that crisis will pass over. If winter comes, can spring be far behind, felt many. Some felt the present crisis could be a blessing in disguise for some regions with opportunities, providing head-roomto catch up other established regions.

Demand Forecast

Myriad Moods of bauma China 2008
Information culled from various sources indicates that the potential demand of construction equipment in the world is still very strong and the increase will be around 16 percent in 2012. With a world market share of 31.5 percent. Asia will become the largest construction market. In the Asian market, China (36 percent), Japan (23 percent) and India 17 percent, garner three–fourth of the Asian market share. These data indicate major growth regions of the construction equipment and machinery industry in the near future. According to economic forecasting company Global Insight, global construction growth will slow to under +2 percent in 2009-10 against global growth of +4 percentearlier. The North American market will be most affected, driven by the downturn in the US. Western Europe will be a little better withno growth. Construction market in France and Germany are expected to avoid recession, but downturns are expected for Spain, UK. Eastern Europe will also show some slowdown but stay in positive territory. Asia is expected to see a pronounced slowdown as its export markets slow. However, Global Insight indicated the region will still offer growth, with India faring betterthan other countriesin the region including China due to its lower export dependency.

Myriad Moods of bauma China 2008
Naturally, the world is paying more attention to Asian region with China and India as major players in Asia. Bauma China 2008 would augur well for these countries and the event eventually brings in lots of relief and instills confidence to all in this region. At times confidence, beliefs and commitment to the task are more important than hard currency, as our heritage and cultureteaches us.

It is such kind of commitment and sense of purpose that has gone to make bauma China 2008 organized at Shanghai New International Expo Centre from 25–28 November not only successful but to be of value imparting it a status as the leading fair for this particular sector in Asia to share technical transfer, business opportunities with global community. This year, bauma China 2008 expanded its exhibition space to 210,000 sqm, with 80,000 sqm hall spaces, and 130,000 sqm outdoor space for heavy equipment. All areas were aesthetically developed and exhibition venue wore a festive look, with banners, flags, special archgates, backdrops, hoardings with dazzling array of special effects and visuals dotting the vast area, giving a friendly ambience to the visitors who came in large numbers. The venue provided ample moments of recreation, fun and frolicks to the visitors visiting various stalls and pavilions, a relief from their busy and hurried schedules. Foodieshad ample food corners to have enough food for thought to boost their mood!

Exhibitors

Myriad Moods of bauma China 2008
It had over 1500 exhibitors from 31 different countrieswith 8 international pavilions, including that of Germany. Many world leading construction machinery enterprises, including China and India showcased their latest products andadvanced technologies. The exhibitors went all out to attract visitorswith giveaway items, goodies, bags, caps, calendars, miniature replicas of machines and equipmentto strike a friendly chord with the visitors. Some exhibitors relied on usherers and cheerleaders with traditional attires and cool ensembles to attract attention. It was indeed a comic sign watching visitors carrying load of companiesliterature tucked in bags. Some had broughtwheel trolleys to cart the items received from the participating companies.

Myriad Moods of bauma China 2008
The exhibition presented a vast profusion of impressive inventory of equipmentfrom the smallest tools and accessories to a large variety of heavy machineryand equipment—excavators, loaders, cranes, draglines, forklifts, haulers, compaction equipment, road construction machinery, concreting equipment, grouting, shotcreting and plastering equipment, crushing, screening, formwork and scaffolding, block making equipment, coring, cutting, and sawing equipment for the benefit of visitors. Many new products, equipment and machinery with advanced technical features were launched by the participating companies. Nearly 100 new versions of equipment were launchedand won acclaim for better performance than the earlier versions. Professionals were overwhelmedby the developments taking place in the design, manufacture, and marketing of new construction equipment products and services in China and other advanced countries. Also on display were out-source procurement activities, value addedproject consultancy and financial servicesof the participating companies. As per preliminary estimates a large number of professional’s visitors not only from all regions of China but also from nearly 90 countries around the world visited this show. To them it was good to see a wide-variety of display and hi-tech visual presentations and have the much needed information on products and services.

Myriad Moods of bauma China 2008
Chinese companies participated inlarge numbers. Almost every company which counted in equipment and machinery space had participated in the show. Participationfor others was also significant who were unable to take part in the exhibition. But the blessed were Zoomlion, Sany, Liugong, Manitowoc, Schwing Stetter, XCMG, Changlin Caterpillar, Doosan and others. But those with larger exhibition space area under their belt, stole the thunder with larger displayand presentations to give them greater visibilityand reach to a wider cross-section of visitors.

NBM&CW had the opportunity to interact with some of these companies and interaction reports on them are published elsewhere in this issue. A number of Indian companies also participated to showcase their technical prowess and promote Made in India brand. There was considerable interest of the visitors in Made in India product range and services and they appeared to very busy in their stalls interacting withvisitors pouringin numbers.

NBM&CW Presence

There was visible presence of NBM&CW. Senior editorial andmarketing team comprising S.A.Faridi, S.K.Khanna, and S.K. Rizvi visited bauma China Fair with well cut task at hands to interact with companies and exhibitors from China, overseas and India. NBM&CW had also its stall at bauma China 2008 which became a favorite destination point of both Indian as well as foreign visitors. While some of themdiscussed at length subject of mutual interest, other spent their time glancing pages of NBM&CW Journal to scoope information of their interest. NBM&CW received seriousproposals from the Chinese as well as British and South African mediaexpressing their desire to haveeditorial and publishing collaboration.

At the end of bauma China 2008,a feeling of deep satisfactionwas writ large on the faces of organizersfor having done well,from planning to execution to deliverpositive results. For the exhibitors, it wasa worthwhileexhibiting and business experience to have a large turnout of visitors and customers,with a larger number of enquiries about their products and services. High hopes of enquiries turning into orders and negotiations culminating into businessdeals and inking of agreements, brought fulfillment and cheers to them. And above all, for the global industry, an upbeat mood, looking forward to promising times ahead, awaiting the next edition of bauma.

Manitowoc: India, an Exciting Place to be

Myriad Moods of bauma China 2008
India’s infrastructure activities and tremendous growth potential make it a fitting place for ManitowocCranes, the parent company of Potain India Pvt Ltd, to highlight its industry leadership. The company has a good historical presence in the country, and the company is now in a premier market position in India. The medium and long-term prospects here are good and it’s an exciting place to be, said Mr. Raman Joshi, Managing Director, Potain India Pvt Ltd, in an exclusive meet with S.K.Khanna on the sidelines of bauma China 2008 Exposition held in Shanghai, where it displayed two new truck cranes models.

Speaking about the latest developments, Mr. Joshi said that investing at a national level was an important part of Manitowoc’s business operation in India. Manitowoc has built on its market leading position in India with a significant investment in its facilities and services. In the past 12 months, the company has introduced enhancement measures at its tower crane manufacturing factory in Pune and opened two new sales offices. Manitowoc Cranes, India has also expanded its workforce to sell and service Manitowoc crawler cranes and Grove mobile cranes, in addition to the tower cranes.

When we acquired our manufacturing plant last year, we were the first major tower crane manufacturer with a production facility in the country. We have followed that up in 2008 with new initiatives in our Manitowoc Crane Care, our after sales customer service division and by opening two new sales offices, he added. According to Mr. Joshi, who also holdsthe charge of a new Vice President of Manitowoc Cranes, India there have been significant advances in quality in recent months in our products. We're working steadily for the past few years to implement manufacturing processes similar to those used in Potain factories in Europe and China. Customers in India and in the surrounding region are already benefiting from our new initiatives and we are delivering high quality cranes in a timely fashion. As the company continues to build its presence in Asia-Pacific, there is no doubt it will increase output at its factoriesand search out new manufacturing opportunities. The company has a strong product range suited to the Asia-Pacific region, and with its commitment to innovation, the future will surely bring new cranes to the market place.

Myriad Moods of bauma China 2008

Talking about the factory in Pune, he said that the factory is manufacturing a wide range of cranes from the Potain tower crane line. Potain cranes have been built in Pune since 1982 under a licensee agreement with Shirke Construction Equipment Pte Ltd. In 2007, Manitowoc acquired Shirke Construction Equipment, making Manitowoc the first global crane manufacturerto have a wholly-owned manufacturing facility in India. Since then, the factory’s operations have been finetuned to emulate the process at other Potain factories abroad with the introduction of Lean Manufacturing principles added to it. Potain tower cranes are helping Indian energy giantson new thermal power construction in the country.

Myriad Moods of bauma China 2008
Talking about manpower development and customer service operation, Mr. Joshi said through its Crane Care facility operating in Pune, Delhi and Hyderabad with technicians fully trained to handle each Manitowoc brands, the company has worked hard to make the best use of available talent. It has been focusing on training and retraining its personnel and also targetinghigh quality staff to meet the crane care needs. Manitowoc Crane Careprovides vital customer services and is totally committedand is continuously evolving and growing as infrastructure activities matures. Soon the company is going to set up its own training centre in India, adds Joshi.

Myriad Moods of bauma China 2008
Speaking at the meet, Mr. Gilles Martin, Executive Vice-president of Manitowoc Cranes in Asia Pacfic, said that the improvements at the factory in Pune were helping the company plan for its future. The feedback from our customers has been very positive so far and we have an excellent team at Pune who are reacting to our customers needs proactively and swiftly. On developments in Asia Pacific, he said the current expansion in the regionsignifies potentialas this area is going to be the largest construction market in the world for fascinating infrastructure projects. We intend to provide our customers the best of our products and services and come closer and closer to our customers.

Myriad Moods of bauma China 2008
Joining the discussion, Manitowoc Crane's President Mr. Eric Etchart said Manitowoc is a diversified, multi-industry, capital goods manufacturer with 104 manufacturing and services facilities in 27 countries. The company has established a solid reputation and strong presencein the global construction industry serving this dynamic market with a complete range of products. Its commitment to technological innovation helps customers with the best and most efficient cranes in the industry. The company has introduced many new initiatives to improve quality, efficiencyand design. We are perfectly positioned to help build Asia-Pacific’s infrastructure.

Commenting on the present global meltdown, he said economies across the globe have taken the hit, including the construction equipment sector. The way the Governments have responded to the crisis with economic packages, it is anticipated that financial condition will improve from now on despite analysts scepticism.

Zoomlion set to become a Global Engineering Machinery Force

M&A’s have laid a strong foundationfor Zoomlionto be an authoritative enterprise in construction machinery industry globally. Obviously, the recent acquisition of CIFAis only a new start point for the company. And this was amply demonstrated as it celebrated the acquisition of the Italian machinery company Compagnia Italians Forme Acciaio SpA, CIFA, at the special press meet on the sidelines of bauma China. NBM&CW had a special invite to attend this press meet.

Myriad Moods of bauma China 2008
Describing the acquisition of CIFA as a milestone in Zoomlion globalization process, the Chairman of Council of Changsha Zoomlion Heavy Industry Science & Technology Development Company Ltd, Long Guojian, shared his view with NBM&CW that it will insist for complete globalization focusing on having 60 percent of the operating revenue from overseas market and establishing international manufacturing and sales systems. The company has already established many sales and service stations in the world, including Asia, America, Africa, Europe and Oceania. By 2010, it will build 35 0verseas branches and offices, 160 overseas service stations to meet the international developing demand by that time.

The Chairman underlined Zoomlion strategy of nuclear fission-fusion facilitating promotion and establishment of the global manufacturing system from the points of international profession and industry chain spread. Talking about pursuit of technical excellence, he said, we will innovate on the base of promising traditionalChinese culture to build a modern and open enterprise culture system to produce hard strength of international purchase with enterprise culture soft strength. By acquisition purchase of CIFA, Zoomlion created important modes that not only suit Zoomlion mostly but will also be beneficial for the cooperation between Zoomlion and CIFA. The former Chairman of CIFAFerrari will occupy CIFA chairman position and also become the vice president of Zoomlion he disclosed.

Zoomlion still has a long way to go on its international road. We will work hard and create new benchmarks in efficiency and productivity to become the new force in world engineering machinery industry, said Long Guojian.

Myriad Moods of bauma China 2008

Earlier speaking on the occasion

Myriad Moods of bauma China 2008
Maurizio Ferrari, General Manager Concrete Company Zoomlion-CIFA, said that top management teamwhich is present in Shanghai to take part in the bauma exhibitionstrongly supported the merger with Zoomlion. Today, our combined operation cover six continents and we share a similar corporate culture of excellence and innovationand core value of putting the needs of our customerabove everything. While Zoomlion and CIFA have created the global leaders in concrete manufacturing, we will continue to expand into new areas of business. But this is only a starting point for us. Today, Zoomlion and CIFA together are one of the vital players in concrete globally and acknowledged as the number one top players, said Ferrari, expressing his robustconfidence in the new arrangement between Zoomlion and CIFA.

Speaking at the press meet, Sorab Agarwal, General Manager India ACE Company, representing Zoomlion products and services in India, said that his company has been working with Zoomlion for the last four years and startedmarketing Zoomlion tower cranes in India. ACE has been able to make a very good headway in the tower cranes market in India and are currently the largest importers of tower cranes into India. The company has started promoting other products like concrete pumps, crawler cranes and pilling rigs in the Indian market and in coming years, the company expects to be No 1 tower crane supplier in the country. These new products are very well accepted by the Indian customers and it has been possible to make Zoomlion Brand very popular in the country. Zoomlion has specially designed a concrete pumpwith an Indian engine for India market, informed Mr. Agarwal.

At the end of press briefing, there was a question–answer session, including those put by NBM&CW which attracted lot of attention so much so that these were extensively covered by the electronic media.

LiuGong—Making a Mark in India

After making its mark in China with first modernized wheel loaderand later excavators, the company has been continously growing within and outside, said LiuGong interacting with NBM&CW. The company has been continuously exploring new marketing and sales models to provide solutions for clients including whole-of-product, accessories, services and rentals. The company expanded the products line from single line to diversification and also global market. Liugong is now in the process of transiting from industry peacesetter to international brands.

Myriad Moods of bauma China 2008

Myriad Moods of bauma China 2008
In India, Liugong’s products have attracted more users to choose Liugong productshaving excellent quality, reasonable price, timely accessories and considered service inbuilt in Liugong system. In India, Liugong is engaged in strengthening its set up by investing 1 million US dollarto set up its modern facilities. In an earlier interaction with NBM&CW, President of Liugong disclosed this while inaugurating its India’s office in New Delhi. Within two years, he addedthe company will set up its factoryto make wheel loaders. After, we will gradually assemble manufacturethe full range of Liugong products in India, which will include crawled excavators, backhoe loadersand road equipment. These products will also be exported to other South Asian and Middle east countries, said Zeng, President, Liugong.

XGMA Displayed range of product

Myriad Moods of bauma China 2008
China-based Xiamen XGMA Machinery Co Ltd had displayed its wide range of product including excavators, wheel loaders, forklift, road roller, motor grader and so on at the show. According to the company, despite the market slowdown, it has received a favorable response from the bauma show.

XGMA received several inquiries about its products and now the company is in touch with them. These inquiries are especially from India and South America.

Sany Group Establishing World Class Quality

Myriad Moods of bauma China 2008
According to Liang Wengen, Chairman of the Sany Group, Sany aspires to fulfill its responsibility to enhance the new image of China Made and brings quality products and services everywhere in the world. It distributes its products to 110 countries and regions. Nearly 10,000 units of various types of its equipment are involved in the construction of projects in countries and regions of all the continents, except the Arctic pole. To explore the upmarket of construction equipment and upgrade the product quality, Sany has invested $60 million to build factories in Pune India, and at other places. In addition, it has established 13 subsidiaries in the world, including Africa, Middle East, Russia, South America, Ukraine and Australia. With all Sany aims to share the joy of growth, said the chairman.
Myriad Moods of bauma China 2008


Earlier speaking to NBM&CW, Sany Heavy Industry India Pvt Ltd, Managing Director and CEO, Sen He said, Sany Group has always viewed Indian market as one of the most important and emerging one. In India, right from 2003, when its operations began, Sany has been growing at very rapid rate due to customer’s patronage, satisfaction and innovation. Today, Sany India has multiple product range and have satisfied reference customers having big fleet and repeat purchase. To position Sany India and to capitaslised on the growth opportunities in infrastructure segment and to have emphasis on the emerging market, the company has already set up an R&D Wing for planning manufacturing India’s specific products as per Indian market needs. Talking about company’s focus on India, Mr. He said that his company’s has an objective to give India Best of products and services. The company is well poised for growth trends and to realize the growth momentum of the country. Sany’s motto: All for customers and all from innovationis the driving force, stressed Mr. He.

XCMG—Scaling up Overseas Presence

Myriad Moods of bauma China 2008
Xuzhou Construction Machinery Group (XCMG) China’s biggest construction machinery manufacturer is betting on overseas presence, said its Chairman. The group is considering establishing plants in Poland and Iran. The company wants to take advantage of its ongoing financial turbulenceto buy assts in Europe and United States. We are interested in buying distribution companies but not manufacturing facilities, said Wang. The company is talking with foreign partners about an engine and component joint venturebusiness, he added. XCMG is one of growing number of Chinese machinery makers increasingly competing with global heavy weights. The company’s overseas revenues come from the Middle East, Central Asia and Eastern Europe. Its emerging markets are in Argentina, Brazil, and South America.
Myriad Moods of bauma China 2008

Comansa Jie, Demonstrates Cranes Success

Crane manufacturer Comansa Jie, part of the Linden Comansa Group, had a very successful participation in Bauma China. Many of the 113.000 visitors of Bauma China visited Comansa Jie’s exhibit, a superb 2 storey booth, where the new 10 CJ 140 crane was unvield.

Comansa Jie exhibited the winches of its cranes with actual running and functioning at the show. This type of demonstrations impressed the visitors of Comansa Jie, who had many new contacts, especially to mention those coming from India.

Myriad Moods of bauma China 2008
The exhibited crane was a new 10 CJ 140 from the factory of Xiaoshan, China. For the show, the crane was erected with its maximum radius (60m long jib) and at 40 meter height, although its maximum free standing height is 64.4 meters. The 10 CJ 140 can load up to 8 tons, with a maximum jib-end load of 2.000 kg. This new crane, a version for the Asian market of Linden Comansa’s 10 LC 140, has been a complete success even before its launch, when 2 units were delivered and used in Shanghai Hong Qiao Airport terminal transportation hub.

Comansa Jie expects of the 10 LC 140 similar successes than with the 21 CJ 290 crane, which has received positive and satisfactory feedback from its customers. More than 30 units have been sold in Singapore alone.

Changlin's Strong Presence in India

China based leading construction machinery manufacturer Changlin had made a strong debut of its product range at the show and received a positive feedback from there.

Myriad Moods of bauma China 2008
According to Mr. Wice Li, Executive Director, Changlin Engineering Services India Pvt. Ltd., Changlin displayed 13 Nos machines at Bauma China 2008, including Wheel Loader, Clamp Loader, Wheel Dozer, Soil Compactor, Pheumatic Tyre Roller, Skid Steer Loader, and Backhoe Loader. He added further that during the show, lots of customer have visited Changlin stall. Like Essar Industry Ltd., Patel Engineering, Maytas Infra Ltd., L&T, SEW, and so on.

Myriad Moods of bauma China 2008
Talking about the Changlin presence in India, he says our machinesin India have been upgraded to suit for Indian working conditions in 2008. They are more economic in less fuel consumption, less operation cost, and more stable in performance. As established for 4 years, Changlin became theonly and bestpackage solution provider for road construction industry from China. Changlin is setting up our manufacturing facilities at south of India and will put into manufacturing at end of 2009. We will serve India better.

NBMCW January 2009

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