Analysis on the Development of Chinese Construction Machinery Enterprises in UAE

The Middle East region is the focus of competition in the international construction machinery industry, and is also the center of gravity of the overseas strategy of construction machinery enterprises in China. A contractor engineering market has a strong demand. In 2010, it contracted nearly US$20 billion annually. Top companies such as Caterpillar, Elephant, Liebherr, and Komatsu have displayed gold in gold. As China’s construction machinery companies continue to grow in strength, the products of companies such as Sany Heavy Industry and XCMG can be seen everywhere in Afghanistan. Some of these products follow the projects undertaken by Chinese companies to participate in Afghan construction, while others are exported to Azerbaijan alone.

I. Situation of my company in the Arab market (I) It is difficult to gain trust in the whole machine in China The market share of foreign well-known brands in the A-market is high, and it is difficult for Chinese products to enter. China's machinery and equipment products have low technological content, low quality, and low customer acceptance, but their price is low, and the market price is higher. A customer prefers to rely on well-known foreign brands to question China's overall product quality and technical level. Instead, it prefers to purchase low-cost Chinese machinery parts and accessories. In terms of sales channels, foreign big brands already occupy fixed sales channels, and it is difficult for companies to squeeze into the market of famous foreign brands. After the financial crisis, the real estate industry slumped today is undoubtedly worse. There are even more cases where companies have accumulated backlogs of goods in warehouses in the UAE, but in the past there was no inventory at all.

(II) The big environment in the construction industry led to a poor business In 2010, the number of construction machinery exports to the United Arab Emirates fell significantly, while the orders before the implementation were mainly based. At present, the real estate market in Azerbaijan has entered a period of adjustment. The situation in the future seems to be unclear. Some projects under construction are still continuing, but new projects have been significantly reduced. As a result, sales of real estate-related products have dropped significantly, such as the use of tower cranes. Construction machinery.

Second, my company actively responded to (A) continue to adhere to the market to implement the order of the previous order-based financial crisis The UAE's impact is mainly concentrated in Dubai, Abu Dhabi because of its adequate oil reserves has gone out of the shadow of the financial crisis. Although some Chinese construction machinery temporarily slowed down its export business to Dubai, they still have high expectations for Dubai because Dubai’s geographical advantage will not change due to the financial crisis. It is still the Middle East, Africa and even Eastern Europe. window.

(B) actively explore the surrounding market Chinese companies are currently actively exploring the surrounding markets, such as Abu Dhabi, Saudi Arabia, Iran and other places on the demand for construction machinery products are still large.

The UAE’s two major economies, Dubai and Abu Dhabi, should be viewed separately. Dubai is greatly affected by the international economic situation. Abu Dhabi’s own funds are abundant. Its market depends mainly on the government’s macroeconomic decisions, so many companies are optimistic about the crisis. Abu Dhabi stands out from the crowd.