India will become a big market for construction machinery after China

Between 2012 and 2030, India will invest at least 10% of its GDP in infrastructure. In addition, according to statistics, from 2007 to 2015, India's capital allocated to the construction machinery market has reached 40 billion U.S. dollars. This means that about 17% of the investment will increase each year in the next 8 years. At the same time, the booming development of the Indian real estate industry, the increase in family income and the rapid urbanization process have led to the expansion of middle-class groups in India. The urbanization rate is expected to increase from 28% in 2001 to 40% in 2030.

This kind of news is undoubtedly a great advantage to the construction machinery industry. Compared with the sluggish domestic market, the Indian market has a strong demand for construction machinery. The weakness of India’s domestic construction machinery industry will undoubtedly provide a tremendous opportunity for Chinese companies. It is understood that although India's economy is developing rapidly, India's domestic construction and construction equipment companies cannot meet the requirements of emerging engineering projects.

The new project requires equipment with advanced technology and higher load capacity, and these equipment India mainly rely on imports. It is understood that only 28% of India's local machinery can adapt to the domestic market, and Indian engineering construction companies need to spend at least two years before they can purchase construction machinery locally. However, the construction machinery purchased in China can be put into use immediately at the construction site within six months. . Compared with other countries' products, another major competitive advantage of China's construction machinery products is price. Indian local practitioners say that "India's engineering construction companies have gradually given up their purchase of construction machinery from major countries such as Germany, Japan, and the United States because the construction machinery in China is cheaper and can be used more quickly."

Although data can be drawn from India, there is ample room for construction machinery products. However, India's annual sales of engineering machinery equipment sales of 1.5 billion to 2 billion US dollars has caused Chinese companies to question the market demand in India. However, industry experts say that the Indian market can not be compared with China 10 years ago. However, India, which has many similarities with China, cannot be overlooked. It is also a country with a large area, which is also a country with a large population and the same BRIC countries. Judging from the laws of economic development, the economic development followed by the Indian market with China will usher in the outbreak of the demand for construction machinery market in the next 5-10 years.

With the growth of India's economy and the increase in infrastructure investment, India will surely become a big market for construction machinery after China.