Forklift News - MATERIALS HANDLING IN CHINA: PART TWO

The Chinese materials handling industry is an exciting prospect for the world market. The world's biggest nation is one of the biggest consumers of forklifts and materials handling products.

On February 12, Forkliftaction.com News published chief reporter Damien Tomlinson's interview with Linde-Xiamen Forklift Truck Corporation general manager Heinrich Winzl, a pioneer in the western world's rush to access the Chinese market. Click here to read it.

In part two, Forkliftaction.com looks at Chinese national forklift companies. While the size of the market means confusion over distinguishing the players, the market leader is obvious.

Anhui Heli Machinery Import & Export Company Ltd (Heli) commands 43.6% of the total Chinese forklift market, based on 2003 figures, and has led the market for 13 consecutive years.

Heli import & export manager Wu Jun told Forkliftaction.com News the company sold 15,048 forklifts last year, and was looking to improve its market leadership with more sales this year.

"We'll maintain our leadership here and, hopefully, become more of a force on the world stage this year and in coming years," he said. "We expect to move more than 18,000 forklifts this year."

Heli's dominance of the market is clear, with China's total production for 2003 being 44,204 forklifts, up almost 11,000 on 2002. The market has improved considerably in recent years. In 2000, just less than 23,000 machines were produced by the country's estimated 50 forklift suppliers.

Buying trends in China parallel the western world. According to official figures obtained through Forkliftaction.com News sources, internal combustion counterbalance forklifts accounted for 34,874 of the total units sold last year, followed by electric counterbalance forklifts (5,476) and warehouse trucks, including stand-up machines (3,944).

Mr Jun said Heli's most popular product was its one-tonne to 16-tonne capacity internal combustion counterbalance forklifts, and its one-tonne to three-tonne electric forklift range.

Heli was formed in 1998 as a foreign trade company, aiming to "set up Heli as a famous brand in the international market and establish it (as) one of the 10 biggest enterprises in the world".

Mr Jun said export sales were growing steadily each year. The company has a US subsidiary, Heli Forklift Wholesale Inc, and sells forklifts to regional customers worldwide.

"We exported about 1,600 forklifts in 2003. About 75% of those trucks went to Europe and the USA, but we also export to Australia, south-east Asia, South America, and the Middle East," he said.

The next biggest major Chinese forklift manufacturer, according to sources, is Hangzhou Forklift Truck Co Ltd, based in Hangzhou.

The company has been in the market for more than 20 years and, through a partnership with Nissan, is moving up in the ranks among Chinese players. Unfortunately Forkliftaction.com News was unable to interview a company representative.

There are many other forklift manufacturers in China. Some have forged partnerships with the big Japanese, European and American brands, but many operate in the domestic market only, oblivious to the outside world.

In a region where labour is cheap, quality is improving, and business potential is massive, China is certainly a region on the move.

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