Fewer than 40% of US industrial truck manufacturers expect to export US-produced products to China, but most anticipate partnering with Chinese forklift manufacturers to produce trucks in China. These were among the industry findings unveiled last week at the Industrial Truck Association autumn gathering in Banff, Canada.
More than 80% of suppliers will be seeking parts suppliers in China, up from last year's prediction but slightly down from 2005.
Some manufacturers are concerned about the impact of Chinese-made forklift imports on the US market, with Classes 3, 4 and 5 most likely to be affected by imports.
Manitou's Marcel Claude Braud provided an overview of a growing European forklift market, noting that 2006 was the best year ever in many markets. One exception is the UK, where 2007 is shaping up to be even stronger.
Other trends he highlighted were Spain's overtaking of the UK market and "overheating growth" in Eastern Europe which has grown in five years from 5% to 15% of the European Union market share.
ITA's annual business trends survey noted expectations for slowing sales in the US and Canada, with total retail orders falling from 207,919 in 2006 to 189,527 in 2007, bouncing back to a predicted 190,490 units in 2008.
Manufacturers identified production capacity, flexibility and growth potential as the main considerations for the selection of their suppliers.
Engineering support, exchange rates and component quality were also important factors in choosing suppliers.
The conference also heard about expectations that fuel cells will begin to dominate the market within five years, with many respondents seeing rapid growth in the next two to five years. Suppliers were almost equally divided about hybrid forklifts, with about half anticipating ready availability within five years.
There was more consensus on the development of an international standard for fast charging, with 70% seeing it as likely by 2012.
Exports for US equipment jump
MILWAUKEE, WI, United StatesExports of US-made construction equipment totalled USD8.2 billion for the first half of 2007, a 22% jump from last year, according to US Commerce Department data.
The Association of Equipment Manufacturers (AEM) released the information after consolidating latest US Commerce Department data into a quarterly export trends report.
Asia is the highest growing export region for US construction equipment from January to June 2007. Exports there rose 67% to USD1.16 billion. China is the sixth-largest export destination, with a growth of 181% to USD319.5 million.
Europe imported 52% more US equipment (USD1.36 billion) while shipments to Canada rose 3% (USD2.6 billion).
Central America took delivery of 28% more US-made equipment (USD815 million), South America grew 14% (USD1.08 billion), Africa rose 37% (USD434 million) and Australia/Oceania gained 9% (USD719 million).
Top 10 export destinations for US construction equipment:
- Canada (USD2.6 billion)
- Australia (USD696 million)
- Mexico (USD588 million)
- Chile (USD346 million)
- Belgium (USD331 million)
- China (USD319.5 million)
- South Africa (USD251 million)
- Venezuela (USD177 million)
- Germany (USD176 million)
- Russia (USD165 million)