 Off-Highway Research managing director David Phillips |
Demand for forklifts in China is expected to increase by 60 per cent before the end of the decade, according to a report published by a UK consultancy.
Off-Highway Research managing director David Phillips said his Beijing office came to the conclusion after conducting 20 face-to-face interviews with senior executives of leading Chinese manufacturers, dealers and importers.
"We believe the future prospects for demand are extremely good. This year total sales should be around 70,000 units (58,000 combustion, 12,000 electric), a figure which should rise to 112,000 units (90,000 internal combustion, 22,000 electric) by the end of the decade," Phillips said.
His consultancy based its forecast on the following:
- Forklift truck demand is closely linked to the economy. His company is forecasting eight per cent to 10 per cent annual GDP growth for the next five years.
- There will be great emphasis on mechanisation in factories, warehouses, ports and general industry - and that will greatly stimulate demand.
- Great growth forecast in the logistics and supermarket industries.
- The Chinese Government is likely to bring in environmental legislation by 2008, which will result in many older units needing to be replaced. That will greatly stimulate demand.
Off-Highway Research established a representative office in China in 2002 to respond to its clients' need for market information in the region.
The UK-based management consultancy specialises in research and analysis of international construction and agricultural equipment markets.
Over the last five years, it has worked for more than 600 clients in 37 countries.