XCMG Machinery Sales & Service (Thailand) Co., Ltd Established

XCMG Machinery Sales & Service (Thailand) Co., Ltd Established

March 13, 2015

Recently, XCMG Machinery Sales & Service (Thailand) Co., Ltd (XCMG Thailand for short) was established. Just after its grand opening, it started to develop the Thailand market and signed cooperation agreements with its strategic partners and obtained their promises to use XCMG products with priority in construction projects in Thailand.

In Thailand, there are only a few companies from Japan engaging in excavator assembling business using imported parts. It is a fact that 90% excavators in Thailand are imported. Some Chinese machine makers have achieved something in Thailand, but still far from a real dominance. It was a proper time for XCMG to set up a subsidiary in Thailand as a strategic consideration. Thailand has a weak purchasing power. Therefore, it is difficult for Chinese companies to sell large construction machines directly to the country. Responding to this situation, XCMG Thailand has prepared its appropriate marketing guidelines to utilize its local strategic partners’ advantages. It is believed that in a few years, the strategy will lead a reshuffle in the Thailand construction machine market.

In Thailand, since the beginning of 2015, a couple of major infrastructural projects have been launched, such as the double-track railways, BTS route extension, as well as some highway, airport, wharf expansions, stirring a surge of demand for construction machines. It is expected that, in the next few years in Thailand, there will be a 10% annual growth for the construction industry and thus a growing demand for imported construction machines accordingly. This is positive news for XCMG who is trying to develop her Thailand market. Certainly, it will stimulate its sales in Thailand.
 

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