Latest information about Construction Equipment Industry

The construction Equipment Industry in India will go through bad phase till September 2020 due to Covid19 virus. The overall sales will remain below par. Only big established brands like JCB, Tata Hitachi, L&T Komatsu will sail through this bad phase. Troubled times for China based companies like SANY, LIUGONG for the complete year 2020. The more troubled times is waiting for the dealership of these companies. Though, the Indian based well established brand and market leader in excavator segment Tata Hitachi will take lead in helping their channel partners. The other OEM will find it difficult to follow the leader resulting into closure of small dealership of Chinese brands. The sentiments of Indian customer is badly hurt due to corona virus which is presumed to be spread from China and may further result into boycott for the purchase of the Chinese products including construction equipment resulting into further downfall of the Chinese brands. These will directly affect the local dealers of Chinese brand.

Funding to the FTV and FTU category will go down. Retail sale will get hamper due to low funding or no funding to this category for some time. The risk taking ability of retail customers will also get lowered during this covid-19 virus situation resulting into further downfall in the industry.

Life is not going to be easy for the Sales people on the field and also the customer. The precaution needs to be taken even after lockdown opens. The government will relax the lockdown to most of places not because the corona cases will get in control. But; to stabilise the economy. Government has to open the construction related activities to run the economy.