News summary
[Soochow Securities: The forklift industry has stronger growth than the domestic leader with strong certainty of cyclical growth] Securities Times e Company Newsflushpokerhand, Soochow Securities Research News stated that forklifts are logically different from traditional construction machinery, and their growth is greater than cyclical. Industry demand comes from (1) investment in manufacturing and logisticsflushpokerhand...
Newsletter text
[Soochow Securities: The forklift industry has stronger growth than the domestic leader who is optimistic about cyclical growth and has strong certainty] Securities Times e Company News, Soochow Securities Research News stated that forklifts are logically different from traditional construction machinery, and their growth is greater than cyclical. Industry demand comes from (1) the increase in investment scale in the manufacturing and logistics industries, and the increase in demand for handling tools,(2) the increase in labor costs, the increase in work efficiency requirements in factories, warehouses, etc., and the trend of machines replacing humans. Looking forward to 2024, the sector is expected to maintain steady growth: (1) Domestic environmental protection and equipment renewal policies are expected to benefit from environmental protection and equipment renewal policies: Under the tightening trend of environmental protection policies, national IV diesel vehicles will replace existing national II and below diesel vehicles, and the penetration rate of high-value lithium battery forklifts will increase, domestic sales are expected to continue to grow and the structure will be optimized. In addition, in March 2024, the State Council issued the "Action Plan to Promote Large-scale Equipment Renewal and the Replacement of Old Consumer Goods for New" to promote equipment renewal and transformation in key industries, and proposed to implement energy-saving and carbon-reduction transformation by industry and field. Following the implementation of the policy, the forklift industry is expected to benefit. (2) Overseas prosperity has not seen a decline, and the increase in share drives sales growth. Domestic forklifts still have short delivery times and lithium electrification leadership. In the medium term,(1) there is still room for lithium electrification. (2) There is much room for improvement in the share of going to sea. In 2023, the overseas forklift market will be about 120 billion yuan. The shares of the domestic dual-leading Anhui Heli and Hangcha Group will be only 5%. With the three major advantages of cost performance, delivery time, and lithium battery industry chain, it is expected to overtake in corners.
