High-end hydraulic parts are widely used in all kinds of mainframe products and technical equipment in various industries of national economy. Construction machinery is the main customer of high-end hydraulic parts. According to the China Construction Machinery Industry Association, China's construction machinery industry achieved revenue of 668.1 billion yuan in 2019, an increase of 12 percent over the same period last year. At present, China's construction machinery industry high-end hydraulic parts mainly rely on imports. Among them, the working environment of excavators on the import of high-end hydraulic parts particularly prominent dependence. The localization of high-end hydraulic parts will enhance the market competitiveness of excavators in China.
The domestic market demand of hydraulic breaking hammer mainly comes from excavator. According to the statistics of excavating Machinery Branch of China Construction Machinery Industry Association, by the end of 2019, the market of excavators in China had about 1.657 million units in 10 years. In the future, the excavator market will show a volatile growth trend, and the growth of the excavator market will mainly benefit from the sustained investment demand of fixed assets in the future. At present, the configuration rate of domestic excavator crushing hammer is 20-25, which is lower than the level of 30-40% in mature market. If according to the allocation rate of mature market, the hydraulic breaking belongs to the market with great market potential.
