In June, domestic
dump trucks
sales reached 27,000 units, up 87.9% year-on-year, forming a 'three consecutive increases' with strong market demand.

Fangde.com exclusively obtained domestic invoicing data. In June, domestic dump truck sales were 27,000 units, down 5% month-on-month, up 87.9% year-on-year, forming a 'three consecutive increases' trend; from January to June, cumulative domestic dump truck sales were 112,000 units, down 6% year-on-year, narrowing the decline by 12.9 percentage points compared to the first five months (18.9%).

Check out the exclusive data from Fangde.com.

(Note: The dump truck sales mentioned in the article exclude light dump trucks, mixer trucks, and export data.)

Q2 formed 'three consecutive increases'

In Q2, the demand for engineering dump trucks remained strong, with monthly sales exceeding 27,000 units for three consecutive months, forming a strong 'three consecutive increases' trend.

Specifically, after the impact of the epidemic weakened, the dump truck market recovered in April, with sales of 27,000 units growing by 10%, turning from negative to positive growth, reversing the 'three consecutive declines' in Q1; from May to June, the dump truck market demand remained strong, with monthly sales of 29,000 units and 27,000 units respectively, showing the characteristic of 'off-season not weak', forming a good 'three consecutive increases' trend.

Fangde.com analysis attributes the sustained high growth in the second quarter market to two main reasons: first, due to the impact of the pandemic, some orders and demand from February to March were deferred to April to June, shifting the usual spring peak season later; second, as the economy recovers, infrastructure and real estate investment are accelerating, driving demand growth for dump trucks. According to data from the National Bureau of Statistics, from January to June, infrastructure investment decreased by 2.7% year-on-year, with the decline narrowing by 3.6 percentage points compared to the January to May period. From January to June, national real estate development investment increased by 1.9% year-on-year, compared to a 0.3% decline in the January to May period, turning negative growth into positive.

Regarding future trends, Fangde.com analysis suggests that demand for dump trucks in the second half of the year is likely to be optimistic, with a high probability of positive growth. First, due to the impact of the '521 incident', the sales base in the second half of last year was low; second, as funds for major projects are secured, some major projects nationwide will start construction in succession in the second half of the year, driving up market demand for dump trucks.

June: Three leading companies see explosive growth

Based on invoicing data, in June,
Hongyan
Five leading companies—Hongyan, Jiefang, Sinotruk, Shaanxi, and Dongfeng Liuzhou—dominate the top 5 domestic dump truck sales, with sales volumes of 6,444, 5,054, 4,740, 4,100, and 2,345 units respectively. Among them, Hongyan, Jiefang, and Sinotruk all achieved doubled sales growth, increasing by 119%, 145.9%, and 210% respectively.

In June, Hongyan once again claimed the top spot. Invoicing data shows that in June, Hongyan sold 6,444 dump trucks domestically, a year-on-year surge of 119%; its market share was 23.7%, expanding by 3.4 percentage points from the same period last year, ranking first in the segment.

Since winning the championship in 2019, Hongyan dump trucks have maintained good growth momentum in 2020, thanks to precise product positioning. In response to the increasingly severe overloading control situation and the trend toward lightweight small dump trucks, Hongyan quickly launched the Jiebao 4X2, 6X2, and 8X4 lightweight dump trucks this year, suitable for small renovation, small demolition, small leveling, small excavation, and small repair projects, as well as urban construction waste and township construction transportation scenarios.

Jiefang secured the runner-up position. Invoicing data shows that in June, Jiefang sold 5,054 dump trucks domestically, a year-on-year surge of 145.9%; its market share was 18.6%, expanding by 4.4 percentage points from the same period last year, ranking second in the domestic dump truck market. Since entering the top four in the industry in 2019, Jiefang's monthly dump truck sales have risen to second place multiple times in the first half of 2020, showing good development momentum.

Due to the exclusion of export data, Sinotruk ranked third in the domestic dump truck market in June, with its ranking somewhat affected because exports account for a relatively high proportion of Sinotruk's sales. Invoicing data shows that in June, Sinotruk's domestic dump truck sales were 4,740 units, a net increase of over 3,000 units from the same period last year, a year-on-year surge of 210%, the highest growth rate among the top five; its market share reached 17.5%, expanding by 6.9 percentage points from the same period last year, ranking third in the domestic dump truck market.

Additionally, in June, Sinotruk's high-end dump truck, the SITRAK, saw strong terminal demand, with sales doubling. 'In June, invoiced sales of Sinotruk SITRAK dump trucks exceeded 610 units, surging several times year-on-year,' said a Sinotruk insider. The SITRAK G7 84 dump truck has advantages such as lightweight and compliance, and has gained increasing market recognition since its introduction last year.

In June, Dongfeng Liuzhou dump trucks remained stable in the top five of the industry, with a significant rise in ranking. In June, Dongfeng Liuzhou sold 2,345 dump trucks domestically, a year-on-year increase of 87%; its market share was 8.6%, flat compared to the same period last year, ranking fifth in the segment. Since 2020, Dongfeng Liuzhou dump trucks have maintained good growth, with multiple monthly sales firmly in the top five of the industry.

From a market concentration perspective, the concentration of the top five increased in June. In June, the total sales of the top five dump truck companies reached 23,000 units, with a combined share of 83.5%, expanding by 12 percentage points from the same period last year, indicating very high market concentration.

First Half: Hongyan Holds Top Spot

Fangde.com obtained invoicing data showing that from January to June, domestic dump truck sales totaled 112,000 units, a decrease of 7,000 units compared to the same period last year (119,000 units); year-on-year cumulative decline was 6%, narrowing by 12.9 percentage points from the January-May decline (18.9%), but the cumulative growth rate has not yet turned positive.

According to invoicing data, from January to June, Hongyan, Jiefang, Sinotruk, Shacman, and Dongfeng Liuzhou dominated the top five positions in the domestic dump truck industry, with invoiced sales of 26,000, 23,000, 18,000, 16,000, and 9,015 units respectively.

In the first half of 2020, SAIC Hongyan continued to solidify its No.1 position in dump trucks. According to invoicing data, from January to June, SAIC Hongyan sold a cumulative 26,000 dump trucks, a year-on-year increase of 10.4%, outperforming the industry; its market share reached 22.9%, expanding by 3.4 percentage points from 19.5% in the same period last year, firmly holding the top spot in the domestic dump truck market.

Jiefang ranked second in the domestic dump truck market with a significant increase in market share. According to invoicing data, from January to June, Jiefang sold 23,000 dump trucks domestically, moving up to second place in the industry, with a small gap from the leader; year-on-year cumulative growth was 29%, achieving double-digit growth against the trend; market share reached 20%, expanding by 5.4 percentage points from 14.6% in the same period last year, the largest increase among the top five.

Sinotruk ranked third in the domestic dump truck market. Invoicing data shows that from January to June, Sinotruk sold a cumulative total of 18,000 dump trucks domestically, ranking third in the domestic dump truck market; the cumulative year-on-year growth rate was a high 16.7%, outperforming the industry; the market share reached 15.6%, an increase of 3 percentage points compared to the same period last year.

Shaanxi Automobile and Liuzhou Automobile ranked fourth and fifth in the domestic dump truck market. Invoicing data shows that from January to June, the cumulative domestic sales of dump trucks for Shaanxi Automobile and Liuzhou Automobile were 16,000 and 9,015 units respectively, with market shares of 13.9% and 8%, ranking fourth and fifth in the domestic dump truck industry.

In terms of market concentration, the concentration of the domestic dump truck market significantly increased in the first six months. From January to June, the total sales of the top five enterprises—Hongyan, FAW Jiefang, Sinotruk, Shaanxi Automobile, and Liuzhou Automobile—reached 90,000 units, with a combined share of approximately 80.5%, an increase of 9.7 percentage points compared to the same period last year, indicating continued strengthening of market concentration.

Based on the current situation, the demand for dump trucks in the second half of the year is expected to be optimistic, with a high probability of positive growth. What changes will occur in the demand for dump trucks in the third quarter? How will the performance of the top enterprises be? We will continue to monitor.