Show Development Strength and Resilience: Roreign Agricultural Machinery Enterprises In China Ushered In A Significant Growth

　　The year 2021 was the first year of the 14th Five-Year Plan. The agricultural machinery industry got off to a good start by overcoming the impact of adverse factors such as the epidemic and the price rise of raw materials, with its operating revenue growing by more than 10%. It is worth affirming that foreign-funded agricultural machinery enterprises in China continue to share the dividend of the growth of China's agricultural machinery market with good external environment and their own efforts. They have achieved good performance in 2021 and joined hands to enter a new round of "high-quality" development lane.

　　Agricultural Machinery Foreign Enterprise Collective Performance Bright Eye

　　　　John Deere (China), after the high-level adjustment in 2020, showed a gratifying growth trend in 2021. The company made steady progress in its advantageous field of large agricultural machinery products, and both large tractor and harvesting machinery were in short supply in that year. The sales of domestic products maintained steady growth, the total sales increased by 20%, among which the sales of harvesting machinery doubled. The export business grew steadily, with tractor products performing well, with both sales and sales volume doubling.

　　　　Case IH full-year sales in China rose about 50 per cent year on year to RMB1.5bn. Most products are in short supply, even the samples are sold, Luoyang city zhigui Case AF4088/4099 axial flow drum and large Combine harvesters and square balers are sold out in the past two years, in the sold tractor products, more than 200 horsepower accounted for the vast majority. The 3004 tractor, the first of its kind, was sold at a price of 1.6 million won, two or three times higher than its Korean counterpart.

　　　　Data shows that Agco (China) achieved a leapfrog growth in 2021. Domestic machine sales increased 83% year on year and domestic total sales increased 55% year on year. Export machine sales are 87% year-on-year growth, export earnings 59% year-on-year growth. In the face of challenges such as the epidemic, rising raw material prices and global supply chain, Agco China has achieved a record high performance and delivered a satisfactory result.

　　　　Dr. Zhang Jinwang, General Manager of Sales and Service of CLAAS China, revealed at the annual business meeting held at the end of the year that CLAAS business not only achieved sustained growth globally, but also achieved a record sales increase of 62% in China. Mr. Zhang pointed out that in 2021 CLAAS silage machine sales will achieve steady growth; Harvesting machinery is CLAAS 'flagship product, with sales exceeding targets and strong growth; Tractor, spring rain harvester and parts business in sales have been significantly improved; Other pasture machinery sales have more to offer. In 2022, Kole China will continue to work steadily, focus on improving itself, and continue to pay attention to the needs of users. Combined with high-quality products, more services and training support, to assist dealers, empower users, coagulation and focus on success with dealers, users.

　　　　Yanmar Agricultural Machinery (China) Co., Ltd. as a Japanese enterprise insists on continuously improving product quality and performance, and still insists on increasing R&D investment in the market downturn. In 2021, Yanmar also achieved a relatively satisfactory result, with a 20% increase in business performance and a turnover of more than RMB 1.5 billion. In terms of products, sales of the fully imported YH1180(118 horsepower) saw a 96% increase compared to 2020, while those of the high-speed passenger transplanter saw a 10% increase, both of which have seen three consecutive years of growth. Another half-feed product, YH6118(six lines /118 horsepower), has been on sale for more than a year, with excellent performance and a good reputation from users.

　　　　Kubota (Suzhou) company in 2021 in the context of China's rural revitalization, though epidemic, and raw material prices and other unfavorable factors, Suzhou Kubota continue to trend growth, products appear out of stock, the same performance year-on-year growth of 13% on the previous year, especially the export with improved performance, increased by more than 45%, Suzhou Kubota has become an important overseas production base of Japan Kubota Group, exporting agricultural machinery products to ASEAN and other regions.

　　　　Petkus, a seed equipment giant from Germany and the world's largest seed technology equipment supplier and integrator, achieved a record high performance in China in 2021. Based in Chinese government attaches great importance to the seeds and the cultivated land under the situation of "two big key", the company put the most advanced corn seed processing technology in China and built corn seed processing plant the project that is the most advanced domestic and Asia region, including corn grain automatically receive, skinned choose ear, ear drying, threshing, storage and line selection, etc..Not only to realize computer automatic management, The project also adopts a large number of intelligent equipment and digital technology. In addition to corn seed processing technology equipment, Petkus also has a leading position in grass seed processing equipment and vegetable and flower seed equipment, with a significant increase in sales in 2021. It includes seed companies and research institutes, research laboratories and so on. At present, the company has model projects and strategic partners in Heilongjiang, Gansu, Henan, Anhui, Hubei, Xinjiang and other important provinces and autonomous regions. According to a company official, the company will increase investment in the Chinese market and localized research and development process in 2022, and plans to further expand in technology fields such as fertilizer, grain and food.

　　　　Established itself firmly in China, DEUTZ FAHR celebrated its 10th anniversary in 2021. In recent years, the company's high-horsepower tractor market position is rising. It is understood that in 2021, The domestic sales volume of DEUTZ FAHR increased by 27% and the export sales volume increased by 53%. DEUTZ FAHR machinery Co., Ltd. adheres to the development strategy of independent, high-end and quality improvement, realizing domestic production of low, medium and high-end products, forming the product competitiveness of stable quality and advanced performance, and promoting the transformation of enterprises to high-quality development; The 6W/7W/8W power shift products manufactured in China are supplied to the global distribution network of Semai DEUTZ FAHR. The business scope is developed from only satisfying the domestic market to the global supply base of Semai DEUTZ FAHR.

　　　　In addition, agricultural machinery enterprises in China also benefited from the growth of mainframe and the potential of the market itself. For example, agricultural machinery and tools giants such as Reken (Qingdao) and Maschio (Qingdao) from Germany will add many highlights in 2021. Under the impact of the epidemic, Rekon (Qingdao) adjusted and innovated in time, focused on the core target market, accelerated the introduction of new products from the head office in Germany, and had sufficient production and stock. The sales in 2021 increased by more than 50% compared with the same period in 2020. In 2121, the company also introduced a Steketee finger weeder for precise weed control, which automatically identifies crop rows and directs the machine between rows, making the machine independent of the tractor's direction of movement.

　　Benefiting From China's Strong Growth Drivers

　　　　Foreign agricultural machinery enterprises in China achieved good performance last year. first of all, its cannot do without their own efforts and can not do without their products, technology and other aspects of continuous upgrading. From the perspective of enterprise operation, foreign-funded enterprises also continue to strengthen localization, increase investment in the Chinese market, strengthen cooperation with China's excellent supply chain, constantly adapt to the characteristics of the Chinese market to increase services, and strengthen the protection of market and consumers.

　　　　The resilience shown by foreign companies depends on their strong position of strength. Undeniably, at a time when domestic agricultural machinery consumption is becoming larger and more high-end, the advantages of foreign capital in terms of capital, technology and brand are conducive to their enjoying a higher premium rate in competition. At the same time, the advantages established by them With the development of China's economy, the consumption power of rural areas and farmers is constantly improving, as well as the change of the consumer group structure of agricultural machinery, people's consumption concept is constantly changing, so foreign products with higher reliability, better technology and higher efficiency have higher consumption power support.

　　　　In addition, the development of foreign agricultural machinery enterprises in China is inseparable from China's good external environment. China's door to reform and opening up has also opened wider. At the opening ceremony of the China International Import Expo (CIIE) in November 2021, President Xi Jinping declared that China's determination to expand high-level opening-up remains unchanged, and pledged to continue sharing development opportunities with the world to make economic globalization more open, inclusive, balanced and beneficial to all. China has introduced a series of measures to promote the development of foreign-funded enterprises, such as increasing financial support for key foreign-funded enterprises, and establishing the Foreign Investment Law to escort foreign investment and become a reassuring way for foreign investment to develop in China. From the perspective of agricultural machinery subsidies, foreign companies in China are treated as equals, receive the same policy dividends and national treatment as domestic companies, and some localities even give foreign companies a higher view. Concrete measures have become an important catalyst for attracting foreign companies to develop in China.

　　　　Foreign - funded agricultural machinery enterprises in China are also inseparable from China's increasingly good business environment. In recent years, continuously strengthen the protection of intellectual property rights in our country, especially in the situation of global outbreak of attacks in the past two years, China's strong control measures of the party and the government, adhere to the "dynamic reset" effective strategies, has become a global epidemic prevention one of the most successful countries, in a world of great uncertainty. Our supply chain is the most resilient, stable, unobstructed and reliable.