More than 117,000 attendees from 150 countries rattled through the doors of CONEXPO last week, with international attendance reaching a record 24% of visitors.
Meanwhile Cat’s CEO Doug Oberhelman predicted that the firm will generate a turnover of around US$50 billion this year close to the sort of performance seen in the boom years.
Despite continued uncertainty in the US construction markets and the overall economy, industry professionals have been expressing hopeful optimism for a sustained US upturn in the coming months, while global sales continue to be strong, said the organisers.
“There’s such a tremendous upbeat feeling here at the shows: it’s really great to see our industry looking ahead with some enthusiasm after the recession,” said Mike Haberman, chairman of the 2011 CONEXPO management committee and president of Gradall Industries. “The construction equipment industry is pretty resilient and we feel that we have made it. At this point there is a light at the end of the tunnel – and it is not a train.”
According to Terex CEO Ron DeFeo the timing of the show was ideal for an industry beginning to shake itself free of recession.
“2011 will be a good year and 2012 will be better still, so the timing for this show is good,” said DeFeo. With a three-part growth strategy; business improving worldwide and improvements in order books, the group is looking to increase net sales to US$8 billion by 2013. Ron DeFeo, Terex’s chief operating officer, said the company has been seeing increased order and quotation activity across nearly all of its product categories.
Chinese manufacturer LiuGong announced it is to acquire major Polish company HSW (Huta Stalowa Wola) Construction Equipment Division and its distribution subsidiary, Dressta. The deal will give the company a manufacturing footprint in Europe.
“We are pleased to partner in this agreement with HSW as this provides an excellent opportunity for LiuGong to acquire manufacturing capacity in Europe, as well as technology that will supplement our machine lines,” said LuiGong President Zeng Guang’an. “This acquisition helps us continue success with our five-year strategy to become a top 10 construction equipment manufacturer.”
Caterpillar’s Oberhelman told reporters that the US$8.6 billion acquisition of mining equipment business Bucyrus International is still underway but under examination by regulatory authorities. “We still have not closed that transaction but we hope to complete it this year.”
Forecasting a bumper year and a turnover of $50 billion. supported by gains in the US and China, Oberhelman said: ” “We’re seeing a slow and steady increase in North America. We have a great plan [in China] through to 2015.”
