UAE-based crane dealer AAA Construction Equipment has said that diversification is key to its stronghold in the market, with the company focused on offering quality used cranes, rather than re-selling cranes bought locally.
The company started in the mid 1980’s, and over time has built up a stable of worthy brands, including IHI Japanese crawler cranes, Tadano pre-owned cranes, Nippon Sharyo generators, and Canycom mini-dumpers and carriers.
AAA Cranes established a business model selling used cranes by buying up used equipment during 1981-88, when the Gulf economies had gone into recession, and construction companies – especially foreign contractors – were selling-off used equipment at low prices.
However, it is a business model that has shifted, and AAA did not look to buy used equipment locally when the UAE market crashed in 2009.
“We never took the risk of purchase and resale of used equipments from the local market,” Salim told PMV Middle East.
“We are always focused on providing our clients with quality, low hour meter, low kilometre used and reliable equipments.
“We prefer cranes from Japan as they meet all Japanese export regulations and certifications, which meet our quality criteria.”
Current demand in the UAE and GCC is mostly related to oilfield projects, said equipment director Nabil Salim, especially true for their cranes products.
“The used mobile cranes from 25 tonne-100 tonne has a greater demand. Additionally, crawler cranes [in the range] 50 tonne -600 tonne are also in high demand.”
Salim said that the high level of competition has resulted in a vast amount of low quality and lower-standard equipment flowing into the region.
“This has been a major threat to reputed manufacturers,” said Salim.
“Additionally, some customers are now looking for used equipment because of the huge investments required to buy heavy machineries.”
AAA Construction Equipment will be exhibiting at Intermat Middle East, held in Abu Dhabi from 8-10 October, and will exhibit heavy machinery including a 280-tonne IHI Japanese CCH2800 crawler crane, a 70 tonne IHI Japanese CCH700 crawler crane, and an IHI Japanese 50 NX 3 mini-excavator.