Off-Highway Research EQUIPMENT ANALYSIS: HYDRAULIC EXCAVATORS - FRANCE MAY 2003 CONTENTS PAGE INTRODUCTION 1 SUMMARY 1 ECONOMIC AND CONSTRUCTION ACTIVITY 2 MARKET SIZE AND TRENDS 5 PRODUCTION 12 COMPONENT SOURCING 17 FOREIGN TRADE 18 MARKET SHARES 21 MARKETING AND DISTRIBUTION 25 PRICING 29 POPULATION AND END-USERS 30 FORECAST TO 2007 33 MACHINES AVAILABLE 34 DOMESTIC MANUFACTURERS 41 IMPORTERS 41 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research EQUIPMENT ANALYSIS: HYDRAULIC EXCAVATORS – FRANCE MAY 2003 INTRODUCTION This report concerns the market in France for hydraulic excavators. They are defined as machines capable of turning through 360 degrees, which are mounted either on tyres or on steel tracks. Service weights range from 6.1 to over 600.0 tonnes. Off-Highway Research labels machines up to 6.0 tonnes as mini excavators. The sector of machines from 6.0 to 11.0 tonnes is often called “midi” excavators, which nearly always have a special design to minimise the tail swing and make the machines useful in narrow job sites. All these are included in the report's definition of the hydraulic excavator. The findings presented in this report are based on the existing database of Off-Highway Research and on an interview programme undertaken in France with all leading manufacturers, importers and distributors in January 2003. SUMMARY Table 1. France: Statistical Summary of Hydraulic Excavators, 2002 Number of Domestic Manufacturers Market Leader Production (units) Domestic sales (units) Importers' Penetration (% of total) Population Sales Forecast 2007 4 Case 3,885 4,100 72 32,000 4,000 Source: Off-Highway Research In 1999 sales rose to the impressive level of 4,000 units and, to the surprise of many, went to over 5,000 units for two years and stayed at 4,100 in 2002. There was a highly visible trading down to smaller machines from 7.0 to 12.0 tonnes; earthmoving work moved increasingly to the sub-contractors with smaller machines in larger numbers; and, finally, users had a strong incentive to replace machines because the low value of the euro made European excavators very easy to sell in Africa and the Middle East. New urban works such as the tramways being 1 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research installed in provincial cities favoured wheeled excavators, which were notably healthier in 1999 to 2002 but crawler excavators have sold extremely well at the same time. The total production level has stagnated during the second half of the 1990s and only in 2000 did it exceed the level seen at the beginning of the decade. The production level fell in 2002 because of the state of the European market; the closure of production at Furukawa; and the running down of crawler excavator production by Case. In 1999 and 2000 Caterpillar took first position in the market away from Liebherr, which recovered by 2001 because of its strong performance in wheeled excavators. Case suffered a serious loss of share because of its performance in that sector, descending to only 16 per cent in 1999 and 2000 but climbing back up again in 2002. Volvo made a strong start with its Korean machines. A return to the traditional average level of sales for 2003 and 2004 is predicted, with recovery for the wheeled excavators starting earlier. In the medium term the market should be pulled up again when owners trade in the machines they bought in 2000-2001. ECONOMIC AND CONSTRUCTION ACTIVITY Economic Activity The economy improved rapidly in 1998 and flourished for three years. Consumers increased their spending on durable goods and cars and companies spent much more generously on capital projects than they had done for many years. Fixed investment soared and stayed high into 2000. High levels of private and public consumption reigned until the end of 2001, helped by low interest rates and, at last, there was some improvement in unemployment among the young. Consumers were euphoric, with wage demands and inflation being low. On the other hand, wage deals associated with the introduction of the 35-hour working week tended to be very low and cut household incomes towards the end of the period. By 2001, industrial production was going down in most sectors except passenger cars (where the market remained strong through to 2002) and the economy was in a reasonable state. 2002 was not so good and economic growth as a whole was its lowest level since 1996, although the trend of private spending was still positive, to the surprise of the economic analysts. 2 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 2. France: Selected Economic Indicators, 1998-2002 Annual Change (%) 1998 3.5 7.2 11.6 5.2 3.6 GDP Fixed Investment Unemployment Rate % Industrial Production Short Term Interest Rates (%) 1999 3.2 6.2 11.0 2.0 3.0 2000 4.2 6.2 9.5 3.4 3.3 2001 1.8 3.4 8.9 4.3 2002 0.9 (0.8) 8.7 3.5 Source: Economist Intelligence Unit The trend of spending on capital goods went from very positive in 1998 to 2000 to a fall in real terms in 2002. Heavy investment in the earlier period left firms with high levels of debt and excess capacity, while household spending on investment (essentially buying houses) ceased to grow at the end of the period shown above. Public Works Data on public works activity is published by the contractors’ trade association, the FNTP but with a delay of about one year. The table below gives the data for the first part of the period, unfortunately marked by a change in method and the move to the euro. Table 3. France: Public Works Activity, 1998-2002 1998 (FRF mn) New Series (€ mn) 1999 2000 2001 2002 (provisional) Value 133,573 24,901 27,944 29,230 28,500 Annual Change Current Constant Prices Prices (%) (%) -1.0 -1.5 -* 12.2 4.6 -2.5 -* 7.8 2.9 na *A change in methodology makes comparison of 1999 to 1998 impossible. Source: FNTP The central government’s need to cut its deficit in the 1990s caused a depression in public works up to and including 1998. On the other hand, the reform of local authorities’ finances put them in a very good position when the economy improved in 1998 and 1999, increasing their tax 3 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research receipts. They could spend on public works projects and did so, making them the mainstay of a revival of the public works market in the country as a whole. 1999 was marked by slowness in public works activity in the first half, and then fast growth in the second. Consequently, the volume of work grew by about 5.0 per cent in the year. That estimate is approximate, as the FNTP trade association changed its methodology for accounting for non-respondents in its survey for 1999 and later years. This stimulated a most unexpected optimism among the public works contractors at the end of the decade. In 2001, real growth of 2.6 per cent in total activity was visible. The private sector increased its work by eight per cent but a reduction in spending by the central government and state enterprises (EDF/GDF, the gas and electricity monopolies and the motorway companies) dragged the total down. Unfortunately, the beginning of 2001 marked a short-lived high point. By the end of that year all growth had disappeared in both the work done and the new contracts made. In 2002, the amount of work done slowed by about 3.5 per cent in real terms. Contractors were wary that the change to a right wing government might bring some budget trimming. 2002 showed a negative result mainly because the local authorities slowed the pace of contract awards in a year with many elections that changed the composition of the ruling councils. The central state budget was frozen in mid-year and so its spending slowed in the second half. Public enterprises such as the gas and electricity monopoly EDF/GDF, France Telecom and the toll motorway companies kept up their spending on public works. In the last five years there has been an acceleration in the use of subcontractors for earthmoving, which has worked to the benefit of those specialists. The FNTP estimates that over 75 per cent of earthmoving is now done by specialists that enjoyed real rates of growth in their business of seven to eight per cent from 2000 onwards, when the overall industry was decelerating from eight per cent growth to a decline of three to five per cent by 2002. Whilst there was clearly no tidal wave of public works to make them rich in 2000 to 2002, nevertheless the market has gone in their direction recently, giving them great confidence to invest in equipment for their specialised work. 4 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research MARKET SIZE AND TRENDS Table 4. France: Sales of Hydraulic Excavators, 1993-2002 (Units) 1993 1994 1995 1996 1997 1,445 2,155 2,855 2,293 2,366 1998 1999 2000 2001 2002 2,865 4,000 5,100 5,155 4,100 Source: Off-Highway Research From 1991 to 1993, demand for excavators was very depressed, as public works activity decreased sharply in the recession. 1994 and 1995 showed signs of recovery but in 1995, 1996 and 1997 sales were barely below the long-term trend. After that matters began to improve. Interest rates fell, public works projects were unblocked and both commercial and house construction improved, necessitating the building of more access roads. In 1998 sales rose by 22 per cent, in 1999 by no less than 38 per cent and in 2000 by a further 27 per cent. The amount of hydraulic excavators sold since 1999 has been quite unprecedented. The machine has not increased seriously in its capabilities but in the last four years sales have averaged 4,600 units annually, compared to 1,900 in the 1980s and 2,200 in the early 1990s. The explanations are various. A good part of the demand was simply furnished by replacement of machines bought in the second half of the 1980s and reaching the end of their lives. Optimism in the business community was quite strong in the period from 1998 to 2000 inclusive. That optimism has gone now but it cannot be forgotten as a potent factor in sustaining investment in earlier years. It supported the wave of industrial/commercial building that gave work for hydraulic excavators, as well as being a part of the decision of so many users to buy construction equipment at that time. Admittedly, it was not simply a case of the mood disappearing on September 11 th, 2001. The public works market had already slowed in early 2001 and eventually pushed the excavator market downwards. 5 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Highly visible trading down to smaller machines. The sector from 7.0 to 12.0 tonnes has grown very quickly because of the insertion of such machines into rental fleets. The Caterpillar dealer and Komatsu’s own rental company have done this, as have some national rental houses, a few locals and some dealers. This has added 350 or more excavators to the market total in one year. Small machines were also very suitable for contracts for local authorities. To an extent the local authorities have even created new excavator users by giving out so much work. There is a countervailing danger that if local authority work dries up in the future, these users will have no cash flow from the only source that they know and might go bankrupt before paying off the loans taken out to buy the machines. Earth moving work has moved increasingly to the sub-contractors and they work with smaller machines in larger numbers. Advances in product design make the new small machines under 16.0 tonnes almost as productive as 20.0 tonne machines of ten years ago. Users such as the contractors just mentioned have had a strong incentive to replace machines from the frequent telephone calls which they have from export agents seeking good quality used excavators. The low value of the euro has made European excavators very easy to sell in Africa and the Middle East and export agents have to have stock to make turnover. They therefore pester franchised dealers to find machines and create deals by going directly to users with cash offers for machines that have been well maintained. The user can then employ the proceeds to buy part of a new excavator with the rest being financed by a lease that will undoubtedly be cheaper than he has seen for some time. The small excavators have proved their worth but the rental companies still have to satisfy themselves that the risk was worth taking. If that is so, then the market will change in nature in the coming decade after relatively little change in the 1990s. The two types of hydraulic excavator have broadly different roles. Wheeled excavators perform maintenance and renovation tasks in the urban works market, as well as a specific role in farm crop handling in the north; crawler excavators are the bulk earthmoving tools and the choice for any work involving machines over 20.0 tonnes’ service weight. In the latter part of the 1990s the share of the business was 60 per cent in favour of the crawler excavator and 40 per cent for the wheeled excavator. Since 2000 the market has been more 6 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research skewed towards the crawler excavator, even if sales of wheeled machines were very good in 2000 and 2001. It was slower than the wheeled type to show signs of recovery at the end of the decade, so its share of the business dipped in 1998 but went up again in 1999. Table 5. France: Sales of Hydraulic Excavators by Type, 1998-2002 1998 1999 2000 2001 2002 Wheeled Units % 1,265 44 1,530 38 1,940 38 1,800 35 1,500 37 Crawler Units % 1,600 56 2,470 62 3,160 62 3,355 65 2,600 63 Total 2,865 4,000 5,100 5,155 4,100 Source: Off-Highway Research New urban works such as the tramways being installed in provincial cities have favoured the wheeled excavators, which have been notably healthier. The results of 1999 to 2002 are the highest sales for wheeled excavators for at least 20 years. Part of this is due to the ongoing success of the Mecalac, a multipurpose machine that came on the market in the middle of the 1980s. Although it can work well as a wheeled loader and a fork lift, the machine is accepted by the industry as a wheeled excavator. Wheeled Excavators Table 6. France: Sales of Wheeled Excavators by Weight Category, 1998-2002 Tonnes 6-8 8-13 13-15 15-17 17-20 Over 20 1998 Units 25 380 385 235 220 20 Total 1,265 % 2 30 30 19 17 2 100 1999 Units 37 503 485 250 230 25 1,530 % 2 33 32 16 15 2 100 2000 Units 80 505 640 270 290 35 1,940 % 7 26 33 14 15 2 100 2001 Units 130 490 615 225 290 50 1,800 % 7 27 34 13 16 3 100 2002 Units 100 400 470 210 290 30 1,500 % 7 27 33 15 16 2 100 Source: Off-Highway Research The table above combines all types of wheeled excavator above 6.0 tonnes: Midi excavators in the 6.0 to 8.0 tonnes category. This category sits uneasily in the French context, because of the massive popularity of the 7.0 to 8.0 tonne backhoe loader, which has a 7 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research population of about 26,000 machines and annual sales of 3,500 units. In backhoe loaders buyers have concentrated on the 7.5 to 8.0 tonnes machine and, by ordering them with turbocharged engines and a variety of attachments, have made fairly good multipurpose machines. They also have a good road speed (35 or 40 km/hr), whereas hydrostatic drive tends to limit a wheeled excavator to speeds below 20 km/hour. The change that came over the market after 1999 was the result of the launch of the first successful small (7.1 tonnes) version of the Mecalac, called the 10MX and now known as the 10MSX. A previous small Mecalac weighing 8.5 tonnes and equipped with an Isuzu engine had been far from successful but the new machine is particularly quiet and has as an option the EasyDrive system for keeping the excavating and loading buckets level. The new machine has reawakened interest in small wheeled excavators, as it is manoeuvrable and able to load a truck without moving from its work position in a city street. It also has a reasonable maximum road speed of 27 km/hour. Standard wheeled excavators from 8.0 to 13.0 tonnes. This sector includes most versions of the Mecalac, which have a travel speed of up to 26 km/hour, with the largest version having a gearbox adapted to a maximum speed of 30 km/hour. The Mecalac has contributed half of the volume present in this sector, the rest coming from Italian machines made by Komatsu and FiatHitachi, or from Liebherr, all of them having devised solutions with offset booms and/or articulation. Ingenuity has come to the rescue of the small excavator, putting into it features like the offset boom to change the shape of the machine; or else remaking it entirely as M. Pingon did when he created the Mecalac. Standard wheeled excavators from 13.0 to 19.9 tonnes. These are legal to travel on the roads and they have always been popular. They are dominant in the northern part of France. It used to be that the interest was spread evenly over many sizes, from 13.0 to 19.0 tonnes, but in recent times the popular 13 to 15 tonne types have done particularly well. A strong argument exists for saying that buyers of wheeled excavators are not in fact looking for the sophistication that they receive. The driver is really governed by mundane factors such as traffic lights at the road repair where he is working, or the supply of trucks to take away his muck. What he likes is comfort and visibility and, being a small businessman, he cannot pay for great sophistication or extra pumps to give him faster rotation, which he does not need, anyway. Electronics are useful only if they feed a good supply of accurate information to the operator as to the state of the machine. If anything distinguishes his needs it is a high lift capacity, for many wheeled excavators work permanently with a clam shell, lifting muck out of the trench rather 8 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research than breaking it out of the pile; and a minority of them works each year loading potatoes and sugar beets in the fields. Wheeled excavators over 20.0 tonnes. These machines exceed the weight limits for driving on the roads, although they can be carried on low loaders, of course. They are more likely to be put to work in timber yards and metal scrap processing, where they have very long lives. They are sold with extra long booms and magnets, grabs or clamshells. Elevating cabs are a strong sales point in the materials handling market, which also looks for heavy duty undercarriages, in view of the working conditions. The volumes have been low but have risen recently as cable cranes have come up for replacement in ports and scrap yards and provided opportunities to sell large wheeled excavators. Crawler Excavators Table 7. France: Sales of Crawler Excavators by Weight Category, 1998-2002 Tonnes 6-8 8-12 12-14 14-16 16-19 19-21 21-24 24-33 33-50 50-90 Over 90 1998 Units 70 30 110 170 175 170 420 245 175 33 2 Total 1,600 % 4 2 7 11 11 11 26 15 11 2 - 100 1999 Units 120 40 180 225 270 375 625 375 225 30 6 2,470 % 5 2 7 9 11 15 25 15 9 1 - 100 2000 Units 290 99 255 240 340 580 800 280 230 45 1 3,160 % 9 3 8 8 11 15 20 9 7 1 - 100 2001 Units 410 140 340 220 285 590 620 410 285 55 5 3,365 % 12 4 10 7 8 18 18 12 8 2 - 100 2002 Units 380 100 285 180 210 440 530 290 155 25 5 2,600 % 15 4 11 7 8 17 20 11 6 1 - 100 Source: Off-Highway Research Small crawler excavators under 12.0 tonnes (midi excavators) did not sell well before 1999. A few mini excavator manufacturers made crawler-mounted models (‘big minis’) which came into this category and the rest of the market was to be found in a handful of models, mostly offering the type of articulated arm found on the much more popular wheeled excavators. In Japan crawler excavators of narrow dimensions and weighing 7.0 tonnes have become very popular. Caterpillar now makes such machines in France and Case started marketing the same formula, made by Sumitomo in 2000. Komatsu launched a machine on the market in France, 9 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research made in Italy, then in 2000 Kobelco made a determined assault on the French market with narrow-radius machines. Both Caterpillar and Komatsu believe that there is a market for rental of these machines and the respective rental operations, Slevmi and Relmat, both bought significant quantities of 7.0 tonne crawler excavators in 1999. In 2000 and 2001 others followed them, and they became at least theoretically widely available for users. That does not mean, however, that they are guaranteed a place in the market in the long term. Rental companies are in business to cover the cost of the machine with fees over four to five years of use and to make a good profit by reselling the units at the end of that period. By early 2003 it is too soon to say if the new machines are making money and certainly it is completely unknown what will happen when five year old machines are offered to used construction equipment buyers. The ‘seven tonne mini’ market has grown from 100 units to 400 units in a year. Much less attention has been paid to the 8.0 to 12.0 tonne sector, although three leading suppliers, Komatsu, Liebherr and Volvo have machines. The next centre of gravity is a product familiar from the distant past, the 13 tonne crawler. Crawler excavators from 12.0 to 16.0 tonnes are no great novelty. This is quite a popular size in Korea and in some European markets, and so the machines are there, available from many suppliers but not making a big success in France before 2000. The superior performances available in the latest machines have persuaded some buyers to trade down. The size of the 12.0 to 16.0 tonne sector this sector doubled between 1996 and 2000 but it has not increased its share of the total business by very much since then, only from 16 to 18 per cent. 13.0 tonne types have advanced, 15.0 tonne models have retreated 16.0 to 19.0 tonnes has always been a very popular size but has declined since 2000. Two groups have left off using them. One has traded up to machines around 19.5 tonnes, for the sake of more output and digging force, but without changing the low loader on which they take the excavator to the job site. The tendency to incorporate extra pumps and use long crawlers has also made the replacement models somewhat heavier, such as has happened with two important models from Case and Liebherr. Another group is the owners of yesterday’s 17.0 tonne machine, persuaded that better performance in smaller excavators makes it logical to replace it with today’s 15.0 tonne model. 21.0 to 24.0 tonnes is now the single most popular size for public works machines. The huge amount sold in 1999-2001, more than four times the rate of 1997, came partly from energetic 10 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research used equipment trading, and although the work available increased, the improvement was not dramatic. 2000, on the other hand, was a bonanza year for public works and encouraged even more purchasing of this basic earthmoving tool. Sales remained strong into 2002, even if the number of units sold declined in line with the market. Civil engineering applications, such as the TGV line to Marseille, have sustained the market for machines from 24.0 to 50.0 tonnes in recent times. The most popular are machines of 25.0 and 30.0 tonnes, selling particularly well in 2001-2002. In larger machines the rise in sales in 1999 to 2001 can be attributed to deferred purchasing. The market for excavators from 35.0 to 50.0 tonnes fell below 50 units per year in the middle of the 1990s, so by 1998 there was a real shortage of these powerful machines and building materials producers needed new production resources. The cement industry, the quarries and the gravel pits became good customers for a while. Above the 50.0 tonne mark, the demand comes mostly from quarries. The statistics show a regular pattern of replacement. When times are hard, it reaches down to 30 units in a year. When matters improve, it rises to 55 units, since the number of quarries does not vary much over time and, whilst the work in driving the TVG line through the hills of Provence brought a few sales there are almost no projects of that scale existing today. Design Trends The hydraulic excavator, representing a market of 20,000 to 27,000 machines per year in Europe, is the target of great interest in the aspect of product design. The French market exhibits many of the points which are interesting to manufacturers at the present time. Among the small machines there is interest in the commercial potential of the seven tonne excavators. In their favour they can use a standard light low loader or trailer to move them from site to site and can cross a road without damage if they are equipped with rubber tracks, as is the style in Japan. Equipped with electronic controls, they are usually easy to learn to operate, more so than backhoe loaders. Small machines can make themselves better accepted by being able to work in tight corners, which explains the ongoing success of the wheeled Mecalac, of course. Other devices that are appearing are booms that pivot on a mounting rather than being fixed to the frame at the side of the cab; and double parallel booms with offset mounting. 11 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research The seven tonne excavators are claimed to be part of a general phenomenon of trading down in terms of size. Users report that they are being paid less and less for a fixed amount of earthmoving as time goes by. They must seek lower operating costs and can no longer use an oversize machine. The weights of the machines used are probably reducing and will continue to do so. Some manufacturers are able to offer ultra-narrow machines where the counterweight rotates within the width of the tracks. In France this feature has been available on standard size crawler excavators up to 24.0 tonnes from Kobelco since 2000 and from Komatsu since 2001 at 13.0 and 23.0 tonnes. Kobelco was absent from the market for many years and decided to re-enter the market with a Unique Selling Point, which is the SR design, an ultra narrow machine available in sizes up to 22.0 tonnes. The concept has a big cost disadvantage, around 25 per cent when compared to machines of orthodox design. Kobelco made good progress but possibly its choice of dealers helped as much as its product design. Most other suppliers doubted that the idea would influence the market for compact excavators. In the French market it may well be held back somewhat by the Mecalac offering the ability to work in the same narrow space and France may be behind other markets for this reason. One aspect that is taking the attention of designers at present is road speed. To a large extent the providers of wheeled excavators have simply lived with the fact that their machines went slower than backhoe loaders but increasingly the clients are looking for better travel speeds. Wheeled excavators are increasingly able to travel over 20 km/hour but the equipment for braking, lighting and steering has to be uprated to road vehicle standard, which adds cost. The bigger consideration, however, is the heat generated and the need for a larger, more expensive engine. Neither the larger heat exchanger nor the bigger engine is actually needed to operate the machine. Road travel for heavy construction equipment is becoming harder. Local authorities are reportedly making the certificates for heavy transport harder to obtain and consequently some suppliers see a likely trend to using smaller machines, located in one region and never travelling across the country. In general, a 20.0 tonne crawler excavator and its associated trailer can pass anywhere but that is the maximum for movement without difficulty. PRODUCTION France accounts for 17 per cent of European hydraulic excavator production. The total production level has stagnated during the second half of the 1990s and only in 2000 did it exceed 12 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research the level seen at the beginning of the decade. The production level fell in 2002 because of the state of the European market; the closure of production at Furukawa; and the running down of crawler excavator production by Case. Table 8. France: Production of Hydraulic Excavators by Manufacturer and Type, 1998-2002 (Units) Manufacturer Liebherr Caterpillar CNH Mecalac Furukawa Grand Total Type Crawler Crawler Wheeled Crawler 1998 1,150 880 970 880 1999 1,450 1,000 930 600 2000 1,630 1,300 900 550 2001 1,500 1,250 980 380 2002 1,330 1,100 805 110 Total 1,850 2,000 1,450 1,360 915 Wheeled Wheeled Crawler 400 170 180 420 170 190 592 190 200 650 150 150 540 - Total 350 360 390 300 - Wheeled Crawler 1,540 3,090 1,510 3,240 1,682 3,680 1,780 3,280 1,345 2,540 Total 4,630 4,750 5,362 5,060 3,885 Source: Off-Highway Research Liebherr in Colmar has been the largest producer in France since 2001. The plant is part of the production system for the Swiss family company in respect of its earthmoving machinery. Colmar produces all the crawler excavators above 20.0 tonnes and employs 1,300 people. In normal times 30 per cent of its production goes for sale in Germany and it is the state of the German market that brought the production level down in 2001 and 2002. The product line has recently been divided into two management units. Standard excavators run from 18.0 to 85.0 tonnes and are sold about 85 per cent in Western Europe. Excavators of 100.0 tonnes and more are now classified as mining products, to be linked with the growing line of rigid dump trucks built in the USA. To emphasise the difference the mining excavators sport a standard bodywork colour of white, as do the rigid dump trucks. Production volumes in the mining product area are small but the company continues to introduce new products. In late 2002 it launched the R994B Litronic at 300.0 tonnes’ service weight and phased out production of the R992. 13 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research In the standard contractors’ machines the range from 25.0 to 45.0 tonnes has been updated to ‘B’ versions since the last report, incorporating low-emissions engines and improvements to the hydraulic circuit performance, as well as bodywork with a more curved cab. Caterpillar has been producing compact hydraulic excavators at its plant in Grenoble since 1992. The excavators were inspired by the Japanese style of very compact midi, designed by Japanese staff but engineered for the European market. The range was extended with the addition of the 19.5 tonne 318B in 1999, so the production is now divided between four different basic models. In 2002 the European dealers launched the first of the ‘C’ series products to be built in Grenoble, the model 312C. The cab is the main change, with a new design for the controls. The machine incorporates an uprated hydraulic flow for attachments and an optional Tool Control Pro electronic control system allowing the flow and pressure settings for up to five different attachments to be pre-set on a console in the cab. The plant features a very high level of investment and pursues the usual Caterpillar policy of making parts for itself and selling some of its output to other Cat facilities. The most impressive installation is a machining centre capable of making in immediate succession the frames for either a compact crawler excavator or a crawler loader. The assembly line for hydraulic excavators was completely renewed in 1997 and in 2000/2001 output was 60 per cent higher than before. CNH has preserved the hydraulic excavator production facility at Crépy-en-Valois, 40 kilometres to the north-east of Paris since the merger. The plant was revolutionised by Case and has extremely advanced management system and production machinery. In the context of the 2000 review of CNH production capacity, the facility in France was bound to be part of the review, since the company had three plants building hydraulic excavators in Europe but the consolidation of three into two did not happen, although the behind-the-scenes discussions over the French plant seemed at one stage to point to its closure. Crawler excavator production has dwindled at Crépy and is more or less restricted to the models 988 and 1188, destined for the French market. Most crawler excavators sold by Case in Europe (and elsewhere) come from Sumitomo in Japan. Two models of midi excavators come from Italy, not from the French plant but the good news is the recent launch of the WX series models from to replace progressively the ageing 88 series of wheeled excavators. 25 to 30 per cent of the units go into Customer Applications, a special facility to the side of the end of the production line, where special versions are made. They are for metal and wood handling, demolition and even mounting on barges or pylons. There are rail/road versions of the 14 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research 788 and 988 models and an industrial version of the 1188. The company also manufactures a quick coupler for the 88 series; and brands another system for the 90 series, excavators made in Japan by Sumitomo. Both the couplers are designs by Miller of the UK. Mecalac is the brand name of a unique multi-purpose machine which combines the functions of an excavator, loader and tool carrier. A wide range of attachments and a quick-coupling system increase the machine's versatility and operating capacity. It is conceived for working in narrow spaces and in various ground conditions. It can dig and then load the spoil into a truck waiting 180º degrees behind itself, a feat which a backhoe loader cannot execute at all. The inventor, M. Pingon, launched it in 1980 and opened a plant in Annecy, near the Alps, to assemble the machine, which at that time was only a basic 8.0 tonne version. In the 1990s he added further versions. The Annecy plant has a covered area of 5,800 m2 on a site of 20,000 m2 and employs 125 people; a component plant described in the next section employs a further 50. The ownership of Mecalac has changed several times during the life of the company. In 1995 Volvo purchased it when it bought Groupe Pel-Job. Mecalac aligned its marketing to an extent with that of Volvo in the ensuing years but in the end Volvo came to the conclusion that as a product it did not offer the potential for marketing all over the world which it was seeking from its creations or acquisitions. In 1999 it sold Mecalac back to it former owner, Henri Marchetta. In 2002 the company reorganised its product line as the Tier II engines became necessary. The small 10MX became known as the 10MSX. It is powered by a quiet Cummins engine, and has the option of the EasyDrive system, an aid to simplified operation, allowing a single control for trenching and keeping the excavating and loading buckets level wherever they are in their working cycles. It has sold well. The nine tonne 12MX model has disappeared in favour of a model of the same size but employing the same Cummins engine as the 10MX. The turbocharged 12MXT continues as before and the range is topped with the 13.0 tonne 14MXT. This has a second gearbox for road travel and a newer control system. 15 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research The Mecalac Group acquired a controlling interest in Ahlmann, the German wheeled loader manufacturer, from Manitou in April 2002. The Group now comprises: Mecalac in Annecy, France Hydromo, making components 20 km away in Albens Framateq Paris, the dealer for that region Ahlmann Baumaschinen (74 per cent owned) Ahlmann Duisburg, Germany (a dealership for the two companies in the Ruhr) Ghezzi, the Mecalac dealer for northern Italy. The turnover in 2001 was €61 million, or €99 million including Ahlmann. The group employs 410 people. From 1995 to 1999 Mecalac production stood still or even slightly declined, for instance in terms of its share of European wheeled excavator output. The company is determined to rectify that and will finance new product development which was suspended during the Volvo years, according to the company. The market share in Europe has progressed from 4/5 per cent to seven per cent and the earnings have partly been put into new product development. New creations ready for launch in the near future will still keep the company in its area of compact earthmovers and will confront the hydraulic excavator competitors more directly. A 14 tonne machine on tracks and wheels is the first of several projects. The aim is to keep the product range ahead of the competition, which greatly admires the basic concept of the machine, for which there is no imitator at present. The trading down to smaller machines which the industry expects in the coming years should favour the company and efforts to improve its sales performance in southern Europe should bring results to help finance the ongoing development. Furukawa ceased building wheeled and crawler excavators in its plant at Genas, near Lyon at the end of 2001. In 1989 Furukawa of Japan bought the European construction equipment activities of Dresser of the USA. It has now been liquidated and the owners have founded a company called Furukawa Services for the support of customers and the supply of spare parts from the depots in Heidelberg and Genas. The last products were up to date European machines but they lacked success in creating volumes. The final blow was when the European market flourished and it had a chance to sell more machines in 2000. Quite simply, it found itself at the end of the queue for vital pieces supplied by outsiders and could not produce more than 390 machines in the year. 16 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research COMPONENT SOURCING Since the publication of the last study all the manufacturers have introduced new models and updated their ranges. Component suppliers have changed considerably, so that engine supply has become dominated by Cummins in all companies except Caterpillar; and Siac, the Italian cab manufacturer, has been particularly triumphant. Table 9. France: Component Sourcing for Hydraulic Excavators, 2003 Engine Hydraulic Pumps Hydraulic Motors Transmission Control Valves Cylinders Axles Cabs Undercarriage Tracks Buckets Tyres Caterpillar Mitsubishi, Perkins Kawasaki Rexroth Rexroth Caterpillar Joliet Caterpillar Jesi TIM In-house Caterpillar In-house - CNH Case Rexroth Rexroth Carraro Rexroth, Marrel Case Tracy Carraro Case Croix In-house Mitas, Michelin Liebherr Liebherr, Cummins, MTU Liebherr, Linde, Rexroth Linde, Rexroth Liebherr Rexroth Liebherr Kirchdorf Siac In-house Intertractor/Berco In-house - Mecalac Cummins Rexroth Rexroth Rexroth Hydromo Hydromo Dana Siac In-house Mitas Source: Company Information Caterpillar makes as much as possible of its components. The Grenoble plant, for instance, has a famous machine tool which makes every single track pin used in any Caterpillar machine in the world. The volume from the final assembly processes would not justify its use but the adding of the entire corporation’s needs together creates a very attractive volume and one which merits the use of the latest, most cost-effective technology. The sourcing pattern for the hydraulic excavators is influenced by the fact that the products are designed in Japan. The small model 307B has an engine from Mitsubishi Motors and the 318B from Mitsubishi Heavy Industries, while the pumps which they drive are from Kawasaki. Perkins engines are in the rest of the range made at Grenoble and Rexroth supplies both the motors and the gearboxes. The component list shows a high proportion of the machine coming from various Caterpillar plants around Europe and the rest of the world. The sticks come from the Caterpillar facility at Tosno, near St. Petersburg, Russia, adding yet another Cat facility to the list of suppliers. 17 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research CNH uses two company plants in France which supply components. The Croix plant supplies cabs, while the plant at Tracy-le-Mont makes cylinders and swivel joints. The plant fabricates the chassis and frames, as well as the upperworks for all types of machines. The new wheeled excavators have gearboxes and axles supplied from Carraro of Italy, as before. Liebherr has a similar attitude, even if its production volumes are much smaller. It uses its own Swiss-built engines in all sizes from 100 to 400 horsepower and incorporates elements such as its own power splitters into the hydraulic circuits, even if the main elements such as the motors are from Rexroth and others. The Colmar plant is a full manufacturing facility and one acquisition recently has been a 1,000 tonne LVD press for making a wide variety of fabricated pieces from the steel plate cut at the beginning of the production process. Mecalac uses a component manufacturing plant of its own called Hydromo at Albens, 20 km away from the assembly plant. It makes cylinders, swivel joints and fabrications. The Cummins engines drive a Rexroth pump and motor assembly, with the very complex distributor block at the heart of the hydraulic system being supplied by Hydromo. The rest of the major suppliers are noted above. FOREIGN TRADE Table 10. France: Exports of Hydraulic Excavators by Manufacturer, 1998-2002 (Units; % of Production) Liebherr Caterpillar Case Mecalac Furukawa 1998 Units 975 720 1,350 140 280 % 85 82 73 35 80 1999 Units 1,220 760 1,350 110 260 % 84 76 68 26 72 2000 Units 1,380 1,180 750 140 320 % 85 91 52 24 82 2001 Units 1,220 1,100 760 190 235 % 81 88 56 29 78 2002 Units 1,105 1,000 530 190 - % 83 91 68 35 - Total 3,465 72 3,700 70 3,770 70 3,505 69 2,825 72 Source: Off-Highway Research Exports are very important to all suppliers but the proportion of production sent to other countries has fallen during the 1990s. At the end of the period the home market was extraordinarily good and so took a large share of the available production but there are other reasons. A deteriorating performance by Liebherr’s crawler excavators, Furukawa and the Mecalac in the rest of Europe all contributed to the change. 18 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Liebherr is now the leading exporter. It is in a similar position to Caterpillar, supplying part of its crawler excavator range from the plant in France. In this case Liebherr-France supplies twothirds or more of all needs and all of the mining excavators. The volumes shown for Europe, therefore, are not the whole picture for exports from Colmar. Table 11. Liebherr: Sales of Crawler Excavators in Europe by Country, 2002 Units 72 18 26 3 270 9 115 35 11 81 45 80 Austria Belgium Denmark Finland Germany Ireland Italy Netherlands Portugal Spain Switzerland United Kingdom Total excl. France Market Share % 10 4 12 1 12 2 3 6 3 8 10 2 765 5 Source: Off-Highway Research The total volume sold in the rest of Western Europe has dropped by 25 per cent since, purely because of the German market. German products account for all machines under 20.0 tonnes, so Colmar probably supplied only about 600, leaving about 600 to be sold in the rest of the world, 50 per cent more than in 2000. Approximately 200 went to North America, where Liebherr has two per cent market share. The Caterpillar export effort is more difficult to analyse, as the range made by Caterpillar France covers only about a quarter to a third of the crawler excavator sector. In broad terms one can note that Caterpillar’s 300 series is the market leader in crawler excavators in Europe, with a share of 21 per cent. There are, nevertheless wide variations in performance, so that in 2002 Italy was the best, with 33 per cent while the UK, Finland and the Netherlands were the worst, with 13 per cent. Nearly 90 per cent of production at Grenoble is exported every year and the hydraulic excavators are nearly all bound for markets in Europe. CNH has suffered a major fall in export volume sent out by the French plant. It has ceased exporting crawler excavators and its range of wheeled excavators was not renewed until late in 19 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research 2002. Case has now filled most of the gaps in its product range by marketing crawler excavators from Sumitomo of Japan. The Case market share picture is summarised below. Table 12. Case: Sales of Wheeled Excavators in Europe by Country, 2002 Units 7 22 10 4 61 14 31 17 5 6 147 4 19 98 Austria Belgium Denmark Finland Germany Ireland Italy Netherlands Norway Portugal Spain Sweden Switzerland United Kingdom Total excl. France Market Share % 4 11 31 5 3 29 5 3 5 13 18 2 8 25 445 8 Source: Off-Highway Research Case is in sixth place in these markets as a whole, a position which will surely improve when the new range is available. The best markets are, as before, Spain and the UK, both served by company subsidiaries. Table 13. Mecalac: Sales in Europe by Country, 2002 Belgium & Luxembourg Germany Italy Netherlands Spain Sweden Switzerland Total excl. France Units 13 31 30 8 6 1 13 Market Share % 7 1 5 1 1 1 5 102 2 Source: Off-Highway Research Finally, to Mecalac. This product is in a class of its own, as far as marketing is concerned. It has won its place by heavy promotion and by demonstration. Only in France are there sufficient 20 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research machines on the ground to allow potential customers to see others using it. The export percentage fell from 80 per cent to below 25 per cent in the 1990s, showing the effect of neglecting the promotion aspect. Since the change of ownership, the export ratio has turned upwards and is now over one third. MARKET SHARES Table 14. France: Major Suppliers of Hydraulic Excavators and Their Market Shares, 1998-2002 (Per Cent) Case Caterpillar Liebherr Mecalac Komatsu Fiat-Hitachi Volvo JCB Others Total 1998 18 17 18 9 12 8 1 7 10 1999 16 17 17 8 11 8 2 6 15 2000 16 16 16 9 11 8 4 6 14 2001 17 17 17 9 7 7 6 6 13 2002 19 16 16 9 9 7 6 5 13 100 100 100 100 100 Source: Off-Highway Research In 1999 and 2000 Caterpillar took first position in the market away from Liebherr, which was slow to react to the better market. Liebherr recovered by 2001 because of its strong performance in wheeled excavators and then promptly lost all the ground gained in 2002. Conversely, Case suffered a serious loss of share because of its performance in that sector, descending to only 16 per cent in 1999 and 2000 but climbing back up again in 2002. One Korean manufacturer, Daewoo, reached the threshold level of five per cent market share in 1999 but faded again in 2002, at the same time as Volvo made a strong start with its Korean machines. Wheeled Excavators With four out of every ten excavators being sold on a wheeled chassis and a strong interest in small, general purpose machines still evident, it is necessary for any manufacturer who wishes to play a full part in the market to have a complete range of products. This secures the interest of an effective dealer network, when such dealers are very hard to find. Some of the minor marques have only a few strong dealers and thus end up with a national market share that is far below what they would like to have. 21 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 15. France: Suppliers of Wheeled Excavators and Their Market Shares, 1998-2002 Mecalac Case Liebherr Caterpillar Komatsu Fiat-Hitachi JCB Daewoo Volvo Furukawa Terex Atlas Hyundai O&K Others* 1998 Units 256 286 264 138 82 59 62 36 8 34 17 16 7 Total 1,265 1999 Units 310 325 318 129 112 75 71 52 23 43 25 14 22 11 % 20 23 21 11 6 5 5 3 1 3 1 1 1 100 1,530 2000 Units 450 380 375 191 165 60 73 81 20 47 30 36 20 12 % 20 21 21 8 7 5 5 3 2 3 2 1 1 1 100 1,940 % 23 20 19 10 9 3 4 4 1 2 2 1 1 1 100 2001 Units 464 305 409 177 60 101 71 65 44 30 30 18 16 10 1,800 % 26 17 23 10 3 6 4 4 2 2 2 1 1 1 100 2002 Units 370 320 294 178 87 68 52 36 35 20 15 13 12 1,500 % 25 21 20 12 6 5 3 2 2 1 1 1 1 100 *Others include Samsung and Schaeff Source: Off-Highway Research During the 1990s the multipurpose Mecalac won many converts, keeping its market share above 20 per cent in most years. Case pursued a conservative pricing policy to a more one but remained the best seller in conventionally designed machines, while Liebherr widened its range and defended its corner of the market. Caterpillar, previously unknown as a supplier of wheeled excavators, took the chance to use the commercial power of its dealer, Bergerat Monnoyeur, to good effect but found the limit of its power to be lower than expected. The minor manufacturers now offer a wide variety of different machines and in future buyers will consider more possible suppliers than they did in the past. Mecalac did extremely well in 2001 and 2002. One explanation lies in the usefulness of the machines in working in already built streets to help install tramways. Whilst the design has great advantages in not occupying much road space when working in the middle of the street in Lyon, Toulouse or Bordeaux, not every city is installing a tramway. Sales of the Mecalac are not confined to that eye-catching application. The product has been endowed with a more modern bodywork and quiet engine. It has made a lot of sales in replacements of machines bought in the early and middle 1990s but has also increased the number of users by more than 100 per cent since 1995. Case has continued to offer simple, reliable machines at very competitive prices. Since the early 1990s it has aimed at better profit margins on each unit sold. Competitors have shown an 22 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research increased interest in taking sales away from the former monopolist. Case’s market share has come down to a level that is more to be expected in an open market, characteristic of the Europe of today. Liebherr has kept its relatively high and stable share of the market. It has no part of the agricultural handling business that in part sustains Case and lives off small contractors. The product is considered by them to be a desirable tool, although it is expensive. Liebherr marketing has hardly changed in this sector in ten years. Lack of change means a steady presence that makes the product easy to resell at a high price. Liebherr dealers are very efficient at used machinery marketing and machines are quickly resold in France or Germany. Caterpillar increased market share until 1998 but there still seems to be a degree of difficulty for French buyers in accepting Caterpillar as the best supplier for an everyday machine such as a 13.0 or 15.0 tonne wheeled excavator for repairing broken sewer pipes. Komatsu built up its market share in compact and standard wheeled excavators from 1997 onwards from almost nothing but in 2001 hit difficulties with over valued used machinery and with financial fragility of some of its dealers. It installed a number of wheeled excavators in its Relmat rental fleet in 1999 and 2000 but the return on investment was not encouraging and Relmat has been redirected towards its traditional market area of compaction equipment. Fiat-Hitachi has been steady but far from as impressive as it is in the crawler excavators. The dealer network has grown but, like many others, Fiat-Hitachi has difficulty in being accepted for its wheeled machines. For the period up to the end of 2002 its inspiration in product conception was Hitachi, a company whose homeland is not one which accepts the wheeled excavator very much. In future it will sell its machines under the Fiat Kobelco name. JCB is similarly affected. Having begun to sell wheeled excavators in France only in 1994, it is working its way into the affections of French buyers. Fortunately for it, the brand is well known among users of medium-sized construction equipment and it has progressed from 40 machines per year to reach over 70 sales in 2000 and 2001. 23 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Crawler Excavators Table 16. France: Suppliers of Crawler Excavators and Their Market Shares, 1998-2002 Caterpillar Case Liebherr Komatsu Fiat-Hitachi Volvo JCB Daewoo Hyundai Furukawa Kobelco Yanmar O&K Others* 1998 Units 340 242 264 250 173 18 130 57 51 37 12 26 Total 1,600 % 21 15 17 16 11 1 8 4 3 2 1 1 100 1999 Units 542 330 347 329 262 47 186 157 88 57 28 29 23 45 2,470 2000 Units 630 421 425 398 329 179 223 226 73 71 97 64 23 1 % 22 13 14 13 11 2 8 6 4 2 1 1 1 2 100 3,160 % 20 13 13 13 10 6 7 7 2 2 3 2 1 - 100 2001 Units 676 580 485 322 280 240 233 215 65 65 95 59 27 15 3,355 % 20 17 14 10 8 7 7 6 2 2 3 2 1 - 100 2002 Units 483 445 345 269 215 209 152 112 60 104 91 12 103 2,600 % 19 17 13 10 8 8 6 4 2 4 4 4 100 *Others include Kato, Neuson, Kubota, Samsung and Schaeff Source: Off-Highway Research Caterpillar has been the market leader since 1993. Its 300 series is now into its third generation with the ‘C’ series in some models. The small machines up to 19.0 tonnes are made in France, the rest supplied from the plant in Belgium. It has lost some market share since the last report, mainly because some significant competitors have been better organised, and not because of any shortcomings in its products or the dealer, which offers the best after sales support in the industry. Case has done much better since the time of the last report. In 2000 to 2002 it launched the Sumitomo models progressively, so that by the beginning of 2003 it had 13 different models (including some ultra-narrow designs), as opposed to six in 1998. In 2001 and 2002 it showed that it was regaining the confidence of professional earthmoving people in its larger machines and increased its market share to 17 per cent. Liebherr has not performed up to its full potential since 1996. Given the high quality of its network, including the branches, the integrity of its product and the fact that much of the range is made in France, one would expect the market share to be around 20 per cent in 2002, not the 13 to 14 per cent actually achieved. In the short term it has committed yet again the error of not increasing production sufficiently when the market went well. One also has to question if the 24 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research company is not isolating itself as the producer of large machines for civil engineers needing 24 to 33 tonne mass excavation tools, when the liveliest part of the market lies in the under 19 tonne sizes, where Liebherr has only a minor production in Germany. Komatsu has already been mentioned as having undergone major difficulties in 2001. These affected the performance in the crawler excavator area, although the company still held onto 10 per cent of the market in 2001 and 2002. Fiat-Hitachi managed to take full advantage of the growth in 1999 by selling more than 250 of its new EX range from Italy but since then its share of the business has weakened, with some uncertainty being present after the announcement of the formation of Fiat Kobelco in April 2001. Volvo relaunched its excavators in France in 2000, reorganising its dealer network to give full commitment to the excavators, for which it would like to win a ten per cent share of the market in the near future. The new line-up is mostly of Korean products and offers six models from 15.0 to 48.0 tonnes, with a seventh model at 16.0 tonnes being added in early 2003. The other Korean manufacturers are relative newcomers to the market. They had difficulty establishing themselves and the task of achieving a full dealer network covering all six corners of the country has proved to be a huge challenge for them. Samsung arrived in 1992, Daewoo in 1993 and Hyundai in 1994. Daewoo has proved to be far better than Hyundai at recruiting dealers who can win customers but hit difficulties in 2002. Concealed among the suppliers credited with apparently small shares of the overall market are manufacturers of 7.5 tonne midi crawler excavators. Yanmar’s sales in 2002 give its ViO 75 model about 25 per cent of the sector; Neuson has its 8002 winning 17 per cent; while Caterpillar, Kobelco, Komatsu and Kubota each score just under 10 per cent of this growing market. MARKETING AND DISTRIBUTION Dealer networks are looking for customers for new machines but primarily they exist for the servicing of the needs of regular operators of machines which are kept for up to 8 years. A national presence implies a network of about 25 points as a minimum. Most suppliers maintain a single national parts stock in France, although Bergerat Monnoyeur keeps stock at its 14 regional branches. 25 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 17. France: Distribution Systems of Hydraulic Excavator Suppliers, 2003 Company Subsidiary No Yes No Yes Yes Independent Importer No No Yes No No Number of Branches 14 1 Hitachi Hydrema Hyundai JCB Kato Kobelco Komatsu Liebherr Mecalac O&K Takeuchi No Yes No Yes No No Yes Yes Yes Yes Yes No No No No Yes No No No No No No 1 5 4 1 1 Independent Dealers or Agents 4 22 22 20 (28 for Compact Line) 14 7 34 9 13 14 9 14 16 Volvo Yanmar Yes No No Yes 4 9 26 Manufacturer Atlas-Terex Case Caterpillar Daewoo Fiat Kobelco Depots 4 41 50 30 21 7 34 12 20 25 28 14 17 36 32 Source: Company Information Atlas-Terex has a regional sales manager developing a wider network, which covers the north-east, the Paris region and the north. In the Paris region Payen sells its wheeled excavators, for example, alongside the small wheeled loaders. Payen is the national importer for Kawasaki and Atlas wheeled loaders, as well as working as a regional dealer for lines such as Fiat Kobelco, Lebrero compaction equipment and Neuson mini excavators. Case has one of the best dealer networks in the industry. In the 1990s Case progressively disengaged from owning branches, creating a totally independent network to cover the construction equipment market in France. Since 1995 nine branches have been transferred or closed. In a few cases, such as Bordeaux, the establishment has been sold to its management but the capital requirement has been a barrier to the wholesale transfer of the branches to the employees. Caterpillar has worked with Bergerat Monnoyeur for over 60 years. The branch network can reasonably be described as superb. Each of the 14 regional offices, which are major service centres for important market areas, has a director with three or four salesmen and a similar number of servicemen. Within the regions are 36 satellite workshops, which are responsible only 26 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research for service and the supply of spare parts. They offer a full service capability for competitive makes and are not justifying their existence purely by their work on Caterpillar machinery. Daewoo changed the structure of its representation in 1999. Euro Daewoo, the manufacturing and sales subsidiary of DHI&M, has founded a company in France to take over responsibility for France from Daewoo Automobile. The new dealer network consists of 22 dealers covering most of France except for Burgundy and the south-west. The company also has no great presence in the Ile-de-France region surrounding Paris, although it does try to sell directly to rental companies. Fiat Kobelco has inherited most of the network built up in the 1990s by Fiat-Hitachi. Fiat-Hitachi undertook many changes in the early 1990s to create a network suitable for selling hydraulic excavators and then in 1996 it created a Compact Line, which includes hydraulic excavators up to 15.0 tonnes’ service weight. There are now 20 Compact Line dealers (plus the CNH Paris branch), while 19 dealers and Fiat Kobelco Paris sell Fiat Kobelco Heavy Line products, including the hydraulic excavators. Hitachi has a major task to build up a network in France. A small branch of the operation in the Netherlands has been recruiting dealers since the summer of 2002 and in February 2003 it revealed during its launch of the Dutch factory that 14 dealers had been signed up. It needs at least 20, to assert itself as a major supplier and may well achieve that by the end of summer 2003. It has a solid reputation for its excavator technology but dealers cannot live from that alone. The wheeled loaders to be made in France need to be rapidly accepted and the mini excavators must achieve a good position in the competitive world of rental. JCB has benefited from having a powerful and stable dealer network. The dealers are nearly all independent but JCB controls the marketing in the Ile-de-France region itself from two retail branches, north and south of Paris, and owns the dealership in Lyon. In six of the territories JCB has appointed sub-dealers, primarily for parts and service. They are there to catch a maximum of small owner-drivers where they are remote from the main dealer. The main dealer in such cases usually handles sales. The large presence at Sarcelles, the headquarters of JCB France near Paris, is a major asset to the sales effort. On the site JCB has built its European Training School and put it into a unit called JCB Euro Services, where they can even send drivers there for training if they wish. Similarly 27 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research the dealers benefit from a stock of parts kept there, which gives 92 per cent availability within 24 hours. Dealers now have to keep a permanent stock of 200 fast moving items. Komatsu has suffered the most publicised difficulties of all in trying to build and maintain its presence in France. Its efforts to build a new network based on the totally revamped company at Aubergenville, near Paris, have been frustrated by the financial weakness of its dealers, which have disappeared regularly. The efforts to build a new network have been frustrated by the financial weakness of its dealers, which have disappeared regularly. Faced with this problem, the company cannot build entire new branches, this being a costly option abandoned in the past by competitors. Equally, it finds the task of recruiting good quality dealers very difficult. The solution upon which it decided was to accept to build agencies in Marseille and Lyon and to cover five other areas of the country for itself, including using the headquarters as the home for agencies for the Ile-de-France and the Loire Valley. It tried to use the branches of its rental company, Relmat to provide service facilities for customers but this proved very expensive and is not much used. Liebherr has an exceptionally stable dealer network, displaying no change in the last ten years. The branches in Colmar (Alsace), Paris, Marseille and Bordeaux continue to play a major role in the selling of construction equipment. Whilst this was considered a weakness at one time, the diminishing role of the independent dealer and the entry of rental upon the scene in standard hydraulic excavators make the branches appear much more of an asset today. The rental company which started in 2001 will certainly find the branches indispensable. Mecalac has only nine dealers in the whole country, many of them under the name of Framateq. Framateq has always been the seller of most of the Mecalac units in France, having been created by M. Lecluse, the commercial partner of M. Pingon, the inventor of the machine, since the earliest days. Framateq has been a very expansive company and its various branches around the country hold many different construction equipment franchises. Mecalac has never been a problem to other suppliers - there is no direct competition to the Mecalac idea. For a period Volvo owned it but all the units have been sold off, which includes Framateq Paris, which has been sold to the Mecalac Group. Volvo has a sales subsidiary near Paris to market all Volvo group construction equipment products, with a sales office of its own for the region. Since the last report Volvo has reorganised its network in view of the decision to attack the volume excavator market. Some dealers have been dropped and others changed ownership and commercial policy. One of them, 28 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Payant, was selling Fiat-Hitachi hydraulic excavators and Volvo products. It separated the two franchises with the Volvo activities being based in Lyon and the Fiat-Hitachi franchise elsewhere. For large excavators nine large territories cover France entirely but one is a group, with two companies and four branches and seven of the others have multiple branches. PRICING Low inflation was the norm in the second half of the 1990s and excavator prices did not move in five years. Since then a mild amount of price increase has been achieved, perhaps two per cent in three years. Some suppliers dispute this because they claim that certain suppliers have offered low prices to buy themselves into the market and would analyse the position as unchanged on balance. What is not in contention is that the cost increases associated with the installation of Tier II engines have not been passed onto the customers, to whom the reduction in emissions are frankly of no interest whatsoever. The customer has more for his money when specification improves but the Tier II engines are not seen as an improvement at all. Table 18. France: Average Transaction Prices of Hydraulic Excavators, 2003 (€’000) Type Wheeled Crawler Service Weight (tonnes) 11-13 13-15 15-18 20 2000 76-84 84-100 100-115 115-130 2003 78-86 86-102 102-117 117-132 16-19 19-25 25-35 79-88 84-91 107-115 81-90 86-93 109-117 Source: Off-Highway Research Any supplier, however powerful, has to consider the real value of the trade-in machine, as well as the value that his customer believes it merits. On the other hand, one cannot assume that every deal implies a user going to a dealer with the keys to an old hydraulic excavator in his hand. Contractors do like to trade in the larger machines, but at the same time those owners are the prime source of material for the used construction equipment specialists, who pester them continually to find stock. Just over half of large excavators are destined to go back to the seller of the original machine, and most of the rest goes to specialised used construction equipment dealers. These used construction equipment dealers have certain prejudices, in favour of the machines which they believe have international potential and give them a wider market. 29 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Rental companies increasingly favour buy back contracts from the manufacturer, with a usage period of one to two years. The manufacturer then has to resell the machinery, and it is usually routed to a broker or a used construction equipment specialist. This implies that by 2004 the used construction equipment trade will be trying to dispose of several hundred midi excavators, to a group of buyers who have never used them in their lives. One of the most frequent routes for selling is to place a small advertisement in the mass circulation “La Centrale du Matériel”, which is available as a magazine and as a website. The law demands that the sold machine has to be in conformity to the CE machines directive, with any work being done at the seller’s expense, and the seller has to pay for a certificate to be prepared to that effect. On the other hand, there are changes of law which affect long lived machines; so that by the time they come to be resold they are no longer legal for sale in the European Union. Those machines are often sold to used construction equipment exporters, who are warned very strictly not to sell them in Europe. Dealers in new construction equipment like to resell used machinery that is in good condition, preferably into their own territory. Notwithstanding the good sense of this, they do not always have a large enough local market, so they sell to brokers and used construction equipment specialists. Dealers are open to selling abroad, and exports tend to go at present to Portugal as the first destination, followed by Spain and then North Africa. Brands like Caterpillar and Komatsu can go anywhere but Liebherr machines, for example, either stay in France or go, unsurprisingly, to Germany. POPULATION AND END-USERS The size of the excavator population can rise and fall in the medium term, since in busy periods contractors earn more income from their machines and replace them more quickly. In hard times, such as at the beginning of the 1990s they keep their machines for much longer and the population grows, with the oldest machines not being scrapped or exported. In the last report Off-Highway Research commented that the applications and the degree to which excavators were used had not changed in the 1990s. The population grew from around 22,000 units to 25,000 units, with most of the growth being at the end of the period. In the last three years conditions seem to have changed and the population has risen to 32,000 in a very short time. 30 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 19. France: Population of Hydraulic Excavators by Type of User, 2003 Units % Construction – Civil Engineering – General – Housebuilding, Factories, Offices – Roads – Landscaping & Water Industry Rental companies Agriculture Quarries 11,400 6,400 4,800 2,900 2,900 1,300 1,500 500 300 35 20 15 9 9 4 5 2 1 Total 32,000 100 Source: Off-Highway Research The public works industry has changed from being characterised by large enterprises possessing impressive fleets of machines to a pattern of the project directing company giving contracts for earthmoving to others. These are the biggest owners of hydraulic excavators today. Some of them are specialists in the moving of earth and rock (like Razel, owning 6,000 heavy earthmovers) but many are small entrepreneurs owning at most five machines and looking for work in their locality. It is they who have probably been most responsible for the increase in the number of machines active. In the north of France some of them find work in the early part of the winter handling beets and potatoes, hence the population of excavators for agriculture noted above. This is an important activity for the wheeled excavator sector but the customers are not farmers but rather the transport companies used by the sugar refineries or excavator owners used by the transport companies to fill the trucks on the field. Other significant users of excavators in industrial applications include scrap metal and timber. The scrap metal trade is fond of the simple wheeled excavator but it does have other methods such as electric handling arms and overhead travelling cranes. Equally wheeled loaders and rough terrain lift trucks can handle timber. The industrial applications of excavators have proved in France to be an interesting niche but a very small one with no great hope of growth. Rental companies and their role in the population are a source of much debate. There are in reality very few traditional rental companies involved in standard hydraulic excavators. One exception in the past was Alsace and Lorraine in the east. Locarest had a monopoly of construction equipment rental there until about 1990. It had a fleet of 60 hydraulic excavators, 31 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research mostly on wheels, all Poclain, with 100 drivers for them and other machines. Many of the excavators were antiques but in that area of France nobody kept spare machines because they all knew that Locarest had machines ready to help them at any time. Since that time the fleet has been renewed and reduced but it is well patronised. In the Paris area CFE, a small private company, tried with some success in the 1990s to introduce the concept with a mixture of machines from 12.0 to 70.0 tonnes but with no more than a dozen machines divided between nine sizes. It had two small competitors in Lheureux and Sofrac, while Bergerat Monnoyeur, the Cat dealer, had a number of Caterpillar excavators. The problem was that the supply was quickly exhausted, so potential users felt that they could not count on rental. They bought machines, as they had done before. Then rental increased in respect of other products and contractors asked themselves why they could not adopt it as a method of laying hands on equipment when they needed it. The late 1990s witnessed a slow increase of manufacturer to end-user rental deals and rental-with-optionto-purchase. Finance companies like Loxxia would provide the funds to enable a dealer to rent a new excavator if the customer wanted that type of arrangement. Rental companies with adequate funds, such as Loxam, began to create fleets of 12 and 20 tonne excavators but not on a scale to create a complete change from the old pattern of buying, servicing and reselling. Hertz purchased in 2000 a company, Loc Energie, which had made a small experiment in 1998 and 1999 with self-drive hydraulic excavators. The manufacturer fleets such as Slevmi (Caterpillar) and Relmat (Komatsu) began to grow. Table 20. France: Sales of Hydraulic Excavators by Type of User, 2002 Units % Construction – Civil Engineering – Housebuilding, Factories, Offices – Roads – Landscaping & Water Rental Industry Quarries 1,520 820 820 520 300 80 40 37 20 20 13 7 2 1 Total 4,100 100 Source: Off-Highway Research The distribution of sales moved away from the traditional pattern in 1999 and 2000. Sales to rental drove the growth of the 6.0 to 12.0 tonne sector, although it moderated in 2002. There is 32 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research an increasing tendency for the user to ask if he can rent rather than buy a machine. Obviously dealers will be wary of committing themselves heavily with this type of relationship with the customer, as it does have drawbacks. He does not truly know what will happen to a machine at the age of 18 months if he puts it into rental, whereas if he has sold it with the help of a leasing deal, he knows that the machine will be in the hands of the first buyer, hopefully earning him enough money to pay the monthly leasing fee. Rental is much more likely to be suitable for manufacturers’ operations like Relmat, Bergerat Monnoyeur and Liebherr. FORECAST TO 2007 Table 21. France: Forecast Sales of Hydraulic Excavators, 2003-2007 (Units) Wheeled Crawler 2003 1,100 2,000 2004 1,300 2,000 2005 1,500 2,200 2006 1,600 2,400 2007 1,600 2,400 Total 3,100 3,300 3,700 4,000 4,000 Source: Off-Highway Research The short term prospects for public works are balanced between a small overall growth in 2003 and some contraction, the latter being an interpretation of the new right wing government’s caution about expenditure. Local authority spending should rebound and public transport projects, such as those in Bordeaux and Toulouse should lead the way. The LGV East, the name given to the high speed railway line east from Paris towards Strasbourg and Germany (first phase estimated at €3,300 million, opening in 2007) will be the largest project but orders for equipment needed for the awarded sections have already been given and fulfilled. The new port extension at Le Havre, costing €640 million in its first phase, will be a second major job implemented during the forecast period. The private sector, on the other hand, has exhibited a loss of confidence that is bound to pull down the value of its contribution. As it fails to invest in new commercial or industrial building, so it leaves companies that provide power or water to those cancelled projects without work. Private sector work also includes work provided to subcontractors by others, such as earthmoving and, after a surge at the end of the 1990s, is set to fall back somewhat. 33 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research The fate of the excavator market also depends on what happens to the greatly expanded population of nearly new machines. 7,000 units have been added to the total since 1999 and the number of crawler excavators up to five years old has grown by 30 per cent. All those calculations suggest a surplus, with the risk that a small fall in public works activity might occasion a major stop in buying new plant. Although suppliers talk of a 15 per cent fall in sales in 2003, it is quite possible that worse than that may happen. The forecast above is in fact no more than a return to the traditional average level of sales during 2003 and 2004, with recovery for the wheeled excavators starting earlier, on the grounds that buying of that type in 2000-2001 was not so much above the norm as with the crawlers. In the medium term the market should be pulled up again when owners trade in the 10,200 machines they bought in 2000-2001. Unless they view it as a dreadful mistake and liquidate the machines to brokers who immediately move them out of the country, sales of new units should be at the 4,000 unit level by 2006, at the very least. MACHINES AVAILABLE The table below shows only the machines available through permanently represented companies. The service weights are the maximum quoted in respect of each model type. Table 22. France: Wheeled Excavators Available, 2003 Manufacturer Case Caterpillar Model WX90 WX120 588 WX150 788 WX170 WX200 1188P4A Industry HP 72/77 91/102 88 110 103 126 162 153 Engine Manufacturer Perkins Perkins Case Case Case Case Case Case Service Weight (tonnes) 9.0 12.0 14.4 15.5 17.0 17.5 19.7 20.8 Product Source Italy Italy France France France France France France M312 M315 M318 M320 113 114 136 136 Caterpillar Caterpillar Caterpillar Caterpillar 14.3 16.3 18.0 20.6 Germany Germany Germany Germany (continued) 34 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 22. France: Wheeled Excavators Available, 2003 (continued) Manufacturer Daewoo Model Solar 130W-V Solar 170W-III Solar 200W-III Solar 200W-V HP 132 144 144 153 Engine Manufacturer Daewoo Daewoo Daewoo Daewoo Service Weight (tonnes) 12.7 17.3 19.4 19.5 Product Source Korea Korea Korea Korea Fiat Kobelco EX95W EX125W EX135W EX165W EX215W 76 100 103 153 145 Perkins Perkins Cummins Cummins Iveco 9.5 12.2 15.0 17.7 22.0 Italy Italy Italy Italy Italy Hitachi The model ZX130W will be launched in 2004 at 13.0 tonnes ZX160W 121 Isuzu 15.6-18.0 Netherlands ZX210W 147 Isuzu 19.2-21.5 Netherlands Hydrema M800 M1100 M1520B M1700 74 101 122 122 Deutz Deutz Deutz Deutz 8.8 11.0 16.8 17.0 Germany Germany Germany Germany Hyundai Robex 130W-3 Robex 170W-3 Robex 200W-3 102 116 126 Cummins Cummins Cummins 13.0 16.5 18.8 Korea Korea Korea JS130W JS145W JS160W JS175W JS200W 83 96 96 128 128 Isuzu Isuzu Isuzu Isuzu Isuzu 13.0 14.1 16.0 17.0 20.5 UK UK UK UK UK Komatsu PW75R-2 PW95R-2 PW110R-1 PW130ES-6 PW150ES-6 PW170ES-6 68 83 95 106 109 125 Perkins Perkins Perkins Komatsu Komatsu Komatsu 8.4 10.1 11.2 13.1 15.3 17.0 Italy Italy Italy UK UK UK Liebherr A308 A310B A312 A314 A316 A900C A904 A914 A924 A934 A944 72 79 84 109 117 120 135 152 152 186 223 Deutz Deutz Deutz Deutz Deutz Liebherr Liebherr Liebherr Liebherr Liebherr Liebherr 10.3 11.6 13.2 15.2 16.6 17.4 19.6 21.7 23.0 31.3 51.2 Germany Germany Germany Germany Germany Germany Germany Germany Germany Germany Germany JCB (continued) 35 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 22. France: Wheeled Excavators Available, 2003 (continued) Manufacturer Liebherr (continued) Model A954 A974 HP 286 425 Engine Manufacturer Liebherr Liebherr Service Weight (tonnes) 65.0 113.0 Product Source Germany France Mecalac 10MSX 12MSX 12MXT 14MBX 77 82 102 111 Cummins Cummins Cummins Cummins 7.1 8.8 8.8 12.8 France France France France MH2.5 MH4.5 MH City MH Plus MH5.5 MH5 Compact MH6 71 90 67 99 121 114 158 Deutz Deutz Deutz Deutz Deutz Deutz Deutz 9.5 12.2 15.5 16.8 19.9 20.6 22.4 Germany Germany Germany Germany Germany Germany Germany HML22 HML32 HML42 60 72 91 Deutz Deutz Deutz 5.0 9.0 10.0 Germany Germany Germany 1004 1104 1304 1404 1504 1604 1704 1805 2005 75 80 80 102 122 150 170 140 166 Deutz Deutz Deutz Deutz Deutz Deutz Deutz Deutz Deutz 9.2 11.3 13.4 14.6 15.7 17.6 20.9 20.0 22.0 Germany Germany Germany Germany Germany Germany Germany Germany Germany EW70/70VV EW160B EW180B 56 120 150 Mitsubishi Volvo Volvo 7.3 15.8 19.8 Germany Germany Germany O&K Schaeff Terex-Atlas Volvo Source: Company Information Table 23. France: Crawler Excavators Available, 2003 Manufacturer Case Model CX75SR 588CK CX130 CX135SR CX160 CX180 988 HP 53 88 94 90 108 108 117 Engine Manufacturer Isuzu Case Isuzu Isuzu Isuzu Isuzu Case Service Weight (tonnes) 8.0 13.2 12.2 14.0 16.7 17.5 19.4 Product Source Japan France Japan Japan Japan Japan France (continued) 36 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 23. France: Crawler Excavators Available, 2003 (continued) Manufacturer Case (continued) Caterpillar Daewoo Fiat Kobelco Model CX210 CX225SR CX240 1188 CX290 CX330 CX350 CX460 CX800 HP 143 140 170 154 191 252 252 340 450 Engine Manufacturer Isuzu Isuzu Isuzu Case Isuzu Isuzu Isuzu Isuzu Isuzu Service Weight (tonnes) 20.5 23.0 23.5 24.0 28.4 34.0 35.9 47.0 80.0 Product Source Japan Japan Japan France Japan Japan Japan Japan Japan 307B 312C 315B L 318B L 320C 322C 325C 330C 345B L 365B 375 L 5110B 5130B 54 96 107 115 128 153 168 222 290 374 428 696 641 Mitsubishi Perkins Perkins Mitsubishi Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar Caterpillar 7.5 12.7 17.0 19.5 20.9-23.5 23.8-25.8 27.2-29.6 33.9-34.2 47.7-48.6 67.5 79.8-80.6 125.0 181.0-182.0 France France France France Belgium Belgium Belgium Belgium Belgium Belgium Belgium Belgium USA Solar 130LC-V Solar 150LC-V Solar 170LC-V Solar 220LC-V Solar 250LC-V Solar 300LC-V Solar 340LC-V Solar 420LC-V Solar 470LC-V 108 108 116 145 162 200 250 285 316 Daewoo Daewoo Daewoo Daewoo Daewoo Daewoo Daewoo Daewoo Daewoo 13.9 15.4 17.2 20.9 24.4 30.8 33.0 41.2 46.9 Belgium Belgium Belgium Belgium Belgium Belgium Korea Korea Korea EX60.5 EX75US EX100.5 EX135 EX135USR EX165 EX215 EX225USR EX235 EX255 EX285 EX355 EX455 55 55 76 90 90 104 145 145 145 170 184 240 305 Nissan Nissan Isuzu Iveco Iveco Isuzu Fiat Fiat Fiat Cummins Cummins Isuzu Isuzu 7.5 7.0 12.0 13.4 13.8 17.3 21.4 22.3 23.6 26.5 28.6 35.5 48.0 Italy Italy Italy Italy Italy Italy Italy Italy Italy Italy Italy Italy Italy (continued) 37 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 23. France: Crawler Excavators Available, 2003 (continued) Manufacturer Hitachi Engine Service Weight Product Model HP Manufacturer (tonnes) Source ZX70 52 Isuzu 6.4 Japan ZX110 85 Isuzu 10.4 Netherlands Models ZX130 and ZX135US will be launched in the 13 tonne class in 2004 ZX160LC 110 Isuzu 15.7 Netherlands ZX180LC/LCN 123 Isuzu 17.9 Netherlands ZX210/LC 150 Isuzu 19.6-21.1 Netherlands ZX225USR/RLC 150 Isuzu 22.0-22.5 Netherlands ZX225US/LC 150 Isuzu 23.0-23.5 Netherlands Model ZX240 will be launched in the 25 tonne class in 2003 Models ZX250, 280, 350 and 460 will be launched in the 25 to 50 tonne classes in 2004 ZX500 320 Cummins 50.0 Japan ZX600 400 Cummins 56.0 Japan ZX650 400 Cummins 57.5 Japan ZX800 460 Cummins 73.9 Japan ZX850 460 Cummins 75.9 Japan EX1200-5 650 Cummins 110.8 Japan EX1900BE 965 Cummins 186.5 Japan EX2500-5 1,250 Cummins 239.0 Japan EX3600-5 1,900 Cummins 348.0 Japan EX5500 1,320 x 2 Cummins 518.0 Japan Hydrema R800 R1100 R1820 74 102 122 Deutz Deutz Deutz 9.0 11.0 19.0 Germany Germany Germany Hyundai Robex 130LC-3 Robex 140LC-7 Robex 160LC-3 Robex 180LC-3 Robex 200NLC-3 Robex 210LC-3 Robex 210LC-7 Robex 250LC-3 Robex 290LC-7 Robex 320LC-3 Robex 360LC-7 Robex 450LC-7 102 108 110 116 148 148 155 174 216 230 265 325 Cummins Cummins Cummins Cummins Cummins Cummins Cummins Cummins Cummins Cummins Cummins Cummins 14.6 14.0 17.7 19.0 18.1 23.8 24.4 28.9 29.3 31.2 36.1 44.0 Korea Korea Korea Korea Korea Korea Korea Korea Korea Korea Korea Korea JZ70 JS130 JS160L/NL JS180L JS200L/S/N JS210L JS220LR JS240S/NL 58 85 96 96 128 128 128 154 Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu 7.5 13.6 16.5 18.5 20.7 21.6 21.6 24.6 UK UK UK UK UK UK UK UK JCB (continued) 38 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 23. France: Crawler Excavators Available, 2003 (continued) Model JS260S/NL JS330L/Nl JS460 HP 154 248 305 Engine Manufacturer Isuzu Isuzu Isuzu Service Weight (tonnes) 25.8 32.6 46.3 Product Source UK UK UK HD307 HD512 57 88 Isuzu Mitsubishi 6.8 11.9 Japan Japan Kobelco SK70SR SK115SR SK135SR SK200-VI SK235SR SK230-VI SK330-VI SK430-III 55 80 85 145 145 170 240 310 Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu Isuzu 6.7 11.8 14.1 20.7 24.4 24.2 34.9 42.0 Japan Japan Japan Japan Japan Japan Japan Japan Komatsu PC75R-2 PC95R-2 PC110R-2 PC130-6 PC128US-2 PC150LGP-6 PC160-6 PC180LC-6 PC210-7 PC210LC-7 PC228USLC-3 PC228US-3 PC230NHD-7 PC240LC-7 PC240NLC-7 PC290LC/NLC-7 PC340LC/NLC-7 PC450-6/LC PC600/LC-6 PC750/LC-6 PC1100-6 PC1250-7 PC1800-6 68 83 95 87 86 87 106 106 143 143 143 143 143 168 168 179 242 306 385 444 611 651 908 Perkins Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Komatsu Cummins Cummins Komatsu Komatsu Komatsu Cummins 7.6 9.1 10.8 13.3 13.4 16.1 16.5 18.4 21.1 21.1 22.9 23.5 25.0 24.7 24.0 29.0 33.9 44.0-45.0 57.5-60.0 83.8 103.0 109.5 184.1 Italy Italy Italy UK Japan UK UK UK UK UK Japan Japan UK UK UK UK UK UK UK UK Japan Japan Japan Kubota KX251 59 Kubota 7.4 Japan Liebherr R308 R310 B R312 R900 C R904 R914 B 72 79 84 120 125 152 Deutz Deutz Deutz Liebherr Liebherr Liebherr 11.1 15.3 16.5 19.4 21.7 24.6 Germany Germany Germany Germany France France Manufacturer JCB (continued) Kato (continued) 39 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Table 23. France: Crawler Excavators Available, 2003 (continued) Manufacturer Liebherr (continued) Model R924 B R934 B R944 B R954 B R964 B R974 B R984 C R992 R994 R994 B R995 R996 HP 173 197 245 302 367 490 685 782 1,142 1,500 2,140 3,000 Engine Manufacturer Liebherr Liebherr Liebherr Liebherr Liebherr Cummins Cummins Cummins Cummins Cummins MTU Cummins Service Weight (tonnes) 26.0 33.1 41.1 56.9 67.6 86.5 118.1 146.3 229.0 300.5 432.0 652.8 Product Source France France France France France France France France France France France France Neuson 8002 12002 69 113 Deutz Deutz 7.9 11.5 Austria Austria RH4.5 RH City RH Plus RH5.5 RH6 Compact RH6.5 RH8.5 RH9.5 RH12.5 RH16.5 RH23.5 RH25.5 81 82 95 114 119 151 181 198 261 261 303 381 Deutz Deutz Deutz Deutz Deutz Cummins Deutz Deutz Cummins Deutz Cummins Cummins 16.5 16.5 17.5 21.0 20.1 23.6 27.7 32.1 38.1 43.6 52.4 63.2 Germany Germany Germany Germany Germany Germany Germany Germany Germany Germany Germany Germany HR20 HR32 HR41 60 72 80 Deutz Deutz Deutz 6.0 7.5 11.0 Germany Germany Germany TB175 TB80FR 59 56 Yanmar Yanmar 7.3 7.9 Japan Japan EC70/70VV EC140B EC160B EC210B EC240B EC290B EC360B EC460B 56 93 120 143 168 192 247 306 Mitsubishi Volvo Volvo Volvo Volvo Volvo Volvo Volvo 7.3 15.2 16.5 21.9 25.8 29.9 38.4 47.9 Germany Korea Korea Korea Korea Korea Korea Korea ViO 75V 56 Yanmar 7.7 Japan O&K Schaeff Takeuchi Volvo Yanmar Source: Company Information 40 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research DOMESTIC MANUFACTURERS Case Liebherr Case France SA 17 rue des Tournelles BP306 60803 Crépy-en-Valois Liebherr-France SA 2 rue de l'Industrie 68005 Colmar Tel: 03 44 94 32 00 Fax: 03 44 87 68 69 Website: www.casece.com Tel: 03 89 22 31 21 Fax: 03 89 23 30 14 Website: www.lfr.liebherr.com Caterpillar Mecalac Caterpillar France SA 40 avenue Leon Blum BP 55 F-38041 Grenoble Cedex 9 Mecalac SA 2 avenue de Pré de Challes PAE des Glaisins BP230 F-74942 Annecy-le-Vieux Tel: 04 76 23 70 60 Fax: 04 76 23 72 02 Website: www.cat.com Tel: 04 50 63 4 01 63 Fax: 04 50 64 07 70 Website: www.mecalac.com IMPORTERS Importer's Location Supplier's Location Atlas-Terex Four regional dealers buy directly from Atlas-Terex GmbH Germany PO Box 207 324 Stedinger Str D-27747 Delmenhorst Germany Tel: +49 (0)4221-4910 Fax: +49 (0)4221-491213 Website: www.atlas-terex.de Case CNH France SA 17 rue des Tournelles BP306 60803 Crépy-en-Valois Tel: 03 44 94 32 00 Fax: 03 44 87 68 69 Website: www.casece.com CNH 18 Place des Nymphéas Z I Nord II 93420 Villepinte France Tel: 01 49 90 23 00 Fax: 01 49 90 25 71 Website: www.casece.com 41 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Importer's Location Supplier's Location Caterpillar Bergerat Monnoyeur 117 rue Charles Michels 93208 St Denis Tel: 01 49 22 60 61 Fax: 01 42 43 51 96 Website: www.b-m.cat.com Caterpillar Overseas SA PO Box 456 76 Route de Frontenex 1208 Geneva Switzerland Tel: +41 (0)22 737444 Fax: +41 (0)22 413323 Website: www.cat.com Daewoo Euro Daewoo France 2/4 rue Pavlov ZI des Bruyeres 78190 Trappes Euro Daewoo SA 1A rue Achille Degrace, B-7080 Frameries Belgium Tel: 01 30 16 21 41 Fax: 01 30 16 21 44 Website: www.edsa.be Tel: +32 (0)65673373 Fax: +32 (0)65 677338 Website: www.edsa.be Fiat Kobelco CNH France SA 5 rue Nicholas Copernic 78190 Trappes Elancourt Tel: 01 30 13 00 00 Fax: 01 30 13 00 03 Website: www.fiatkobelco.com Fiat Kobelco SpA Strada Settimo 323 10099 San Mauro Torinese Italy Tel: +39 011 26121 Fax: +39 011 2735800 Website: www.fiatkobelco.com Hydrema Hydrema France SARL Les Marches de l’Oise 100 rue Louis Blanc 60765 Montataire Tel: 03 44 28 27 00 Fax: 03 44 28 22 66 Website: www.hydrema.com Hydrema A/S DK-9530 Stovring Denmark Tel: +45 98 37 13 33 Fax: +45 98 37 19 96 Website: www.hydrema.com 42 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Importer's Location Supplier's Location Hitachi Hitachi Construction Machinery (Europe) Hitachi Construction Machinery (Europe) NV France NV 13 rue Camille Desmoulins Siciliëweg 5 92441 Issy-les-Moulineaux Cedex Havennummer 5112 1045 AT Amsterdam Tel: 01 58 04 25 72 Fax: 01 58 04 23 00 Tel: +31 (0)20 44 76 700 Website: www.hcme.com Fax: +31 (0)20 33 44 045 Website: www.hcme.com Hyundai All dealers buy directly from Belgium HHI Europe NV Vossendaal 11 2440 Geel Belgium Tel: +32 (0)14 593001 Fax: +32 (0)14 594302 Website: www.hyundai.be JCB JCB SA 3 rue du Vignolle Zone Industrielle BP 671 95206 Sarcelles JCB Sales Ltd. Rocester Staffordshire ST14 5JP UK Tel: 01 34 29 20 20 Fax: 01 39 90 93 66 Website: www.jcb.co.uk Tel: +44 1889 590312 Fax: +44 1889 590588 Website: www.jcb.co.uk Kato Imer France SA BP 34 ZI de l'Espère 38450 Vif Kato Works Co. Ltd 9-37 Higasho-ohi 1-chome Shinagawa-ku Tokyo 140 Japan Tel: 04 76 72 52 69 Fax: 04 76 72 46 97 Tel: +81 (0)3 3458 1111 Fax: +81 (0)3 3458 1151 Website: www.kato-works.co.jp 43 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Importer's Location Supplier's Location Kobelco All dealers buy directly from Netherlands Kobelco Construction Machinery Europe Bolderweg 50 1332 AW Almere Netherlands Tel: +31 (0)36 54 95 500 Fax: +31 (0)36 54 95 555 Website: www.kobelco-kenki.co.jp Komatsu Komatsu France SA 21-29 rue du Clos Reine 78410 Aubergenville Tel: 01 30 90 51 00 Fax: 01 30 90 35 40 Website: www.equipmentcentral.com/europe Komatsu Europe NV Mechelsesteenweg 586 B1800 Vilvoorde Belgium Tel: +32 2 255 2411 Fax: +32 2 252 198 Website: www.equipmentcentral.com/europe Liebherr Liebherr-France SA 2 rue de l'Industrie 68005 Colmar Liebherr-Hydraulikbagger GmbH D-88457 Kirchdorf a.d. Iller Germany Tel: 03 89 22 31 21 Fax: 03 89 23 30 14 Website: www.lfr.liebherr.com Tel: +49 (0)7354-80364 Fax: +49 (0)7354-80535 Website: www.lhb.liebherr.com O&K CNH France SA 16-18 rue des Rochettes 91150 Morigny-Champigny Tel: 01 60 80 70 44 Fax: 01 60 80 72 61 Website: www.orenstein-koppel.com O&K Orenstein & Koppel AG Staakener Str 53-63 D-13581 Berlin Germany Tel: +49 (0)30 33 99 200 Fax: +49 (0)30 33 99 200 Website: www.orenstein-koppel.com 44 © Off-Highway Research. Contents confidential to the subscriber. Off-Highway Research Importer's Location Supplier's Location Schaeff Terex Compact Equipment 6 rue J-P Timbaud BP 435 95194 Goussainville Schaeff-Terex GmbH & Co. PO Box 61 D-74595 Langenburg Germany Tel: 01 30 18 08 26 Fax: 01 30 18 05 95 Website: www.terexce.com Tel: +49 (0)7905 580 Fax: +49 (0)7905 58114 Website: www.karlschaeff.de Volvo Volvo Construction Equipment Europe SA 37 av. G. Politzer F-78190 Trappes-Elancourt Tel: 01 30 69 28 28 Fax: 01 34 82 96 92 Website: www.volvoce.com Volvo Construction Equipment Group Chaussée de la Hulpe 130 B-1000 Brussels Belgium Tel: +32 2 674 7611 Fax: +32 2 675 1570 Website: www.volvoce.com Yanmar Ammann Distribution SA ZI Les Petites Haies 31 rue de Valenton 94046 Créteil Tel: 01 45 17 08 88 Fax: 01 48 98 51 45 Yanmar Diesel Engine Co. Ltd 1-32, Chayamachi Kita-ku Osaka 530-8311 Japan Tel: +81 (0) 6 6376 6299 Fax: +81 (0) 6 6372 2455 Website: www.yanmar.co.jp 45 © Off-Highway Research. Contents confidential to the subscriber.