Favorable factor

1 Policy Support

(A) Policy guidance from the National Development and Reform Commission

In the National Development and Reform Commission's "Industrial Structure Adjustment Guidance Catalogue" (2011), urban landscaping and ecological community construction are listed as encouraged industries; The "Catalogue for the Guidance of Foreign Investment Industries" (revised in 2011) (Order No. 12 of the National Development and Reform Commission), the construction and operation of flower production and nursery bases, as well as the manufacture and operation of new machinery and equipment for forestry machinery are listed as industries to encourage foreign investment. It shows that the construction of landscaping and the development of garden machinery have been valued and strongly supported by the state.

B. Provisions of the Ministry of Construction on urban greening indicators

The "Urban greening planning and construction Index Regulations" issued by the Ministry of Construction put forward clear requirements for all kinds of green space construction. For example, the newly occupied residential green space accounts for no less than 30% of the total land area, and the proportion of unit attached green space accounts for the total unit area. The land area ratio is not less than 30%.

The "Guiding Opinions on Promoting the Healthy Development of urban landscaping Business" put forward specific opinions on strengthening urban greening planning, construction and management, requiring the construction of park green space, so that residents "300 meters green, 500 meters to see the garden", maintenance and management fund investment should account for 7-10% of the total investment in local landscaping construction in the previous year. At the same time not lower than the local landscaping maintenance management quota standards.

The above provisions have improved the status quo of garden greening construction in urban development and ensured the development of garden greening construction and garden machinery.

C. The Ministry of Construction launched the "Ecological Garden City" activity

In order to further promote the construction of urban ecological environment, implement the strategy of sustainable development, strive to create a beautiful, comfortable, healthy and convenient living environment for the broad masses of the people, and strive to create a resource-saving and environment-friendly society, the Ministry of Construction will create a "garden city". On this basis, promote the creation of "ecological garden city" activities, and vigorously promote the construction of national garden county, national key park, national urban wetland park, and national garden town.

2. Market demand continues to grow

A. The continuous development of the world economy has promoted the steady growth of the market capacity of the garden machinery industry

Using the exchange rate method, the World Bank forecasts that the world economy will grow by 3.2 percent in 2014, up 0.8 percentage points from the previous year. Consensus forecasts that the global economy will grow 3.1 percent in 2014, up 0.6 percentage points from the previous year. Using the purchasing power parity method, the International Monetary Fund (IMF) forecasts that the world economy will grow by 3.7 per cent in 2014, 0.7 percentage points faster than the previous year. With the continuous development of the world economy, the improvement of residents' living standards and the popularity of horticultural activities, the demand for garden machinery products will continue to increase in the international market. According to the China Chamber of Commerce for Food, Livestock and Livestock Importers and Exporters, the Flower Branch predicts that the global horticultural supplies market capacity will maintain an annual growth rate of about 21% in the next five years and will reach $60.65 billion in 2015.

As the largest proportion of horticultural equipment, garden machinery will continue to grow steadily.

B. The green construction of Chinese cities has increased the demand space of garden machinery market

With the implementation of China's scientific development concept and the policy of building an environmentally-friendly society, as well as the continuous improvement of residents' living needs, China's urban greening level has achieved remarkable results: the green coverage rate of built-up areas increased from 35.1% in 2006 to 39.6% in 2012; Urban green space increased from 1,321,900 ha in 2004 to 2,367,800 ha in 201215.

In the future, with the acceleration of China's urbanization process and the improvement of urban greening level, China's urban green area will continue to grow. A variety of green plants and complex terrain will increase the greening workload of greening departments and enterprises, and will be used to purchase garden machinery. The substantial increase in investment funds will certainly drive the demand space of the domestic garden machinery industry.

3. Transfer of industry and technology to China

In order to reduce costs and expand the market, garden machinery manufacturers in developed countries in Europe and the United States have moved production lines to China, established industrial bases in China, or cooperated with Chinese companies through OEM and ODM. With the transfer of production capacity, advanced technologies such as new environmental protection materials, material molding technology, and automatic control technology have entered China, which has improved the overall technical level and management level of the domestic garden machinery industry.

Unfavorable factor

1. Rising raw material costs

The raw materials of the garden machinery industry mainly include steel, aluminum and plastic products. In recent years, the prices of these raw materials have risen to varying degrees, resulting in an increase in the production cost of garden machinery products. Only companies with strong capital advantages, technological advantages and cost control ability can maintain a relatively stable profit level.

2. Increasing pressure on technical barriers to international trade

Countries all over the world pay more and more attention to environmental protection and improve the testing standards of imported goods. The United States and the European Union will implement stricter gas emission standards for garden machinery in the future, which will make the export of China's garden machinery products affected by green barriers.