China Excavator Demand to Stay Stagnant This Year, Kobe CEO Says
- Kobe doesn't expect to see Chinese recovery until 2017
- Japanese suppliers haven't boosted output for peak season
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China’s demand for excavators will remain stagnant this year after sales almost halved in 2015 as its slowing economy cooled construction spending, according to Kobe Steel Ltd., owner of a major Japanese supplier.
“We shouldn’t assume demand for construction machinery will come back for another year, ” Chief Executive Officer Hiroya Kawasaki said Tuesday in an interview at a steel industry group meeting in Tokyo, adding a recovery isn’t likely until 2017. “We have to have a negative view on the market.”