Early in October, 2007, Anhui TV and CCTV News reported the news that Anhui Heli Forklift Truck Group Co., Ltd. (hereafter referred as Anhui Heli) had successfully developed and manufactured heavy duty forklifts that were exported abroad and changed the situation relying on importing heavy duty forklifts from overseas market, attracting concerns in the forklift industry at home and abroad and brought great social benefits.

Now four years passed, how about the development situation of heavy duty forklifts in Anhui Heli? Making use of the opportunity provided by the 11th Beijing International Construction Machinery Exhibition & Seminar and Beijing International Commercial Vehicle Exhibition (BICES/IVEX 2011) held in Beijing, the Manager of Chinaforklift.com (www.chinaforklift.com, English version: www.forkliftnet.com) interviewed Li Hao, the Vice General Manager of Marketing Department and Manager of Heavy Duty Forklift Sales Department in Anhui Heli, to know more details about the development of heavy duty forklifts.

Chinaforklift.com: Mr. Li, how about the development of heavy duty forklifts in Heli in these years?

Li Hao: It has been nearly ten years for Heli to enter heavy duty forklift field. Compared with the small tonnage forklifts in Heli, the production scale and portion of heavy duty forklifts are both relatively small, still a young business department in the forklift industry at home and abroad. We sold accumulatively more than 1000 sets of heavy duty forklifts, which were mainly 12-46 ton forklifts, and over 200 sets of containers, stackers and reach stackers. As for Heli, heavy duty forklift is a business department developing from the starting line, and this new business increases in a rate of 40%, surpassing the average increasing rate of the whole industry when seeing from the developing rate.

Chinaforklift.com: What do you think about the achievements accomplished by Heli at present?

Li Hao: As I had mentioned, the production of heavy duty forklift had a small proportion in the overall layout of Heli’s development. Despite this, the developing rate of heavy duty forklift department is relatively faster compare with other departments in the Group. It was estimated that in 2011, the whole forklift industry in China would increase more than 30%, among which heavy duty forklift sector was anticipated to increase about 50%. This is a remarkable number. We will continue to spare no effort to raise our marketing shares of heavy duty forklifts.
　　
Chinaforklift.com: As we all know, in the past the heavy duty handling equipment market in China was mainly monopolized by foreign brands, and there were only Dalian Forklift and Baoji Forklift in domestic China that entered in heavy duty forklift industry. Nowadays, the leading companies in the construction machinery such as Heli, Hangcha, Sany, Lonking, LiuGong and Sunward began to manufacture heavy duty forklifts. What is your opinion on such kind of a competitive situation?

Li Hao: On domestic market, there are not only those brands you mentioned. Foreign-funded heavy duty forklift brands also held a powerful development momentum and developed at a fast rate, such as Konecranes, Kalmar that had stayed at the leading position on the market at home and abroad and Linde who annually manufactured more than 100 sets of heavy duty forklifts in Xiamen. Heli had been working hard to catch up with their steps in these years. Ranging from 12 ton to 46 ton, the heavy duty forklifts in Heli basically covered all the types and models with relatively completed production lines and categories to meet the market demands. Along with the development of heavy duty forklift market, we have been improving our technology and enhancing our capacity of developing new products to better meet the demands of markets at home and abroad.

At present, the market was full of fierce competition. Usually the heavy duty equipment is purchased through bidding and tendering. During this process, we have found that the price of foreign-funded brands and domestic brands are both in reduction. Although there is a price variance, the gap is contracting, which lead to less profits due to the compression of profitable space. Foreign-funded brands increased their marketing shares, while we are sparing no effort to catch up, making the competition on the market fiercer. However, it is inevitable for the industrial vehicle market in China to form such a marketing layout that is comprised of diversified brands to compete with each other. Heli will face the competition directly through uninterrupted progress in developing and manufacturing new products.
　
Chinaforklift.com: How do you thing about the potentials of heavy duty forklift industry in China?

Li Hao: The potential is clearly shown as the handling of heavy and large items become more and more along with the development of container, logistics and steel industries, which lead to the increasing demands on heavy duty forklifts. It could be seen from the statistical data of Industrial Vehicle Institution of China Construction Machinery Association (CITA) that the demands of the market on heavy duty forklifts had been raising year on year.
　
Chinaforklift.com: Have Heli conducted investment on the development of heavy duty forklifts?

Li Hao: Yes. We specially established Heavy Duty Forklift Business Department and also Research Institute for developing new series of forklifts. On one hand, we tightly followed the development trend of the most advanced heavy duty forklift technology in the world and combined with the actual situation in our country so as to produce more forklifts to meet the demands of the market. On the other hand, we continued to improve the reliability and reduce the failure rate of our forklifts to provide the customers with first-class products. Till now, the product of Heli products had gained obvious improvement, which won praises from the customers as well as the professionals in the industry.
　
Chinaforklift.com: Mr. Li, can you introduce to us about the 32 ton forklifts launched onto the market?

Li Hao: Currently the market has a small demand on 32 ton forklifts. From 28 ton to 32 ton is a category. Seeing from the domestic market, there was certain market demand on 28 ton forklifts, but the marketing share of 28 ton forklifts was much less than that below 20 ton. 12-18 ton forklifts occupied most of the marketing shares, up to 75%. Based on this, we will try the best to grasp the market of the key components, such as engines, which has such a longer delivery cycle that it could not meet the demands on the domestic market.

Chinaforklift.com: How do you consider the situation of forklift industry in China?

Li Hao: As for the whole industrial vehicle industry, it has an increase of about 30% compared with the same period of last year. According to the statistics of CITA, the sales amount from January to September was 244,000 sets, exceeding the sales amount of the whole 2010. Although it was anticipated that the increasing rate would slow down in the fourth quarter, I believe the rate would keep being near 30%. This year, the market trend in China appeared to increase the most in the first quarter, then less in the second and third quarters. In my opinion, there will be an increasing of 5%-10% in the fourth quarter, and the whole year will keep an increasing rate of 30%. Anhui Heli kept the same pace with the development of industrial vehicle industry in China as Heli’s industrial vehicles had a large proportion in the statistics. Our sales amount from January to September had surpassed the sales amount of last year, realizing an increasing rate of more than 30%. It is expected that till the end of this year, we are able to realize our planed goal.
　
Chinaforklift.com: What is the plan or blueprint of Anhui Heli on developing new products?

Li Hao: HELI Technology Center was one of the first flows of national enterprise technology centers affirmed by the four National Ministry, which was titled to be Excellent Enterprise Technology Center in Anhui Province for successively 8 years from 2003 to 2010. Since the establishment, the Technology Center continuously strengthened the construction of structures to perfect the functions and to meet the demands of professional research and development. There are 661 professional technicians for research and development, 79 of whom were postgraduates. At present, the Technology Center had expanded to own 12 functional research institutes, 1 professional researching rooms and 1 pilot trial base from the initial two institutes and on product trial workshop. The functional organizations included a completed product research and development system such as frontier support platforms for public technologies and basic technologies, research and development platform for products and industries and after sales platform.

The Pilot Trial Base in HELI Technology Center has the ability to conduct experiments and trials, and is equipped with more than 100 sets of trial platforms for performance test and reliability trial for forklifts and spare parts, a number of advanced checking equipment and instrument, forklift trial station and AGV trial station that are leveled to be first class in China. Heli had constructed electronic platforms for 4C integrated product research and development system based on PDM and synergized information management system, eco-friendly forklift research and development platform taking eco-friendly emission control, transmission, electromagnetic compatibility, man-machine project and lost foam casting as the main research directions, aiming at providing steady guarantee in terms of soft and hard wares for the self-development of products.

In order to shorten the gaps with the world-class products on the aspects of technology and to accomplish more initiative and innovative results, Heli made preparations for constructing a key lab especially for industrial vehicles in Anhui Province, conducted related researches on the important issues of fundamental and key technologies such as vibration noise, transmission, new energy and hybrid power.

In 2009, Heli applied for the innovative construction of national enterprise technology center, and gained the support from the national project of high-tech industrial development plan. Nowadays, HELI Technology Center is among the few technology centers of enterprises that earned the support from national innovation construction for successively twice in Anhui Province and also in China.   
　
In recent years, the Technology Center undertook a series of major scientific research and development projects, including National High Technology Research and Development Program of China (863 Program), National Torch Program, National New Products Program and provincial key scientific and technological breakthrough programs, wining several awards of National Excellent Torch Program and Science & Technology Progress Prize in Anhui Province. We had gained 75 patents, 7 of which were invention patents, and took part in formulating 12 national and industrial standards. We participated in the examination and verification of the national standard for reach stackers, which had been adopted in March, 2009 on a conference held in Harbin.
　
Chinaforklift.com: From the aspect of the whole industry, Heli is deemed to make indelible contributions to the development of the industrial vehicle sector. What is your opinion on the tendency of the industry in the future?

Li Hao: I think the development of industrial vehicle industry in China has been keeping a relatively fast rate and there is a large market demand on industrial vehicles. We will continue to perform better from two aspects: on one hand, we have to further improve the product quality so as to accord with the requirements of customers on the delivery; on the other hand, we need to develop innovative products tailored for different applications on the market. Working on these two aspects, we can better meet the demands of the market, better satisfy the requirements of the customers, and earn more marketing shares in future.

Chinaforklift.com: Thank you for receiving our review, Mr. Li. We believe Heli will march forward and become a stronger national brand on the international stage.

Notes:

Heli has a prospective future on the export of heavy duty forklift, which has become the new economic increasing point in the company. With innovative design, compact structure and elegant appearance, the heavy duty forklifts in Heli were applied with the standard configuration and advanced technology, stating in the leading position in China and reaching the first-level in the world. Heli made reasonable optimizations on the key components such as engine, transmission, driving axle, hydraulic system and breaking system. The transmission was installed with Engine Control Unit (ECU) system, convenient and easy to be controlled. The forklifts were equipped with the fault code indicator, making the maintenance and repair more convenient. The hydraulic system on 14-18 ton forklifts was devised with variable control system, featured with energy saving, no overflow loss, high efficiency and effective reduction of oil temperature. The emission of the forklifts was complied with the latest standard, realizing the eco-friendly concept.
　
In the recent three years, lots of changes happened in the field of heavy duty forklifts. Heli accumulated mature technology of product design and development, and continued to develop innovative products on this basis. Heli insisted in the principle of offering customer-oriented service by taking the demands of the customers as the guide for sales service, and explored an independent and innovative development model to launch diversified products according to different demands of the market.

We are confident with Heli’s future. Wish the heavy duty forklift department in Heli march to a much wider development space to undertake the mission as the leading enterprise in the forklift enterprise in China to make more contributions to the development of national industrial vehicle industry.

Vice General Manager of Marketing Department and Manager of Heavy Duty Forklift Sales Department in Anhui Heli Li Hao (left) and Manager of Chinaforklift.com (right).

About Anhui Heli

One of the ten largest manufacturers of forklifts in the world, we are also engaged in the production and sales of various construction vehicles, mining machinery, and related spare parts. Furthermore, we are also involved in the outputting of metal materials, petrochemicals (excluding dangerous chemicals), electronic products, electric devices and rubber products.

Having received government investment and support, in addition to cooperating with a Japanese forklift manufacturer in the past, our products meet international quality standards. In 1999 we received ISO9001 certification for our management system, with our products having been evaluated as compliant with European 'CE'quality and safety regulations.

Marketed under our proprietary "HELI" brand, our forklifts are suitable for use in various applications. These include ports and harbors, airports, construction sites, shopping malls, warehouses, and for short distance transportation. With capabilities for forklift truck design, manufacturing, testing and inspection that lead the domestic market, we are the sole company in this field to be listed on the Shanghai Stock Exchange.

With the only national-level forklift R&D center in China, we can also provide scientific consultancy for the domestic materials handling industry. If you are interested in any of our series, please feel welcome to contact us. We are looking forward to working together with your company for future cooperation.