JCB last week announced it has risen to third place in the league table of world construction equipment manufacturers following a year that saw volumes and market share rise to all-time highs.
In 2006 the company manufactured a record 55,741 machines, an 85-percent increase over three years. This success generated a record turnover of $3.5 billion and gave JCB a 10.4-percent share of the world construction equipment market, making it the third-largest manufacturer in the world in terms of volume and market share.
“In recent years our strategic vision has been threefold: to move JCB from being a strong European player to a global company with a global manufacturing presence,” said John Patterson, JCB managing director and group CEO. “In addition we have sought to grow the company by expanding our product range to serve the needs of a much wider customer base and strengthen our dealer network.
“Our goal over the past five years was also to achieve a worldwide market share of 10 percent, which would make us a strong global construction equipment manufacturer with much stronger brand recognition.”
In 2006, JCB’s biggest single growth market was India where volumes increased by more than 40 percent. In percentage terms, JCB’s largest growth market was Russia where volumes broke through the 1,000-machine barrier for the first time — a rise of 145 percent on 2005.
JCB has also seen growth in the traditionally strong and mature markets of the U.K. and Europe. In 2006 JCB grew its business in the U.K. by nine percent. Other notable successes were in Germany and Spain where JCB’s sales rose by 36 percent and 20 percent respectively.
“2007 has also started very strongly,” said Matthew Taylor JCB chief operating officer. “Our first-quarter sales are up by around 30 percent on last year and our production is at a similar level of increase.”
In 2007, JCB integrated its operations in South America, the United States and Canada under one umbrella — JCB The Americas.
“Canadian sales remain strong for JCB,” said Graeme Macdonald, president, JCB The Americas. “In Central and South America, business in our sectors of the construction industry remains buoyant so far this year. North America is proving a tough market at present with the decline in the housing market, but JCB has put aggressive plans in place to double sales in this key territory.”
Since JCB acquired Vibromax, the German manufacturer of compaction equipment, in September 2005, the new company has made rapid progress. Global sales of JCB Vibromax ride-on machines have increased by 67 percent and more than $2 million have been invested in the Gatersleben factory near Leipzig, Germany, where production capacity has been doubled.
JCB Americas is headquartered in Savannah, Ga. The company has 17 plants on four continents: 10 in the U.K., three in India and others in the U.S., China, Germany and Brazil.