Yueyang's Deep-Water Port Transforms Used Machinery Into Global Export Hits

Deep News
09/04

The Xiang River flows northward and bends at Xiangyin County, leaving behind a deep-water port known as Yugong Port. On September 4th, a distinctive launch event took place just 1.6 kilometers from this port, where over a hundred construction machines were decorated with red ribbons and banners. Loaders, concrete pump trucks, and cranes stood in neat formation like soldiers awaiting deployment.

However, none of these machines are brand new, some have been tied up in legal disputes, while others have served on construction sites for years. They were sent here for remanufacturing, a process of being "reforged" before heading overseas for continued service.

A County's Strategic Turnaround

Xiangyin County previously had no connection to construction machinery manufacturing. Yet with nearly ten million construction machines in operation nationwide, the market for new vehicles is reaching saturation. Meanwhile, demand for used equipment circulation and remanufacturing continues to grow, particularly from overseas markets where the appetite is substantial.

What gives Xiangyin its competitive edge in this sector? The answer lies in Yugong Port. Even during the driest season, this port can accommodate vessels of up to 5,000 tons. For heavy machinery weighing dozens of tons, water transport is far more cost-effective than land transportation. More critically, ships leaving this port can enter the Yangtze River directly without transferring cargo, sailing all the way to the East China Sea, dramatically reducing logistics expenses.

The provincial government recognized this advantage and included the reform of the construction machinery remanufacturing system in its first batch of key reform initiatives. In April of this year, the Xiangyin facility was officially upgraded to become part of the Hunan Pilot Free Trade Zone. Construction of the base began last October, with plans covering 1,000 mu (approximately 66.7 hectares) across three phases. The first phase, spanning 150 mu, is now complete, featuring 37,000 square meters of steel-structure workshops and over 7,000 square meters of administrative buildings already in operation.

Zhang Zhizheng, chairman of the base's operator, Hunan Yangshahu Investment Holding Group Co., Ltd., told reporters that the team has been preparing for this moment for a long time. "From planning approvals to infrastructure construction and investment attraction, every step has been a race against time. The hardest part wasn't building facilities, it was convincing every player in the industry chain that Xiangyin could pull this off."

From Guerrilla Operations to a Home Base

Lin Longkai, founder of Hunan Haobo Zhilian Machinery Manufacturing Co., Ltd., just moved his company into the base last month. He describes Xiangyin as the bridgehead for Hunan's construction machinery exports. "I'm a 33-year veteran of this industry, having been involved in the manufacturing, research, and sales of transportation equipment throughout my career."

What attracted Lin Longkai most to Xiangyin was the "going global" factor. "Our company plans to do business worldwide. The base's proximity to the port gives us advantages for exports, and the policy support helps attract talent and business resources. Combined with the backing of Xiangyin County government at all levels, we decided to relocate here." He noted that the larger development space here finally allows him to operate without constraints.

He has calculated the economics: shipping one machine to Shanghai by flatbed truck costs about 12,000 yuan in freight. By using RoRo (roll-on/roll-off) vessels from Yugong Port in the future, shipping costs could drop substantially. "Our foreign trade model will shift from selling machines one by one to shipping them vessel by vessel, complete with one-stop customs clearance procedures," he said. "With centralized transportation, costs come down, and our competitiveness goes up."

Currently, the base's "two yards and four centers" functional layout is taking shape, featuring a legal machinery storage yard, a testing and inspection ground, cleaning, painting, and remanufacturing centers, plus a comprehensive service hub, all under one roof. Lin Longkai's company has already moved in and started operations, with spacious workshops and well-organized equipment placement. "We have clear product positioning, focusing on differentiated construction machinery and customized services, including R&D and manufacturing of differentiated new machines, as well as value-upgrade services for existing customer equipment returning to the factory."

Inside the administrative building, customs, tax, public security, and trade promotion offices all have service windows open. Companies no longer need to run around town for customs declarations, invoicing, account cancellations, or inspections, everything is handled within the park. Zhang Zhizheng noted that the park is working toward achieving the "morning inspection, noon customs declaration, afternoon loading" pipeline, a pace that was previously unimaginable.

Three Perennial Headaches, Solved at Once

Practitioners in this industry have long struggled with three major pain points: disposal of legally-impounded machinery, quality control in remanufacturing, and obtaining input VAT invoices.

What exactly are "legal machines"? These are construction equipment seized and impounded by court order. Previously, they would be scattered across various storage sites, incurring high supervision costs and causing tedious, drawn-out disposal procedures. Now, the Provincial High Court has introduced new policies establishing a centralized management facility at the base. Covering 220 mu, with the first phase of 100 mu already operational, the facility uses IoT-based monitoring around the clock, and over a hundred machines have already been moved in. Disposal times have been significantly reduced, giving businesses peace of mind.

Quality control now has clear standards as well. The Provincial Market Supervision Administration has initiated projects to establish local standards for surface repair and welded components, while the China Construction Machinery Industry Association has set group standards for exported used concrete pump trucks and rotary drilling rigs. The province is also registering a public certification trademark, meaning equipment bearing this mark carries a government-backed guarantee of quality. In essence, it provides overseas buyers of used equipment with a "peace of mind" assurance.

The service windows in the administrative building directly address these persistent problems. The tax window handles reverse invoicing, customs can be cleared on-site, and the national inspection center provides quality support, this "one-stop" approach is not merely about convenience; it's about systematically straightening out industry rules.

More Than Just "Restoring the Old to Look New"

Remanufacturing is far more than simple repair work. A remanufactured machine can perform at 90% of a new machine's capability, yet costs only 60-70% of the price of a new one, offering exceptional value for money. Over 50 years ago, American company Caterpillar opened the world's first remanufacturing plant, with a sign at its entrance reading: "Bring us your tired and broken, and we'll make them roar again." Today, the company operates 21 parts distribution centers and over 2,300 service points globally.

This story of "turning waste into treasure" now has its own chapter in Xiangyin. At the launch event, the Xiangyin County government partnered with Hunan International Trade and Changsha International Trade to establish an operating platform. Major OEMs including Sany, Zoomlion, Sunward, and Sinoboom have set up centralized disposal operations, while supporting companies like Zhongli Intelligent, Far East Macro, Haotong International, and Wanrong Capital have also joined, fostering a growing industrial ecosystem. Yugong Port will also build a dedicated RoRo terminal for transporting construction machinery, further reducing logistics costs.

Zhang Yongjiu, Secretary of the Xiangyin County CPC Committee, stated at the event: "Construction machinery remanufacturing is a core track for the circular economy and a brand-new testing ground for free trade zone innovation."

"Leave the difficulties to the government, and make things convenient for businesses" was the on-site commitment made to companies by a representative from the Provincial Department of Commerce, reflecting the consistent philosophy of the Hunan Pilot Free Trade Zone.

The waters of Yugong Port flow ceaselessly day and night, while new factories rise along the shores. Iron giants are being "reborn" here, industries are transforming here, and Yueyang's dream of reaching the sea is gradually becoming reality. For the people living on this land, this is not merely an industrial story; it represents hope at their doorstep, hope for good jobs and better lives, hope that their hometown will also possess enviable "core industrial strength." And this, perhaps, is the most vivid illustration of the province's "Three Highlands, Four New Missions" strategy taking root and flourishing.

免责声明:投资有风险,本文并非投资建议,以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请,作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考,不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证,投资者应自行研究并在投资前寻求专业建议。

热议股票

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10