Record volumes propel JCB into third spot

JCB have risen to third place in the league table of world construction equipment manufacturers following a year which saw volumes and market share rise to all-time highs.

In 2006 the company manufactured a record 55,741 machines – an 85% increase over three years. This generated a record turnover of £1.75 billon and gave JCB a 10.4% share of the world construction equipment market.

JCB managing director and CEO John Patterson said: ‘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, particularly recognizing the growth of the emerging markets of India and China.

‘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%, which would make us a strong global construction equipment manufacturer with much stronger brand recognition.

‘In 2006 JCB achieved a 10.4% share of the construction equipment market in terms of volume, which means that we’ve not only fulfilled our vision of becoming a truly global player, but also that we’ve become the third largest manufacturer in the world in terms of volume and market share.”

JCB’s biggest single growth market in 2006 was India, where volumes increased by more than 40%. In percentage terms, however, JCB’s largest growth market was Russia, where volumes exceeded 1,000 machines for the first time – a rise of 145% on 2005.

JCB say they have also seen growth in the traditionally strong and mature markets of the UK and Europe; in 2006 the company grew their business in the UK by 9%. Other notable successes were in Germany and Spain, where sales rose by 36% and 20% respectively.

JCB chief operating officer Matthew Taylor said 2007 has also started very strongly for the company. ‘Our first-quarter sales are up by around 30% on last year and our production is at a similar level of increase.

‘Our record growth over the past three years has been driven by our commitment to innovation – in product, distribution, the way we develop and manufacture our machines, how we approach our market and how we run our business. We will continue to develop new products and new ideas,’ he said.