Machine builder Haitian posts record sales for 2024

Ningbo, China-based injection molding machine builder Haitian International posted record sales of $2.3 billion (RMB 16.12 billion) in 2024, up 23.4 percent compared with the prior year despite ongoing global economic challenges.

Low prices of raw materials and cost advantages related to economies of scale helped boost profits, which came to $430 million (RMB 3.08 billion). That's an increase of 23.6 percent from 2023.

The figures were released March 17 in an annual report that shows domestic sales at $1.4 billion (RMB 10.11 billion) — a 27.7 year-over-year increase thanks to strong Chinese demand in consumer goods and home appliances in the first half of the year, followed by a recovery in the automotive sector in the second half.

Outside China, Haitian says year-over-year sales increased 16.8 percent year to $830 million (RMB 6.01 billion) with strong growth in Southeast Asia, North America and South America, where early investments in regional production and service networks provide a competitive advantage.

"In 2024, the global economy kept the momentum of slow recovery with different paces across regions," the report says. "The developed economies lacked growth momentum due to high interest rates, high inflation and geopolitical conflicts, while some emerging markets and developing economies showed strong resilience in their economies, which was attributable to favorable factors such as the shift of the manufacturing industry chain and the recovery of tourism."

In China, Haitian is facing a slowdown in investment, insufficient domestic demand and pressure on exports due to trade protectionism.

Still, the company managed to reach a record high in annual sales "by virtue of its global strategy and first-mover advantage in overseas investment and deployment, as well as the benefits from the acceleration of exports of certain downstream industries," the annual report says.

All Haitian machine models recorded year-on-year growth, but at different paces.

The company's press-building business grew 23.8 percent to $2.1 billion (RMB 15.4 million) while the sales of components and services came in at $99.9 million (RMB 723.2 million).

The servo-hydraulic Mars and electrical Zhafir product lines saw strong demand from the consumer goods, home appliances and electronics markets.

The two-platen Jupiter series for large-scale applications also did well "supported by the ongoing expansion of new energy vehicle production," the report says.

More than 53,000 presses were delivered in 2024, representing a growth of 35.5 percent compared with the previous year.

In response to rising demand, Haitian will invest again in research and development related to smart manufacturing, automation, energy efficiency and integrating Internet of Things technologies to improve production and sustainability.

Haitian also will upgrade various existing models to improve performance, reduce cost and boost efficiency.

"Technology innovation has always been the core growth driver for the company," the report says. "In order to continuously upgrade and iterate machines, the company has put the research and development of its new generation of models on the agenda."

In 2025, Haitian officials expect the global economy will see moderate growth despite an international landscape full of uncertainties.

"Global economic recovery will face significant challenges from the intensified geopolitical conflicts and rising trade protectionism," the report says.

Still, Haitian plans to strengthen its global footprint with new factories in Japan and Serbia. The sites will begin production in 2025 to improve regional supply chain efficiency and local market responsiveness.

"As production capacity will be released after factories in Japan and Serbia are completed in 2025, the company will accelerate the application of the intelligence and localization of the supply chain to tackle the complex and changing geopolitical landscape," the report says.

As for China's economy, "technology innovation, green transformation and new quality productivity forces will become the new drivers for economic growth," the report says.

"Consumption potential will be released continuously, underpinned by the consumption upgrades, changes to new consumption patterns and support of trade-in policy," the report also says.

Overall, Haitian "will continue to ride on the recovery of the global manufacturing industry and the resurgence of consumption demand," the report says.

Looking ahead, Haitian International CEO and Executive Director Zhang Bin, said that "in order to strengthen the cooperation between the company and its customers, we will continue to provide customized solutions and value-added services to expand our markets from single-machine sales to overall solutions for deeper market penetration."

To foster the next generation of leaders, Haitian says it developed a young, globally oriented management team supported by international training programs.

The company has 8,074 employees, mostly in China.