June is traditionally a slow month for construction machinery sales in China. But 2026 is rewriting the rulebook. Multiple manufacturers are running at full capacity, with production lines operating around the clock and order backlogs stretching delivery times significantly.

The numbers tell a compelling story. According to the China Construction Machinery Association, May 2026 excavator sales reached 24,794 units, up 36.2% year-on-year. Domestic sales alone surged 38.6%, marking the strongest monthly growth in recent years. Loaders followed a similar trajectory, with 13,405 units sold in May, a 27.2% increase.

What is driving this "peak season beyond peak season"? Industry analysts point to three converging factors. First, a wave of mega-infrastructure projects — including the Yarlung Tsangpo River hydropower project and the Xinjiang-Tibet Railway — has entered peak earthwork demand phases, pulling substantial equipment orders. Second, the equipment replacement cycle is peaking, with an estimated 195,000 excavators due for renewal in 2026 alone. Third, government subsidies for phasing out老旧 equipment are accelerating replacement demand.

The momentum is not confined to domestic markets. Export performance remains robust, with cumulative export value reaching $27.9 billion in the first five months of 2026, up 20.8% year-on-year. May saw excavator exports of 13,166 units, accounting for 53.1% of total sales. Regional highlights include Latin America and Africa, where export values surged 81% and 58% respectively year-on-year. The U.S. market also posted a remarkable 174.87% increase in May, albeit from a low base.

Meanwhile, major manufacturers have issued price increases of 3–5% across product lines to offset rising raw material costs — a move that analysts believe could mark the end of the industry's prolonged price war. Electric loaders continue to gain traction, with May penetration reaching 31%.

With both domestic and international demand showing no signs of cooling, the industry appears to have entered a sustained growth cycle. The question now is not whether the recovery will continue, but how long the upcycle will last.

Is your fleet expansion aligned with the current equipment renewal cycle? Reply with your target machine types and expected purchase timeline — we will share a market timing analysis and model recommendation tailored to your project schedule.