Interview with XCMG Representatives

gong is so all the machines are they're assembled in China they're not necessarily built in China they're their world class components so all of the bigger excavators and wheel loaders and we also own the dressed at dozer line which is a yep so that's part of it that's our goes our line but all the power plants are Cummins Tier four final engine so power powered by Cummins Rexroth pumps that drives and transmissions Kawasaki hydraulic valve so kind of world class components that are all come together so a lot of people's find comfort in that they can get parts service and support for all those major components because a lot of manufacturers use them so just a brand comparing price then I mean why would it let me ask you something why would a guy want a is this considered a grey iron machine nope Josh nope no sir there they are Tier four final I'm stands Dan nice to meet you yeah so these are not considered a great iron machine but is there a considerable cost savings because we've got cat we've got Volvo we've got John do you we've got all established name brands that these guys grew up with their grandpa's grew up with why would they go with the lugar because well I mean it is a saturated market with a lot of different manufacturers there is cost savings being an imported machine there's some labor costs that are avoided by being you know assembled in China and things like that even with the tariffs and stuff like that so like on a typical machine is it a 10 20 % you'd probably see probably in the 20% range cost of ownership out the door the fuel efficiencies and all that stuff tend to be pretty pretty competitive in the industry so over say they gotta be if you run in comments and you run in Kawasaki and you're running all of the standard interchangeable parts that the other guys are running really just building the frame and how you would stick them together yep and then some of the vital components which can add up a nickel and dimed a guy would make me a little bit worried I mean are any of these components your own proprietary components yeah so forged sticks on the like the engineering on the boom and stick are very much a liugong thing I wouldn't say that they're much different than the industry standards except they tend to over engineer a little bit so they're well built the strength of just the steel and south a they whereas some of the other kind of overseas brands tend to make them as light as they can you know I mean I love simpler machines…