Yanmar CEO: ‘make it easy to switch to electric’
12 October 2022
Yanmar Compact Equipment plans to reveal a range of electric equipment at Bauma although the manufacturer said sales volumes of electric machines will remain modest “for the foreseeable future”.
Giuliano Parodi, Global CEO of Yanmar Compact Equipment, speaking ahead of the company’s appearance at Bauma, said the company was “genuinely committed to the energy transformation and lowering the impact of our machines on the planet”, but that sales would remain at modest levels until it was easier for customers to switch to electric.
“For this to change we need to come together as an industry and make it easier for customers to make the switch to electric”, he said.
“A good place to start would be to agree some common technologies – such as standardized charging infrastructure that works across OEM brands.”
Parodi said Government incentives and tax breaks were needed to help jump-start the market, just as in the automotive sector.
However, he argued that unlike the automotive sector, equipment users needed to change their way of working; “Ultimately, machinery OEMs are just one piece in the energy transformation puzzle, and a joined-up approach is needed, one that includes rental firms, construction companies, energy companies, governments etc. to produce a joined-up approach to going electric.”
Bauma is ‘king of shows’
Looking ahead to Bauma, Parodi said it remained the “king of shows” creating “a buzz like no other…People have been telling me that exhibitions have been ‘dying out’ ever since I came into this industry more than 20 years ago.
“But despite the growth of virtual meetings, trade shows continue to be an important channel to connect with customers and build personal relationships.
“You build great relationships and learn so much. In recent years we learned what can be done with Zoom/Teams/Google Meets, but we believe that a handshake still cannot be beaten.”
Parodi said the show was taking place at a time of uncertainty in the market, with a likely end to the period of high demand; “Growth never lasts forever and it’s inevitable that this boom period will end eventually. The only questions are: When? How deep? How fast? and how long will it last?”
Signs of a slowdown in growth
He said recent order intake was showing signs of a slowdown in the rate of growth; “This varies country-to-country, of course, but overall I hope there will be a gentle cooling of a hot global industry and allow the sector to find a balance between supply and demand. This will also reduce pressure on our supply and logistics chain, which has struggled to keep up with demand.”
Paaroi said Yanmar’s recent rebranding, using a red livery, reflected deeper changes to the business; “We are broadening and deepening our product offering and doing the same to the markets and customers we target.
“With shorter supply lines, increased local manufacturing outside of our Japanese heartland, strategic acquisitions and an evolving tech skillset, we have built strong foundations during this once-in-a-lifetime boom period.”