On the 23rd, Sany Group's first global construction machinery remanufacturing base—Sany Hainan Intelligent Manufacturing Industrial Park—officially went into production. With a total investment of about 600 million yuan and covering 150 mu, the base mainly carries out maintenance and remanufacturing of core machinery components and domestic and overseas second-hand equipment.

Walking into the tall, spacious workshop, rows of second-hand excavators, cranes and other equipment from overseas markets such as Southeast Asia and Africa are neatly arranged. These machines, whose main structures are still in good condition, will be given new life after meticulous dismantling by professional teams, rigorous inspection, repair of core components and comprehensive technical upgrading.

This is the core "two ends outside" business model of the Hunan-Hainan Advanced Manufacturing Joint Industrial Park: equipment is recovered from overseas, undergoes high-value-added remanufacturing in Hainan, and is ultimately exported to global markets as products with higher performance and lower carbon emissions. The base has a broad business scope, ranging from the maintenance and remanufacturing of core components such as engines, hydraulic valves and reducers to the refurbishment and intelligent upgrading of complete machines, forming a complete value chain.

"On the very first day of production, we received orders worth 100 million yuan in total from Southeast Asia and Africa!" said Xiang Silong, a director of Sany Group, noting that the advantages of the free trade port policies are very obvious: the "dual 15%" tax incentives and the 15% corporate income tax reduction for outsourced processing have helped the company achieve real cost savings. Take a second-hand excavator purchased from Indonesia as an example: previously it had to be shipped back to Kunshan, Jiangsu Province for remanufacturing before export, but now that the work is moved to the Dongfang base, each machine saves 32,000 yuan in tariffs and freight.

While calculating the economic benefits, the company also takes a long-term view. Hainan is adjacent to Southeast Asian markets and enjoys convenient sea transport; combined with the free trade port's liberalized and facilitated policy system of "opening up the first line, controlling the second line, and freedom within the island," the remanufacturing business can efficiently connect both the domestic and international markets. Sany Group Chairman Tang Xiuguo previously said that Sany will make this project an important pillar of the group's globalization strategy. Once the project reaches full production, it is expected to achieve an annual output value of about 750 million yuan and contribute about 52.5 million yuan in tax revenue.

In June this year, Hunan and Hainan provinces jointly formulated and released three local standards, including the General Rules for the Evaluation of Exported Used Construction Machinery Equipment, providing a scientific basis for transparent and standardized operation of the industry. Among them, the General Technical Requirements for the Maintenance and Remanufacturing of Exported Used Construction Machinery was simultaneously released in an English version, becoming Hainan's first local standard in a foreign language, filling a gap in the relevant domestic field and helping Chinese construction machinery remanufactured products win the trust of the international market.