Market spurs competition with distinctive technologies

Anticipating their results in sales in the niche of loaders in 2013, manufacturers point out solutions that make the difference in the battle for a bigger slice of the market

By Rodrigo Conceição Santos

Last year (2012), the Sobratema Study of the Brazilian Market for Construction Equipment mapped the sale of 5,225 wheel loaders of various size classes. According to the manufacturers surveyed in this report, the number should remain the same in 2013. But that does not mean the market isn’t moving. On the contrary, since April when the new rules regarding imports increased the rate of duties to be paid by importers of equipment, the competition has become even more intense. In this contest, the technological differentials have gained significant weight, of course, but the market recognizes that domestic competitors now have some substantial advantages.

Such is the case as regards Case Construction. According to company’s marketing manager, Carlos França, the market for wheel loaders with buckets for one cubic meter (m³) to 3.5 m³ did in fact remain stable compared to 2012. “Even so, we noted that there is a greater demand for domestic-made machines,” confirms the executive.

Caterpillar product specialist Rodrigo Cera confirms Carlos França’s perception upon pointing out that year 2013 began with an increase in sales compared to 2012 indicating, early on, a favorable scenario for the period. “Several public and private initiatives are underway and there are more to come, which ensures stability for the market,” he says.

Speaking as an importer, Henrique Ramirez, business director of SDLG, estimates that sales of loaders with 1 m³ to 3.5 m³ of bucket capacity declined by about 5% in the first half of this year compared to the same period of 2012. “We understand that this has to do with a certain structuring of the market in view of the increase in duties, and more attractive rates of interest made available through the Brazilian Development Bank’s ‘FINAME’ program of loans to domestic producers; aspects that contrast with the ever-increasing interest charged by private banks,” he affirms. “And, to complete matters, we have had to cope with a high foreign exchange rate in recent months.

ARTICULATED LOADERS

Another world player who is betting on the market for wheel loaders in Brazil, French-national Manitou also imports its machines - under the Gehl and Mustang brands - and seeks to strengthen a trend for loaders equipped with articulated frames (chassis) in the market. The analysis is provided by Pierre Warin, sales manager for Manitou in Brazil, who is betting on technological advancement to offset economic scenarios that are momentarily unfavorable for importers. “We offer smaller loaders with buckets of up to 1.2 m³ and articulated chassis, which facilitate their use in confined spaces since articulation reduces the equipment’s turning radius and provides greater maneuverability,” the expert underscores.

However, the executive explains that the Brazilian market is still incipient as applies to small articulated loaders. In 2012, Manitou sold only 20 units of this type of machine, but sales are expected to grow this year. The manager estimates that there are currently 23,000 units in operation worldwide, most of them in Europe where this type of machine is historically preferred over skid steers with a rigid frame. “In Brazil, we know this is a novelty,” he says. “In fact, we believe that we are the first brand to bring this type of equipment to the country.”

TECHNOLOGIES

In such a scenario, Volvo Construction Equipment is betting on advanced technologies for equipment. According to Boris Sanchez, manager of sales engineering at Volvo, the company’s wheel loaders are in a category that contains the largest amount of onboard electronics available in the market.

In this respect, it is worth pointing out that the other category or class of loaders includes machines that are generically classified as “simple tech” (i.e., with less onboard electronics). “Whether you opt for machines with more or less electronics depends on the type of operation you want, and customers who demand high productivity - such as mining companies - opt for machines with more electronics because they are more productive and fuel efficient,” Sanchez points out. The reduction in fuel consumption, he says, is obtained by the impact of electronic systems on the machine’s energy efficiency, regulating its operation by offering different pre-programmable modes of work.

Carlos França, of Case Construction, agrees that onboard electronics generate greater productivity and lower operating costs. “Typically, machines with less electronics are used in simplified applications in which productivity is not a crucial factor,” he says. “In this respect, the company’s W20E model, for example, has already been on the market for a few years and is acknowledged for its ease of maintenance, working in earthmoving and grading, sand mining, logging, transport of corrosive materials and various other intensive applications.”

As for the other models manufactured by the brand, the specialist believes that onboard electronics also provide advantages in various operations and in different ways. “An electronic motor with variable power curves, for example, allows the machine to work at a level of power suited to the operation, optimizing its operating cost under any circumstances,” he explains. “Other solutions that are clearly advantageous are systems like ‘Ride Control’ - which reduces loader arm bounce and improves retention of material that is being transported -, a rearview camera and other features that enhance operator comfort.”

Caterpillar, in turn, recently introduced its ‘K Series’ loaders with attractive new electronic features that contribute to the operation of different implements attached to the loader arm. One of the solutions offered by the brand, which it calls ‘Fine Mode Control’, allows the operator to choose the speed of hydraulic modulation that is better suited to the operation to be performed. Another module is recommended for operation with forks, while a mode of operation called “fine” facilitates work with a winch.

EFFECTIVENESS

In differentiating between what is simple-tech and high-tech, the threshold is higher than you think. Masashi Fujiyama, sales engineer at Volvo CE for Latin America, explains that the differences are not limited to electronic components alone, but include all the technology used in the machine, such as power trains and hydraulic systems.

In this regard, the specialist points out that Volvo CE’s loaders are equipped with the brand’s OptiShift transmission system; a feature that calculates the deficiency of the torque converter and uses 100% of the engine’s efficiency via automated gear changes. “The system always uses the best range of torque for the engine, at which there is less fuel consumption,” he emphasizes. “With that, your consumption of fuel can be up to 15% lower in loading and transporting operations.”

Specialist Fujiyama analyses that such effectiveness also depends on the particular operation since bucket loaders are deployed at work fronts that are, at times, very distinct from one another. One example is local truck-loading operation in which a loader will operate in “Y” (torque axis). “In that case, the impact on fuel consumption is lower when compared to a loader that must transport the material to a location that is farther from the point of loading,” says Fujiyama.

TRANSMISSION

When it comes to the transmission system, Caterpillar points out that its K-series loaders are equipped with hydrostatic technology which affords the operator independent control of the loader’s speed and engine rpm, besides control of wheel traction. “This level of control allows two features to be added as standards,” product specialist Rodrigo Cera explains. “The first is the speed limiter (creeper control), which allows adjustment of the loader’s groundspeed from 1 km/h (0.6 mph) to 13 km/h (8 mph) in Range 1, which is important in the use of brooms, for instance.”

The second feature, the specialist explains, is ‘traction aid’ control, which allows the operator to adjust the torque to the wheels to ‘accommodate’ the machine to the soil conditions thereby minimizing slip and, as a fringe benefit, increasing tire life. “These technologies can be adjusted in real time by means of optional secondary display screen,” the Caterpillar product specialist adds. “Furthermore, the transmission with two hydraulic motors enables continuous torque without any delay or interruption during movement.”

The executive adds that Caterpillar’s hydrostatic transmission has fewer moving parts than four-speed automated transmissions. The gear box, for example, consists of just two gears and a clutch turning in 8.5 liters (2.25 gal.) of transmission fluid. “Conventional transmissions have dozens of gears and clutches working in over 30 liters (8 gal.) of transmission fluid,” he compares. “Furthermore, with fewer moving parts there is less material to wear out.”

In practical terms, Cera assesses that a hydrostatic transmission gearbox has a fluid change interval extended to 2,000 hours, while conventional gearboxes require fluid changes every one thousand hours. “And that directly impacts the machine’s uptime,” he says.

According to Cera, the impact of the transmission system on fuel consumption has, as a key factor, the reduction of friction and minimization of heat loss. “As regards this aspect, hydrostatic technology provides both because, with fewer moving parts, there is also lower friction in bearings,” Cera emphasizes. “Furthermore, there is no heat loss, as you may find in torque converters of conventional transmissions.”

TIRES

França, of Case Construction, concedes that hydrostatic systems tend to reduce fuel consumption, but adds that other factors - such as the engine and the hydraulic system -may affect the system in an even more significant manner. “The equipment’s tires also make a difference, not just in consumption but also in productivity,” he says.

According to the specialist at Case, there are various types of tires available for loaders, both radial and diagonal (bias). “The radials have a longer service life and contribute to lower fuel consumption,” he says. “But, even on account of that, they are more expensive.”

Diagonal tires on the other hand, as França points out, are more rugged and sturdy as are solid tires for loaders; used mainly in applications where there is frequent contact with corrosive materials or with materials that can puncture the tire.

Ramirez of SDLG adds that, to give format to the traction all the energy that is generated by the power train is added to the distribution of weight upon the tires. “Therefore, when you use a tire that is not suitable for the application, productivity and consumption are directly affected,” he explains. "It's something you buy cheap that can cost you very dearly.”

In 2011, Volvo and Michelin did an experiment to compare the efficiency of the manufacturer’s radial tires with diagonal-ply tires marketed by competitors. Verified by ‘Instituto Vanzolini’, the operation evaluated the loading of type-2 gravel onto a 16 m³ dump truck using a loader equipped with a 3.5 m³ bucket. Separately, the machine used each type of tire for a period of one hour.

In this test, the size characteristics of both the radial and diagonal tires were the same (L3 pattern for 17.5-25), operating the loader under identical conditions of terrain and maneuverability. Even the machine’s operator was the same in both tests being that in the first test - when the operator was more rested - diagonal tires were used. And the result, verified on location by the staff of M&T Magazine, indicated fuel savings of 8.6% through the use of the radial model.

Sources:

Case CE:  www.casece.com/pt_br

Caterpillar: http://brasil.cat.com/

Manitou: www.fr.manitou.com/cms

SDLG: www.sdlgla.com/pt-br ‎

Volvo CE: www.volvoce.com