Ritchie Bros. Officially Announces First China Auction Date

Ritchie Bros. Auctioneers will hold its first unreserved public auction in China on April 18, 2013. In addition to securing an official auction date, the company has started receiving its first consignments, which include a mixture of unused international and local equipment.

Current equipment highlights include an unused 2010 Kato HD820V hydraulic excavator; a 2009 Caterpillar 320D-E hydraulic excavator; and a 2007 Caterpillar D7G Series II crawler tractor. The company stated in November 2012 it will bring the certainty of unreserved auctions to Chinese equipment buyers and sellers now that the company's Wholly Owned Foreign Enterprise application had been approved by the Chinese government.

"Now that we have received approval from the Chinese government, we are excited to open up the global heavy equipment market to Chinese equipment owners," said Stephen Branch, vice president, Ritchie Bros. Auctioneers. "Our global heavy equipment network is more than 50 years in the making. Today, it consists of more than 40 auction sites around the world, an industry-leading website and a suite of value added services that make our auctions a one-stop-shop for heavy equipment buyers and sellers. We encourage local and international equipment owners to participate in this truly global event by contacting our Beijing office. April is just around the corner."

One of the first local sellers to consign equipment to the upcoming Beijing unreserved public auction is Xie Qianbo, owner of Shanghai Jin Jichang Engineering Machinery Co. Ltd. - a Shanghai-based heavy equipment dealer.

"I have known Ritchie Bros. for many years now and have attended their auctions outside of China," said Xie. "I have seen with my own eyes the attraction power that Ritchie Bros. has. They have the power to bring legitimate buyers from around the world who need to buy my machines in order to put them to work right away. This is why we are selling our equipment at the first ever Ritchie Bros. auction in China. The process is simple and trustworthy."

Ritchie Bros. has formally leased land in the Tianzhu Free Trade Zone (Shunyi, Beijing) in preparation for this first unreserved public auction in China. Strategically located within minutes of Beijing Capital International Airport, the Tianzhu Free Trade Zone is connected to one of China's largest roll-on, roll-off ports in Tianjin. Equipment buyers and sellers interested in learning more about Ritchie Bros. and the unreserved auction process are encouraged to visit rbauction.com or contact the Company's Beijing office at +86.400.810.2223.

"For many years we have been learning China's market, customer needs and behaviors," added Chris Edwards, Ritchie Bros. General Manager for China, Korea and Mongolia. "It's exciting that we are about to introduce the unreserved auction process in China, which we believe is the most fair and transparent way for heavy equipment buyers and sellers to conduct business."

There is a lot of excitement for the arrival of Ritchie Bros. unreserved public auctions in China. Here are some highlights of the Company's unreserved auction process:

For sellers:

  • Sellers benefit from certainty of sale and global market value. In 2012, the company sold US$3.9 billion of equipment at 328 unreserved industrial and agricultural auctions around the world.
  • Chinese equipment owners will be able to dispose of surplus inventory more efficiently and effectively, thereby generating cash flow and facilitating sales of new and used equipment.
  • Ability for Chinese equipment sellers to be part of bigger marketplaces for their equipment to be sold in.
  • Access to the global market will help Chinese equipment manufacturers and sellers build their brands beyond their province: throughout China and overseas.
  • Ability to reach on-site and online bidders: the best of both worlds. Ritchie Bros. is a recognized leader in online equipment auctions. In 2012, 60% of the registered bidders at Ritchie Bros. industrial auctions participated over the internet; online bidders purchased more than US$1.3 billion of equipment in 2012.

For buyers:

  • Large selection of trucks and equipment: The average Ritchie Bros. industrial auction features 1,300 items from 190 sellers.
  • Buyers are in control and determine the prices: Ritchie Bros. strictly forbids owners from bidding on their own items. That means there's no artificial price manipulation, so buyers can confidently purchase their equipment at fair market value at a Ritchie Bros. unreserved auction.
  • Ability to inspect: interested buyers can inspect, test and compare equipment (or they can bring a mechanic to do it for them) at the auction site prior to the auction.
  • Clear titles: Ritchie Bros. identifies and arranges for the release of any liens or encumbrances on the equipment sold at the Company's auctions.
  • Ritchie Bros. will be able to act as a single point of contact and a "one stop shop" for overseas buyers looking to purchase equipment from China.
  • The opportunity to buy from a professional and reputable Company with more than 50 years of experience holding unreserved public auctions.
  • Ability to purchase equipment in the business-friendly environment of the Tianzhu Free Trade Zone (Shunyi, Beijing): minutes away from the Beijing Capital International Airport and connected to one of China's largest roll-on, roll-off ports in Tianjin.

The first Ritchie Bros. Beijing, China unreserved public auction is currently receiving consignments. Equipment owners interested in selling equipment at the April 2013 Beijing auction are encouraged to contact the Company's Beijing office at +86.400.810.2223