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"China has 180 million people renting homes... the irregular and illegal practices by rental agencies have disrupted the market order and hurt the interests of the public," said the statement.

"But now, things have changed. You need to climb to the top to be a winner. After five years of a quiet market, domestic as well as overseas demand is slowly pulling back this year. It poses a new challenge to XCMG."

"China and the US, the two major countries, bear special duties in this regard," he said.

"China has enhanced its trade policy measures to protect its businesses from growing trade protectionism across the world," said Li Guanghui, vice-president of the Chinese Academy of International Trade and Economic Cooperation in Beijing.

"But shrinking external demand and employment are still an issue," he said.