Caterpillar digs for new opportunities

To increase the use of clean energy, China is pushing the development of conventional and unconventional sources of natural gas. Oberhelman believes that drive will bring huge opportunities for Caterpillar's natural gas engine unit.

"China is at the starting stage of a natural gas industry ... that will bring huge market opportunities," he said.

Oberhelman said the company will continue to focus on construction and underground mining equipment for its product structure while grasping the opportunities created by China's natural gas boom.

He forecast GDP growth of 7 to 8 percent in China in the coming years, which is still much higher than growth in other markets.

"I see it as a big opportunity, and we will become a market leader in the industry in China," he said.

China's machinery sector began to falter in 2011 after years of approximately 30 percent annual growth, because of excess capacity and a slowing economy.

Cai Weici, vice-chairman of the China Machinery Industry Federation, said profit growth in the nation's machinery industry has been decelerating for several years.

Profit will be flat in the years to come, he said, and "companies should be prepared."

"Thanks to a diverse product structure, we are happy with our profits last year," said Oberhelman. "Our return on capital investment in China is very acceptable."

According to the company, Caterpillar's China sales increased 20 percent in 2013. Global sales slid 16 percent to $55.656 billion.

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