The global construction equipment market size accounted for $180.4 bn in 2020 and is expected to reach $223.1 Bn by 2028, CAGR of 4.4% from 2021 to 2028.
Construction Equipment Market
The global Construction Equipment Market Size accounted for USD 180.4 billion in 2020 and is expected to reach USD 223.1 Billion by 2028, growing at a CAGR of 4.4% from 2021 to 2028.
Construction equipment refers to heavy-duty vehicles which are designed specially for carrying out construction tasks, most common ones including earthwork operations. In industry Construction equipment are also known as engineering equipment, heavy machines, heavy hydraulics or heavy trucks. Construction equipment play a crucial role in the construction process. It ensures proper usage of energy and manpower contributing to economy, safety, quality, speed and timely completion of the project. The basic operations involved in this sector are digging large quantities of earth, leveling, excavation, grading, dozing etc. Various construction equipment used are excavators, bulldozers, loaders, trenchers, backhoe, wheel tractor scraper, pile boring machines, pavers, and many more.
The ever-increasing infrastructure and growth in the country along with the rise in industrial, commercial, and residential activities are the driving growth factor for the construction equipment market. Moreover, the increase in GDP and boost in the economy also play a major role in the development of the infrastructure. Technology also played a crucial role in development. There is machinery that requires lesser labor and is more efficient. Construction equipment manufacturers and tech giants are developing autonomous machinery, making use of robotics which provide lucrative growth driving factors. These construction equipment manufacturers are integrating advanced technologies to reduce the overall operating cost which saves time and increases productivity.
Globalization, urbanization, and increased investment in basic infrastructure such as roads bridges, tunnels, railways, and ships have paved the way for the growth of the industry. According to a recent study, despite the COVID hindrance 8,169 kilometers of national highways were built between April 2020 and January 2021, averaging around 28.16 kilometers per day in India. So, these were the few growth factors driving the construction equipment market.
Covid is a pandemic that has hit almost every industry whether health, agriculture, education, or chemical in some or another way. With the implementation of the lockdown, there was a halt in the construction process across nations impacting the construction equipment market adversely. Covid has impacted the contractors, developers, supply chain vendors, owners, and many other numerous people involved in the process. Construction activities across the nations such as the USA, China, the UK, India, and various superpowers have been on hold which led to the shutting down of various construction projects. Like the other industries, COVID has impacted adversely the construction equipment market. With the disrupted supply chain and logistics it became very difficult for the companies to meet with the supply leading to price hikes in cement, tools, and construction equipment.
|Report Attributes||Report Details|
|Report Name||Construction Equipment Market Research Report|
|Market Size in 2020||USD 180.4 Billion|
|Market Forecast in 2028||USD 223.1 Billion|
|Compound Annual Growth Rate||CAGR of 4.4%|
|Number of Pages||170|
|Forecast Units||Value (USD Billion), and Volume (Units)|
|Key Companies Covered||Sany Group, Volvo Construction Equipment, Liebherr, Caterpillar, Inc., Komatsu Ltd., CNH Industrial, Hitachi Construction Machinery, Terex Corporation, XCMG Group, and Kobelco Construction Machinery Co., among others.|
|Segments Covered||By Product, By Distribution Channel, And By Region|
|Regions Covered||North America, Europe, Asia Pacific (APAC), Latin America, Middle East and Africa (MEA)|
|Countries Covered||North America: U.S and Canada
Europe: Germany, Italy, Russia, U.K, Spain, France, Rest of Europe
APAC: China, Australia, Japan, India, South Korea, South East Asia, Rest of Asia Pacific
Latin America: Brazil, Argentina, Chile
The Middle East And Africa: South Africa, GCC, Rest of MEA
|Historical Year||2016 to 2020|
|Forecast Year||2022 - 2030|
|Customization Scope||Avail customized purchase options to meet your exact research needs. Request For Customization|
Earthmoving and road building segment held about 55% share of the market. The segment demand is expected to be met by the government's rapid expansion of road-building projects and the development of public infrastructure. The mechanization of infrastructure construction activities to achieve high quality is providing opportunities for the sector to expand. Also, the material handling equipment segment is expected to have exponential growth due to the rising use of machinery across various domains. Forklift trucks, AGVs,s and telescopic handlers are the basic and most used machinery used in this domain. Concrete Equipment, Road Building Equipment, Civil Engineering Equipment, Crushing and Screening Equipment, and Other Equipment forms the Equipment Type segment.
During the forecast period the European region has shown good growth. The North American region is also playing a crucial role in the market. This is due to the presence of the USA which has witnessed abrupt growth due to technical advancement. Also, with the idea of renting the machinery also made the companies to render the construction equipment more easily at a lower cost.
Some of key players in construction equipment market are
To expand their business and gain a competitive advantage in this market, market participants are focusing on strategic partnerships with other industry players. As part of their strategic initiatives, equipment manufacturers are also emphasizing the expansion of their global footprint. For instance, Komatsu, a leader in the market announced in 2019 to set up a manufacturing facility in South Africa. This new set up will be installed by June 2020 whose primary focus is R&D along with the production of construction and mining equipment
The global construction equipment market was valued at USD 181,181.2 Million in 2020.
The global construction equipment market is expected to reach USD 251,547.8 Million by 2028, growing at a CAGR of 4.4% between 2021 to 2028.
Some of the key factors driving the global construction equipment market growth are technological advancements, growing urbanization, rising demand for rental equipment in Europe and North America, increased investments in infrastructural development, growing government and private partnership, FDI.
Asia Pacific region held a substantial share of about 55% in the construction equipment market in 2020. This is attributable to the presence of China which has seen substancial growth in the infrastructure giving significant rise if the market. India with the increased FDI has resulted in the growth of technological and infrastructural sector. Europe and North America also hold a good portion in the market.
Some of the major companies operating in the construction equipment market are Sany Group, Volvo Construction Equipment, Liebherr, Caterpillar, Inc., Komatsu Ltd., CNH Industrial, Hitachi Construction Machinery, Terex Corporation, XCMG Group, and Kobelco Construction Machinery Co., among others.