World Construction Equipment Market: 2019 and Beyond
In the recent past, machinery has become more advanced. The advancement hasn’t left construction industry untouched, with manufacturers hard pressed to offer products that meet the continuously changing demand. Investments in R&D have risen significantly, with construction equipment becoming ‘smarter’ by the day.
The global construction equipment market is likely to witness steady growth in 2019 and beyond, owing to the ample opportunities in residential, infrastructure, and non-residential sectors. Some of the key factors that are likely to fuel the demand of construction equipment worldwide include rise in the construction of multi-family houses, growing investments in the construction of metros, roads, bridges, highways, expressways, and smart cities to cater to the needs of the growing population.
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Construction equipment manufacturers are likely to witness significant opportunities, especially in some of the fastest growing economies of the world. Besides, the growing government funding for development of advanced public infrastructure could increase the demand for off-highway equipment, positively impacting the world construction equipment market.
To achieve future development milestones, construction equipment manufacturers are aligning their strategies with the changing status-quo. For instance, Volvo CE is incorporating innovation in construction machine technology by developing safer, cleaner, smarter, and highly fuel-efficient equipment. This innovation aims to cater to the strength-related needs.
Although the outlook on global construction equipment market remains bullish, challenges persist. There are numerous factors hampering the growth of the global construction equipment market, such as sky-rocketing cost of equipment, which is keeping the small and medium companies from investing in the equipment. The high cost of equipment not just impends the usage, but also results into elevated turnaround time of construction projects, making them less efficient.
Drivers and Restraints: World Construction Equipment Market
- Driven by the high demand in mining, irrigations, and road infrastructure projects, the construction equipment makers in India are keeping their best foot forward, by pushing their abilities to the utmost. According to India Brand Equity Foundation (IBEF), India needs an investment worth US$ 777.73 billion in infrastructure by 2022 to have sustainable development in the country. Investments at such high par is likely to trigger growth opportunities for world construction equipment market players.
- The $18 trillion U.S. economy depends on a vast network of infrastructure, ranging from bridges and roads to freight rail and ports to internet provision and electrical grids. But, the systems currently in place are built aged ago, and the lacking infrastructure is leading to delays and hike in maintenance costs, which is hampering the economic performance.
- The era, being deprived of advanced infrastructure holds opportunities for construction equipment makers to gain prominence by accelerating the introduction of new and highly efficient construction machinery into the market.
- Rise in the construction of multi-family houses due to the increasing trend of nuclear families is expected to drive the growth in the world construction equipment market.
Trends and Opportunities
- Businesses prefer renting the construction equipment than buying, due to the advantages such as reduced costs linked to operation, servicing requirements, and transportation. This elevating preference and trend of short time rental over buying across the end users are offering an impetus to the rental industry demand.
- Marquee events like the FIFA World Cup in Qatar in 2022 have already created lucrative opportunities for construction equipment makers; further opportunities abound as spending on infrastructure grows.
Manufacturers’ Increasing Focus on Improving Performance Features Expected to Grow Excavator Market
On the back of features, such as powerful performance characteristics, flexibility, and high efficiency, excavators have remained the go-to equipment in a range of construction activities. They are mainly used in construction for digging foundations, holes, and trenches, material lifting, demolishing buildings, and landscaping. Notable developments in the global excavator market include,
- Manufacturers are focusing on cutting maintenance and operational expenses, along with improving the comfort and safety of the operators to gain a strong hold in the global excavator market.
- The high price tag of excavators is making them out of reach of numerous end users, bolstering the trend of renting. The excavator manufacturers are introducing innovative rental schemes to boost sales.
- Stringent regulations related to excavator continue to create challenges for the excavator manufacturers.
Demand for wheeled excavators is likely to grow due to the rise in the development of urban infrastructure. Wheeled excavators are primarily used in urban areas and projects, including megacities and smart cities, which are driving the demand of this construction equipment.
Fact.MR’s report on excavator market offers in-depth insights and analysis. A sample of the study is available upon request.
Divergent Applications to Keep Truck Cranes in Demand
The growing demand for heavy-duty construction equipment coupled with the wide range of truck crane applications is likely to drive the growth of truck cranes market. Truck cranes are carrier trucks used in transporting crane to the job location and for loading and unloading of various loads. The increasing construction projects across the globe are creating opportunities for the truck crane manufacturers. Notable developments include,
- The world is witnessing investments in infrastructure-oriented development, which is expected to drive the sales of truck cranes, thereby, promising growth in the truck crane market.
- Truck crane manufacturers are focusing on low-emission engines to attract wider customer base and fulfil the regulations pertaining to engine emission. In the US, it has become a milestone for the manufacturers of truck crane to meet the Tier IV Final emission standards. Companies are pulling up their socks and taking efforts to do justice to such regulations. For example, Lawson, a well-known provider of truck cranes, has rolled out an engine that works on CNG, and a novel electric power take-off system (ePTO) in truck cranes.
- Besides focusing on rolling out low-emission diesel engines, manufacturers are also bringing in advanced technologies to attain fuel efficiency and optimize productivity. OEMs’ initiatives to widen truck crane product portfolio with improved operational efficiency are expected to drive the market growth.
- Truck cranes find huge applications in sectors like utilities and power distribution, and buoyancy in such sectors is likely to fuel growth in global truck cranes market.
- The leading players in the truck crane market are increasingly using innovative truck cranes equipped with a hydraulic telescopic boom to offer rapid access and optimal productivity to their customers. A powerful cylinder technology in telescopic boom can enhance the truck crane outreach to remarkable heights with efficiency.
- Owing to the fluctuating road regulations in different regions, OEMs are also prioritizing incorporation of region-specific developments in the equipment design of truck cranes, besides growing the dealership networks.
The key players in the truck cranes market are merging multiple predictive maintenance technologies with their equipment to offer top-notch maintenance and repair services.
These excerpts are from Fact.MR’s study on truck cranes market. A sample of this study can be availed upon request.
Adoption of Innovative Technology Driving Mobile Construction Cranes Market
The competition in the mobile construction cranes market is expected to intensify, owing to the growing focus of manufacturers toward expanding their footprint on the back of rising demand for eco-friendly mobile construction cranes and technological advancements, which will further help the market gain momentum. Mobile cranes are often used along with various loads and cargo. Rough terrain cranes, crawler cranes, and truck cranes are some popular types of mobile construction cranes.
Key Information about Mobile Construction Cranes Market
- Mobile construction cranes manufacturers are investing in research and development activities to introduce robot cranes and novel technology. With such advanced technology, they can roll out energy efficient and compact mobile construction cranes.
- The growing use of telematics in different construction equipment and machinery is among the key trends gaining popularity in the mobile construction cranes market. Manufacturers of mobile construction cranes are relying on telematics technology to generate important data on fleet management, remote diagnostics, and enhanced GPS tracking, etc.
- The increasing renewable energy projects to fulfil the fast growing demand for power supply could fuel the demand for mobile construction cranes.
- Shortage of skilled labor and increasing cost of labor are likely to hamper the growth of global mobile construction cranes market.
- All terrain cranes are gaining ground in the mobile construction cranes market, owing to their ability to function in all kinds of terrain and weather conditions and terrain, amazing off-road mobility, ability to lift high loads, and move quickly on public roads.
Fact.MR’s study on mobile construction cranes market brings interesting insights to the fore. Request a sample to know our expertize.
Mounting Infrastructure Projects & Maintenance Activities Present Potential Growth Opportunities for Crawler Cranes Market
The crawler crane market is witnessing demand for niche machines, tailored choices, and low-level access units. The rise in the installation and maintenance activities along with the increasing organization of different events like corporate events, festivals, and concerts are encouraging the demand for crawler cranes in several regions.
- Growing demand for high lifting capacity in applications involving greater heights are triggering the sales of crawler cranes in the global construction sector. The demand for crawler cranes in the construction sector, mainly in the power plant construction sites is likely to grow in the upcoming years.
- The increasing construction projects and growing urbanization are continuously playing a key role in fueling the demand for crawler cranes across the world.
- The companies that manufacture crawler cranes are primarily and actively indulging in developing novel and advanced crawler cranes, equipped with enhanced features.
- As regulatory authorities continue to transform the construction equipment space by altering rules related to work practices to protect operators of crawler cranes, manufactures need to remain abreast and open to change.
- The sales of crawler cranes are likely to be influenced by the substantial growth in the power distribution industry and mounting port maintenance activities.
- The huge costs linked to crawler cranes has fueled the trend of equipment renting. This renting trend is expected to auger well for the overall growth of crawler cranes with renting companies increasing their crawler cranes fleet. For example, Bigge Crane and Rigging Co. is spending largely on crawler cranes offered by Kobelco Construction Machinery Co., Ltd.
- Players in the crawler cranes market are facing issues due to the lack of skilled personnel to operate mobile cranes. They increasingly face challenges in finding skilled individuals to operate crawler cranes. The trend of virtual reality is likely to gain prominence in the crawler cranes, as it provides groundbreaking training program and assessment platform for companies.
A sample of the study on crawler cranes market is available upon request.