Construction Machinery Attachment Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Construction Machinery Attachments Market is anticipated to register a CAGR of about 4%, during the forecast period (2020 - 2025).

Key Highlights

• The driving factors of construction machinery attachment market are increase in construction projects like malls, multiplexes, hotels and the government spending on projects to enhance the infrastructure in the country like, construction of flyovers, airports, construction of highways and industrial zones for increasing economic activities in the region.
• Increase in number of smart city projects is enhancing the demand for the market. A smart city has amenities like roads, metro rails, hotels, hospitals etc. During phase one in India 100 cities are included in the project and the number of cities is expected to go up during the phase 2 of the project.
• With the increase in urbanization rate all around the world. The cities are expanding, and this require clearing the forests and other obstacles like mountains and rocks. During the forecast period the urban population is expected to grow with a rate of around 2%.

Key Market Trends

High cost of construction equipment will be a restraint

The construction equipment requires high capital investments and the technology advancement in the segment is on a very rapid pace. So, during the forecast period it is expected that the demand will be hindered by this factor and the end user may go for alternative of buying the product to leasing it which will be fore feasible for them. Also, the equipment is work specific i.e. an equipment is designated to perform a specific job that’s why for each job they need to procure a different equipment which requires huge capital investment.

For instance, bulldozers are designed for one primary use of pushing and spreading volumes of earth across flat area. Major players in the segment are spending on providing solution for the end users so that they can obtain maximum productivity from their equipment. For example, Mahindra introduces mini hydraulic excavator, which is low in weight so that fuel cost can be reduced, and it allows multiple attachment options to perform different jobs.

Asia-Pacific is expected to be the largest market during the forecast period

The region consists of two major developing nations in the world i.e. China and India, there are changing socio-economic factors in these countries. Also, these countries alone make 36% of the world’s population and the region makes it around 60% of the world’s population. These factors gave rise need for development of big airports, malls, energy projects and many other big construction projects. During the forecast period it is expected that these developments will continue in the region and will drive the growth for construction equipment market. For instance, Indian government allocated a fund of USD 63.20 billion towards infrastructure sector in FY 2019-20, for construction of highways, railways, hospitals and other infrastructure in the country. Furthermore, investments are likely to be made by the government in 2020-21, to boost development in the country.
Similarly, in December 2018, Construction activity in China expanded with growth rate for the year to 4.5%. In October 2018 the State Council (China’s chief administrative authority) issued guidelines on increasing investment in various types of infrastructure, railways, roads, and airports.

Competitive Landscape

The Construction Machinery Attachments market is fragmented, with many players accounting for significant amounts of shares in the market. Some of the prominent companies in the Construction Machinery Attachments market are Caterpillar Inc, Case Constructions, Komatsu, Hyundai Construction Equipment, Sany Group and others. Companies are investing heavily in research and development for the innovation of new and advanced products and technologies that may help for new technology.

• In September 2018, KINSHOFER, a leading global manufacturer of high-quality excavator and loader crane attachments, has introduced its D-Series grapples with a new light, compact and flexible shell, ideal for sorting and demolition. The attachments feature 360-degree endless rotation for precise positioning.
• In May 2019, NPK Construction Equipment has announced the acquisition of Genesis Attachments.NPK Construction Equipment , a subsidiary of Japan’s Nippon Pneumatic Manufacturing Company and Genesis attachments is a European Company and have a manufacturing facility at Wisconsin (United States).

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• The market estimate (ME) sheet in Excel format
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