Belgium Construction Equipment Market - Strategic Assessment & Forecast 2025-2030

Recent Developments in the Belgian Construction Equipment Market

• In December 2024, Volvo CE introduced its updated straight boom demolition excavators, including, the 30-ton- EC300 and the 40-ton EC400. The EC400 replaced the previous EC380E model, while the EC300 is an enhanced version of the EC300E.
• In November 2024, Volvo CE launched a new generation of High Reach excavators. The new EC400 High Reach and EC500 High Reach excavators replace the previous generation EC380EHR and EC480EHR respectively. These new models are integrated with new features and the latest innovations.
• In October 2024, Wacker Neuson acquired Compact Machinery BV (a construction machinery wholesaler based in Ghislenghien, Belgium). This strategic move highlights the expansion of Wacker Neuson’s presence in the Belgian market.

KEY HIGHLIGHTS

• The earthmoving equipment accounted for the largest market share of the Belgium construction equipment market. Excavators in the earthmoving segment accounted for the largest share in 2024. The country’s investment in renovating its public infrastructure drives the growth of the Belgian earthmoving market.
• On the other hand, demand for material handling equipment is also growing in the Belgium construction equipment market due to the rising number of offshore wind power projects and the development of warehouses and logistics parks.
• In 2024, the earthmoving segment accounted for a significant share of Belgium’s construction equipment market and is estimated to grow at an impressive CAGR till 2030.
• Road rollers sales are high in Belgium in response to the rising renovation and expansion of public transit and airports. For example, the Vilvoorde Viaduct, one of Belgium's busiest traffic junctions with over 150,000 vehicles crossing daily, is undergoing a comprehensive renovation from 2023 to 2031 to ensure its continued safety and functionality.
• The construction equipment utilization in the construction industry by end-user (volume) has the largest Belgium construction equipment market share in 2024.
• In September 2024, the Flemish government announced an additional allocation of USD 1.4 billion for public works, supplementing the existing USD 5.8 billion budget overseen by the Department of Mobility and Public Works.
• Belgium’s rapidly growing e-commerce market has significantly boosted warehouse operations, where forklifts play a vital role in organizing, storing, and transporting goods. For instance, the planned expansion of the Port of Antwerp, known as the Extra Container Capacity Antwerp (ECA) project, is underway with a total cost of USD 5.2 billion.

Segmentation by Type

• Earthmoving Equipment
  • Excavator
  • Backhoe Loaders
  • Wheeled Loaders
  • Other Earthmoving Equipment (Other loaders, Bulldozers, Trenchers, Motor Graders)
• Road Construction Equipment
  • Road Rollers
  • Asphalt Pavers
• Material Handling Equipment
  • Crane
  • Forklift & Telescopic Handlers
  • Aerial Platforms (Articulated Boom Lifts, Telescopic Boom lifts, Scissor lifts)
• Other Construction Equipment
  • Dumper
  • Tipper
  • Concrete Mixer
  • Concrete Pump Truck

Segmentation by End Users

• Construction
• Mining
• Manufacturing
• Others (Power Generation, Utilities Municipal Corporations, Oil & Gas, Cargo Handling, Power Generation Plants, Waste Management)

MARKET TRENDS & DRIVERS

Belgium’s Hydrogen Strategy to Boost the Belgium Construction Equipment Market

• To strengthen Belgium's position as a leader in hydrogen technologies, the Energy Transition Fund will, until 2025, provide USD 21-31.5 million in support funding. The federal government has allocated a further USD 63.0 million to support projects to scale up promising technologies.
• Many construction firms in Belgium may need to upgrade their machinery to meet the new emission standards. The shift to hydrogen fuel cells presents an opportunity to modernize fleets, leading to a surge in demand for new hydrogen-powered construction equipment in the country’s construction equipment market.

Increasing Investments in Redevelopment & Renovation

• Belgium is approaching a significant renovation boom. Currently, 85% of homes fall short of the energy standards required for 2050, and the rate of renovations must increase fourfold to meet climate goals (climate neutrality by 2050).
• Additionally, the country’s public infrastructure, including highways and railways, is outdated and will require extensive upgrades in the coming years.
• Despite the challenges in new construction, the residential renovation sector offers a slight relief. In 2024, this segment saw modest growth of 0.5%, with more optimistic forecasts for 2025, anticipating an increase of 1.3%.

Electrification of Equipment in the Belgium Construction Equipment Market

• Belgium is making progress in electrifying construction equipment through the use of all-electric cranes, emission-free excavators, and other alternative power solutions.
• Recently, in October 2024, Jan De Nul Group tested a Volvo JEC230 Electric excavator on a Belgian construction site. The company also plans to develop solar panels and green grid energy to charge the cranes used on the site.

Surge in the Development of Wind Energy Projects

• In late September, the European Union (EU) Commission approved a USD 717.4 million support scheme for the Belgian government to bolster offshore wind energy. This initiative is part of the EU’s Temporary Crisis and Transition Framework (TCTF), designed to support key sectors in achieving net-zero emissions. The growing number of investments in wind energy is projected to support the Belgium construction equipment market growth.
• This approval enables Belgium to significantly invest in offshore wind projects, including the Prince Elizabeth Zone in the North Sea, which is expected to generate 2.6 terawatt hours (TWh) of electricity annually, starting from 2026.

INDUSTRY RESTRAINTS

Slow Economic Growth Is Impacting the Construction Industry

• According to the recent Belgian government’s forecast, Belgium’s economic growth is expected to decelerate, aligning with the eurozone average by 2025 and growth projection for 2025 is estimated at 1.4%.
• Between 2020 and 2023, construction sector prices rose by 20% overall, driven by several factors. The cost of basic materials surged by 35%, influenced by the health crisis and the war in Ukraine. Furthermore, Belgium’s construction sector faced a challenging 2024, with an overall decline of 0.4%, according to Embuild (the Belgian construction association). Residential construction was hit hardest, dropping 7.3% in 2024, and expected to fall another 3.3% in 2025. Key drivers include rising interest rates, higher material costs, and economic uncertainty, affecting companies, architects, and suppliers across the industry.

Rising Bankruptcy Rates & Skilled Labor Shortage in the Country

• The surge in construction bankruptcies is due in part to the faltering economy, but also to structural problems within the industry itself. Companies often operate with minimal margins, and high debt, and face rising labor costs.
• In Q3 2024, the wage cost per hour worked increases by 2.5% on an annual basis. Compared to Q2 2024, the wage cost per hour worked increased by 0.8%.
• Belgium’s construction sector relies on 38,000 migrated workers (as of Q2 2024) to address significant labor shortages, with 14,000-20,000 positions unfilled. Most workers come from Romania, Portugal, Ukraine, the Netherlands, and Poland, working under local wage laws but their home countries’ social security rules. Labor shortages have obligated 20% of firms to delay projects and 10% to reduce services, which is negatively impacting the Belgium construction equipment market growth.

VENDOR LANDSCAPE

• Caterpillar, Liebherr, Komatsu, Volvo CE, and Hitachi Construction Machinery are the front runners in the Belgium construction equipment market. These companies have a strong market share and offer diverse sets of equipment in the Belgian market.
• Terex, Tadano, Kubota, Manitou, Merlo Spa, Konecranes, Wacker Neuson, Yanmar, Takeuchi, Sunward, and Ammann are niche players in the Belgium construction equipment market. These companies offer low product diversification and have a strong presence in the country’s market.

Prominent Vendors

• Caterpillar
• Volvo Construction Equipment
• Komatsu
• Hitachi Construction Machinery
• Liebherr
• JCB
• SANY
• Xuzhou Construction Machinery Group Co. Ltd. (XCMG)
• Kobelco
• Zoomlion Heavy Industry Science & Technology Co., Ltd.
• HD Hyundai Construction Equipment
• CASE Construction Equipment
• Kubota

Other Prominent Vendors

• Bobcat
• DEVELON
• LiuGong
• Tadano
• Terex Corporation
• Jungheinrich AG
• Manitou
• Mecalac
• Yanmar
• Takeuchi
• Sunward Intelligent Equipment Group
• Ammann
• Wacker Neuson
• Hidromek
• MERLO S.p.A
• AUSA
• JLG
• Konecranes

Distributor Profiles

• Van Haut
• Compact Machinery BV
• FM Bouwmachines
• HST TESSENDERLO
• BIG MACHINERY
• Vangaever

KEY QUESTIONS ANSWERED