Construction Machinery Global Market Opportunities and Strategies to 2032

This report describes and explains the construction machinery market and covers 2017-2022, termed the historic period and 2022-2027 termed the forecast period, along with further forecasts for the period 2027-2032. The report evaluates the market across each region and the major economies within each region.

The global construction machinery market reached a value of nearly $311,984.9 million in 2022, having increased at a compound annual growth rate (CAGR) of 5.9% since 2017. The market is expected to grow from $311,984.9 million in 2022 to $477,538.2 million in 2027 at a rate of 8.9%. The market is then expected to grow at a CAGR of 8.7% from 2027 and reach $725,418.9 million in 2032.

Growth in the historic period resulted from the strong economic growth in emerging markets, the low interest rate environment, and the supportive government initiatives. Factors that negatively affected growth in the historic period were the geo-political tensions, the safety and cyber security issues, and the COVID-19 impact.

Going forward, the increasing investments in infrastructure, the growing global construction industry, the increasing urbanization, and the rising population will drive the market. Factors that could hinder the growth of the construction machinery market in the future include the high price of construction machinery and the Russia-Ukraine war impact.

The construction machinery market is segmented by product into earthmoving, material handling, and building and road construction equipment. The building and road construction equipment market was the largest segment of the construction machinery market by product, accounting for $176,976.1 million or 56.7% of the total market in 2022. The building and road construction equipment market is expected to be the fastest-growing segment going forward at a CAGR of 11.0%.

The construction machinery market is segmented by application into excavation and mining, lifting and material handling, earth moving, transportation, and other applications. The earth moving market was the largest segment of the construction machinery market by application, accounting for $96,323.8 million or 30.9% of the total market in 2022. The transportation market is expected to be the fastest-growing segment going forward at a CAGR of 10.9%.

The construction machinery market is segmented by end user into the oil and gas, construction and infrastructure, manufacturing, mining, and other end users. The construction and infrastructure market was the largest segment of the construction machinery market by the end user, accounting for $159,287.2 million or 51.1% of the total market in 2022. The construction and infrastructure market is expected to be the fastest-growing segment going forward at a CAGR of 9.9%.

Asia-Pacific was the largest region in the construction machinery market, accounting for 31.6% of the global market in 2022. It was followed by Western Europe, North America and other regions. Going forward, the fastest growing regions in the construction machinery market will be South America and Africa where growth will be at CAGRs of 15.8% and 13.5% respectively from 2022-2027.

The global construction machinery market is fragmented, with a large number of players operating in the market. The top ten competitors in the market made up to 34.42% of the total market in 2021. Caterpillar Inc. was the largest competitor with a 7.22% share of the market, followed by Komatsu Ltd. with 5.05%, Volvo AB with 3.85%, Zoomlion Heavy Industry Science and Technology Co., Ltd. with 3.48%, Hitachi, Ltd. with 3.37%, Deere & Company with 2.88%, EXOR Group with 2.82%, Sany Heavy Industry Co., Ltd with 2.35%, Xuzhou Construction Machinery Group Co., Ltd with 1.92%, and Liebherr Group with 1.49%.

The top opportunities in the construction machinery market by product will arise in the building and road construction equipment market, which will gain $121,410.6 million of global annual sales by 2027. The top opportunities in the construction machinery market by application will arise in the transportation market, which will gain $56,764.8 million of global annual sales by 2027. The top opportunities in the construction machinery market by end user will arise in the construction and infrastructure market, which will gain $95,567.8 million of global annual sales by 2027. The construction machinery market size will gain the most in the USA at $33,518.6 million.

Market-trend-based strategies for the construction machinery market include the development of robotic excavators, focus on electric construction equipment, the integration of the Internet of Things (IoT), product innovations, technology advancements, and strategic partnerships and collaborations.

Player-adopted strategies in the construction machinery industry include a focus on strengthening the business operations through the launch of next-generation products, a focus on enhancing the product portfolio through new product launches, and a focus on expanding the operational capabilities through strategic acquisitions.

To take advantage of the opportunities, the publisher recommends the construction machinery companies to focus on robotic excavators, focus on electric construction equipment, focus on integrating internet of things (IOT), focus on product innovations, expand in emerging markets, focus on partnerships and collaborations, provide competitively priced offerings, participate in trade shows and events, continue to use B2B promotions, target fast-growing end-users.