Construction Equipment Market Size, Share & Trends Analysis Report By Product (Earth Moving Machinery, Material Handling Machinery), By Equipment Type, By Propulsion Type (ICE, Electric, CNG/LNG), By Power Output, By Engine Capacity, And Segment Forecasts, 2024 - 2030

Research Methodology

A three-pronged approach was followed for deducing the construction equipment market estimates and forecasts. The process has three steps: information procurement, analysis, and validation. The whole process is cyclical, and steps repeat until the estimates are validated. The three steps are explained in detail below:

Information procurement: Information procurement is one of the most extensive and important stages in our research process, and quality data is critical for accurate analysis. We followed a multi-channel data collection process for construction equipment market to gather the most reliable and current information possible.

• We buy access to paid databases such as Hoover’s and Factiva for company financials, industry information, white papers, industry journals, SME journals, and more.
• We tap into Grand View’s proprietary database of data points and insights from active and archived monitoring and reporting.
• We conduct primary research with industry experts through questionnaires and one-on-one phone interviews.
• We pull from reliable secondary sources such as white papers and government statistics, published by organizations like WHO, NGOs, World Bank, etc., Key Opinion Leaders (KoL) publications, company filings, investor documents, and more.
• We purchase and review investor analyst reports, broker reports, academic commentary, government quotes, and wealth management publications for insightful third-party perspectives.

Analysis: We mine the data collected to establish baselines for forecasting, identify trends and opportunities, gain insight into consumer demographics and drivers, and so much more. We utilized different methods of construction equipment market data depending on the type of information we’re trying to uncover in our research.

• Market Research Efforts: Bottom-up Approach for estimating and forecasting demand size and opportunity, top-down Approach for new product forecasting and penetration, and combined approach of both Bottom-up and Top-down for full coverage analysis.

• Value-Chain-Based Sizing & Forecasting: Supply-side estimates for understanding potential revenue through competitive benchmarking, forecasting, and penetration modeling.

• Demand-side estimates for identifying parent and ancillary markets, segment modeling, and heuristic forecasting.

• Qualitative Functional Deployment (QFD) Modelling for market share assessment.

Market formulation and validation: We mine the data collected to establish baselines for forecasting, identify trends and opportunities, gain insight into consumer demographics and drivers, and so much more. We utilize different methods of data analysis depending on the type of information we’re trying to uncover in our research.

• Market Formulation: This step involves the finalization of market numbers. This step on an internal level is designed to manage outputs from the Data Analysis step.

• Data Normalization: The final market estimates and forecasts are then aligned and sent to industry experts, in-panel quality control managers for validation.

• This step also entails the finalization of the report scope and data representation pattern.

• Validation: The process entails multiple levels of validation. All these steps run in parallel, and the study is forwarded for publishing only if all three levels render validated results.

Construction Equipment Market Categorization:

The construction equipment market was categorized into four segments, namely product (Earth Moving Machinery, Material Handling Machinery, Concrete and Road Construction Machinery), propulsion type (ICE, Electric, CNG/LNG), power output (<100 HP, 101-200 HP, 201-400 HP, >401 HP), and region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa)

Segment Market Methodology:

The construction equipment market was segmented into product, propulsion type, power output, and regions. The demand at a segment level was deduced using a funnel method. Concepts like the TAM, SAM, SOM, etc., were put into practice to understand the demand. We at GVR deploy three methods to deduce market estimates and determine forecasts. These methods are explained below:

Market research approaches: Bottom-up

• Demand estimation of each product across countries/regions summed up to from the total market.

• Variable analysis for demand forecast.

• Demand estimation via analyzing paid database, and company financials either via annual reports or paid database.

• Primary interviews for data revalidation and insight collection.

Market research approaches: Top-down

• Used extensively for new product forecasting or analyzing penetration levels.

• Tool used invoice product flow and penetration models Use of regression multi-variant analysis for forecasting Involves extensive use of paid and public databases.

• Primary interviews and vendor-based primary research for variable impact analysis.

Market research approaches: Combined

• This is the most common method. We apply concepts from both the top-down and bottom-up approaches to arrive at a viable conclusion.

Regional Market Methodology:

The construction equipment market was analyzed at a regional level. The globe was divided into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, keeping in focus variables like consumption patterns, export-import regulations, consumer expectations, etc. These regions were further divided into eighteen countries, namely, the U.S.; Canada; the UK; Germany; France; Italy; Spain; China; India; Japan; Australia; South Korea; Brazil; Mexico; Argentina; UAE; Saudi Arabia; South Africa.

All three above-mentioned market research methodologies were applied to arrive at regional-level conclusions. The regions were then summed up to form the global market.

Construction equipment market companies & financials:

The construction equipment market was analyzed via companies operating in the sector. Analyzing these companies and cross-referencing them to the demand equation helped us validate our assumptions and conclusions. Key market players analyzed include:

• Caterpillar - Caterpillar is a manufacturer and supplier of mining and construction equipment, industrial gas turbines, diesel and natural gas engines, and diesel-electric locomotives, catering to the construction, energy & resource, and transportation sectors. The company operates through three main divisions: Resource Industries, Energy & Transportation, and Construction Industries. The Construction Industries division offers machinery essential for building construction and infrastructure development. This division’s product range includes small track-type tractors, motor graders, small wheel loaders, multi-terrain loaders, telehandlers, wheel excavators, backhoe loaders, skid steer loaders, and more. A significant portion of the company’s expenditure is dedicated to the production of next-generation construction machines. Caterpillar has a global footprint, with operations in Europe, Asia, the Middle East, North America, and Latin America. The company maintains logistics, manufacturing, marketing, and R&D facilities, as well as dealerships, at over 500 locations worldwide.

• CNH Industrial N.V. - CNH Industrial N.V. is a company that specializes in the provision of industrial equipment. They are involved in the design and production of a diverse array of equipment and parts for agriculture and construction. The company’s operations are divided into three main segments: Agriculture, Construction, Commercial and Specialty Vehicles, Financial Services, and Powertrain. Their product line includes a variety of machinery such as wheel loaders, dozers, graders, crawlers, wheeled excavators, and light construction equipment. This also encompasses skid steer and tracked loaders, backhoe loaders, compact wheel loaders, telehandlers, and mini and midi excavators. CNH Industrial N.V. caters to a wide range of clients including construction firms, local governments, municipal corporations, rental companies, contractors, residential and commercial builders, and logistics companies, among others. Their products are marketed and distributed via a network of dealers and distributors. The company has a global footprint, with operations in 180 countries. It boasts 66 manufacturing plants and 57 research and development centers worldwide. In 2020, CNH Industrial N.V. invested a substantial amount of USD 932 million in research and development activities.

• Escorts Limited - Escorts Limited is a company based in India that specializes in the production and sale of construction equipment, railway equipment, and agricultural machinery, both domestically and internationally. The company’s agricultural tractors are marketed under the Escorts, Farmtrac, and Powertrac brands. In addition to tractors, Escorts Limited also provides a range of other products including lubricants, crop solutions, engines, and generator sets. Their portfolio extends to earthmoving and material handling equipment, construction equipment, heating elements, round and flat tubes, brake blocks, automobile shock absorbers, telescopic front fork, McPherson struts, and internal combustion engines. They also manufacture various types of brakes for railway applications. Furthermore, the company offers oils & lubricants, tractors, trailers, compressor accessories and spares, and earthmoving and material handling equipment. Escorts Limited is also engaged in the aero business. The company operates seven manufacturing plants in India, with four dedicated to agricultural machinery, one to construction equipment, and two to railway equipment.

• Hitachi Construction Machinery Co., Ltd. - Hitachi Construction Machinery Co., Ltd. is a company that specializes in the manufacturing, sales, and servicing of construction machinery, transportation machinery, and other related equipment. Their product range includes demolition equipment, wheel loaders, cranes, foundation machines, mini and medium excavators, large excavators/loading shovels, demolition equipment, metal recycling equipment, rigid dump trucks, forest machines, compaction equipment, mine management systems, and mini loaders. They also offer various used equipment and attachments. The company’s operations are divided into two main segments: the Construction Machinery Business and the Solution Business. The products of Hitachi Construction Machinery Co., Ltd. find their applications in a variety of sectors including snow removal, mine development and mining, forestry, livestock raising, agriculture, civil engineering, demolition, recycling, and stevedoring. Hitachi Construction Machinery Co., Ltd. operates as a subsidiary of Hitachi Ltd. and has a global presence, with operations across Europe, Africa, North America, Asia, Oceania, and the Middle East.

• Hyundai Construction Equipment Co., Ltd. - Hyundai Construction Equipment Co., Ltd. is a company that specializes in the production of construction equipment, covering a wide range of material handling and construction machinery such as excavators, backhoe loaders, wheel loaders, forklifts, and skid loaders. The company is also involved in the manufacture of heavy machinery and construction equipment, including concrete mixers, bulldozers, cranes, pavers, dredging machinery, and power shovels, which are primarily used in the construction industry. In addition to this, Hyundai Construction Equipment Co., Ltd. produces forestry equipment and a variety of specialized equipment, including aerial work platforms, automobile wrecker hoists, elevating platforms, ship cranes, and capstans. The company was established as a spin-off from Hyundai Heavy Industries and was the first in Korea to launch a used construction equipment auction business. Hyundai Construction Equipment Co., Ltd. operates in cooperation with local subsidiaries in several countries, including China, Brazil, India, Indonesia, and North America.

• J C Bamford Excavators Ltd. -  J C Bamford Excavators Ltd., a subsidiary of Transmissions and Engineering Services Netherlands BV, specializes in the production of construction equipment. Their product range includes compaction equipment, backhoe, and compact track loaders, hydraulic excavators, lighting towers, defense products, industrial and rough terrain forklifts, diesel generators, light equipment, site dumpers, skid steer loaders, telescopic handlers, telescopic and wheel loaders. The company operates manufacturing facilities in several countries including the UK, India, Brazil, China, Germany, and the U.S. Additionally, it has subsidiaries in Singapore and various European locations.

• Deere & Company - Deere & Company is a manufacturer and distributor of equipment for forestry, construction, turf, and agriculture. Their extensive product line caters to residential, agricultural, construction, landscaping, ground care, golf & sports turf forestry, and engine & drivetrain applications. They also offer equipment operations and financial services. Their construction & forestry division provides a variety of equipment including crawler loaders, dozers, backhoe loaders, excavators, four-wheel-drive loaders, articulated dump trucks, motor graders, skid-steer loaders, landscape loaders, feller bunchers, log skidders, log harvesters, and log forwarders. These are used in material handling, construction, timber harvesting, and earthmoving applications. The turf and agriculture division of Deere & Company provides turf and agricultural equipment, utility tractors, sugarcane harvesters, loaders, and forage and hay equipment like bailers, mowers, commercial mowing equipment, and other outdoor power products. The company’s financial services unit not only contributes to the company’s earnings but also offers competitive financing to its global customers.

• Kobelco Construction Machinery Co., Ltd. - Kobelco Construction Machinery Co. Ltd., a subsidiary of Kobe Steel Ltd., is a company that specializes in the manufacture, sale, and service of construction equipment. Their product offerings include hydraulic and mini excavators, as well as recycling equipment. They also provide a range of services such as inspection, consulting, and after-sales support. In addition to new equipment, the company also deals in used construction equipment. With manufacturing facilities in Japan, China, Thailand, and India, Kobelco has a robust global presence, operating in over eight countries and covering nearly all regions worldwide.

• Komatsu Ltd. - Komatsu Ltd. is a company that specializes in the production, development, sales, and marketing of a variety of services and products for industrial use. The company’s operations are divided into several segments, including Construction, Mining, and Utility Equipment Business, Retail Finance, Industrial Machinery, and others. Through its construction, mining, and utility equipment segment, it provides a range of equipment such as construction and mining equipment, forklift trucks, forest machines, recycling equipment, and tunneling machines. This segment also includes bulldozers, mini excavators, continuous miners, electric rope shovels, hydraulic excavators, wheel loaders, motor graders, dump trucks, and forklift trucks. Komatsu Ltd. operates more than 81 production bases globally and sells its products directly to customers as well as through various trading and distributor companies.

• Liebherr-International AG - Liebherr-International AG, in collaboration with its subsidiaries, is a provider and producer of construction machinery. The company’s offerings include commercial freezing and refrigeration units, household appliances, various types of cranes (crawler, mobile, maritime, and tower), deep foundation machines, and port equipment. In addition, Liebherr-International AG supplies mobile construction cranes, aerospace systems, mining equipment, concrete technology, material handling equipment, transportation systems, machine tools, and automation components and systems. The company is involved in the construction, maintenance, and development of pontoons, ships, mobile harbors, and container cranes for diverse cargo handling. The company also provides used machines and construction machinery for rent, along with used attachments and spare parts. Liebherr-International AG offers services related to industrial plant setup and licensing/equipment, and it also operates and owns hotels. The company conducts online sales of clothing and construction machinery, as well as related accessories. With over 140 subsidiaries spread across more than 50 countries, Liebherr-International AG operates more than 40 production facilities globally.

Value chain-based sizing & forecasting

Supply Side Estimates

• Company revenue estimation via referring to annual reports, investor presentations, and Hoover’s.

• Segment revenue determination via variable analysis and penetration modeling.

• Competitive benchmarking to identify market leaders and their collective revenue shares.

• Forecasting via analyzing commercialization rates, pipelines, market initiatives, distribution networks, etc.

Demand side estimates

• Identifying parent markets and ancillary markets

• Segment penetration analysis to obtain pertinent

• revenue/volume

• Heuristic forecasting with the help of subject matter experts

• Forecasting via variable analysis

Construction Equipment Market Report Objectives:

• Understanding market dynamics (in terms of drivers, restraints, & opportunities) in the countries.

• Understanding trends & variables in the individual countries & their impact on growth and using analytical tools to provide high-level insights into the market dynamics and the associated growth pattern.

• Understanding market estimates and forecasts (with the base year as 2023, historic information from 2018 to 2022, and forecast from 2024 to 2030). Regional estimates & forecasts for each category are available and are summed up to form the global market estimates.

Construction Equipment Market Report Assumptions:

• The report provides market value for the base year 2023 and a yearly forecast till 2030 in terms of revenue/volume or both. The market for each of the segment outlooks has been provided on region & country basis for the above-mentioned forecast period.

• The key industry dynamics, major technological trends, and application markets are evaluated to understand their impact on the demand for the forecast period. The growth rates were estimated using correlation, regression, and time-series analysis.

• We have used the bottom-up approach for market sizing, analyzing key regional markets, dynamics, & trends for various products and end-users. The total market has been estimated by integrating the country markets.

• All market estimates and forecasts have been validated through primary interviews with the key industry participants.

• Inflation has not been accounted for to estimate and forecast the market.

• Numbers may not add up due to rounding off.

• Europe consists of EU-8, Central & Eastern Europe, along with the Commonwealth of Independent States (CIS).

• Asia Pacific includes South Asia, East Asia, Southeast Asia, and Oceania (Australia & New Zealand).

• Latin America includes Central American countries and the South American continent

• Middle East includes Western Asia (as assigned by the UN Statistics Division) and the African continent.

Primary Research

GVR strives to procure the latest and unique information for reports directly from industry experts, which gives it a competitive edge. Quality is of utmost importance to us, therefore every year we focus on increasing our experts’ panel. Primary interviews are one of the critical steps in identifying recent market trends and scenarios. This process enables us to justify and validate our market estimates and forecasts to our clients. With more than 8,000 reports in our database, we have connected with some key opinion leaders across various domains, including healthcare, technology, consumer goods, and the chemical sector. Our process starts with identifying the right platform for a particular type of report, i.e., emails, LinkedIn, seminars, or telephonic conversation, as every report is unique and requires a differentiated approach.

We send out questionnaires to different experts from various regions/ countries, which is dependent on the following factors:

• Report/Market scope: If the market study is global, we send questionnaires to industry experts across various regions, including North America, Europe, Asia Pacific, Latin America, and MEA.

• Market Penetration: If the market is driven by technological advancements, population density, disease prevalence, or other factors, we identify experts and send out questionnaires based on region or country dominance.

The time to start receiving responses from industry experts varies based on how niche or well-penetrated the market is. Our reports include a detailed chapter on the KoL opinion section, which helps our clients understand the perspective of experts already in the market space.