Narrow by location

Global Heavy Construction Market Gets a Boost from the Surge in Urbanization Projects


According to the World Urbanization Prospect, about 54% of global population belonged to urban areas in 2014, and is expected to increase to 66% by 2050, thereby boosting the market growth. Increasing government initiatives towards infrastructure development supplements the market growth. Moreover, growing public-private partnerships between government and private sector companies for the construction of public infrastructure systems in countries such as India and China have fueled the market growth.

Allied Market Research has published a latest report on the global heavy construction equipment market. According to the findings of the report, the industry is expected to reach $193,245 million by the end of 2022. It indicates that the earthmoving equipment segment dominated the global market during 2015, and is expected to maintain the previous trend throughout the forecast period 2016–2022. Based on geographical growth avenues, Asia-Pacific was observed to lead the global market revenue, while accounting for more than 44% share during 2015.

The global heavy construction equipment market report outlines the key drivers and limitations to perform an impact analysis on the industry growth channels. The improved involvement of market players in the private sector, tremendous growth in real estate sector, improved economic conditions, and residential & commercial infrastructure set-up in emerging economies. The Indian Government has heavily invested in the development of roads, railway tracks, airports, and overall infrastructure development, which involve the use of excavators, loaders, and other such heavy machinery. Designing and developing smart, internet-enabled, fuel & energy-efficient machinery by key market players have fueled the market growth.

The growth of the heavy construction equipment market is hampered due to fluctuating prices of crude oil. Moreover, majority of the equipment that are used in the industry run on diesel, which release high carbon emissions and imposition of carbon regulations. These factors are tentative to have a negative effect on the growth of the market.

The increase in demand for heavy construction machinery in construction and manufacturing sectors has been projected to boost the growth of the excavator segment. The earthmoving segment held around 45% share of the global market in 2015 owing to the increased use of these equipment in mining sector. This segment is estimated to witness significant growth during the forecast period due to an increase in the construction activities in residential sector and public works. As per the report, the increase in use of equipment in sectors such as construction, underground mining, and surface mining adds a major boost to the market growth.

Based on application, the heavy construction equipment market is segmented into excavation & demolition, heavy lifting, material handling, recycling & waste management, and tunneling. Excavation & demolition segment accounted for the largest share in 2015, as these techniques are extensively used for cutting, trenching, and cracking purposes. The material handling segment is projected to grow rapidly, registering a CAGR of 8.4% during the forecast period due to increased usage of material handling equipment such as cranes and telehandlers in large building construction, and mining operations. Market players have launched new products with higher engine power and lifting capacity to cater to the emerging demands of customers.

The infrastructure industry segment would emerge as the fastest growing industry, owing to proactive government initiatives related to infrastructure developments projects. This is inclusive of new dams, railway ballasts, airports, expressways, and national highways across the Asia-Pacific region. The increase in instances of renting and leasing of heavy construction equipment across both, developed and developing countries, is expected to fuel the market growth.


In 2015, the Asia-Pacific region was held accountable for the maximum market share. The region is expected to maintain its lead throughout the forecast period. The anticipated growth is attributed to increased usage of earthmoving equipment in construction application. In addition, proactive government initiatives related to infrastructure developments in countries, such as India and Indonesia, have resulted in the increase of foreign direct investments (FDI). The construction of new buildings and the refurbishment/renovation of existing buildings continue to drive the growth of the European heavy construction equipment market. European building and construction industry is recovering from previous crisis and is showing a gradual improvement that is expected to increase the market for new construction projects.

Key findings of the heavy construction equipment market report:

  • The earthmoving segment was accounted for the maximum market revenue during 2015. Analysts project that it is expected to grow at a CAGR of 6.9% over the forecast period.
  • A global upsurge has been observed in the government initiatives that has led to a considerable growth of the infrastructure industry segment. It is expected to grow at a significant CAGR of 9.1% throughout the forecast period.
  • As per observations, the material handling application segment is anticipated to emerge as the fastest growing segment during 2016–2022.
  • In terms of geographical regions, China is the major shareholder in the Asia-Pacific heavy construction market, holding around 48% share in 2015.

The heavy construction equipment market report provides the detailed company profiles for the leading players in this segment. The profiles present an account of their operational segments, product portfolio, manufacturing techniques, pricing structure, financial performance, and business strategies. Product launches and expansions among the most successful business operations in the emerging countries by launching new products. Caterpillar Inc. & Volvo AB prefer using 3D printing excavator cab due to low material usage and lower labor costs, which decrease the cost of construction. The major players profiled in this report include AB Volvo, Caterpillar Inc., Komatsu Ltd., Doosan Infracore Co. Ltd., Hitachi Construction Machinery Co. Ltd., JC Bamford Excavators Ltd.(JCB), Liebherr Group, CNH Industrial N.V., Hyundai Heavy Industries Co. Ltd., and Terex Corporation.

Sain Associates Announces Acquisition

Sain Associates has acquired Vision Engineering and Planning (Vision E&P), a transportation planning and engineering DBE firm with... »

Florida Court Finds Arbitration Clause Expanding Authority of Courts to Vacate/Modify Arbitration Awards Unenforceable

By Amandeep S. Kahlon, Bradley The Florida Arbitration Code addresses the confirmation, vacation, modification or correction, and appeal... »

Barfield, Murphy, Shank & Smith Announces Merger

As part of a planned growth strategy throughout the state of Alabama, Barfield, Murphy, Shank & Smith has... »

Post Hurricane Michael, a Long Road Lies Ahead for Florida’s ‘Forgotten Coast’

By Joanna Masterson, Construction Executive Reposted with permission from, November 6, 2018, all rights reserved. Copyright 2018. Nearly... »


Your email address will not be published. Required fields are marked *