Construction Equipment Market

Global Construction Equipment Market Research Report: By Solution Type (Products, Services), By Equipment Type (Heavy construction equipment, Compact construction equipment), By Type (Wheel Bulldozer, Front Loaders, Dump Trucks, Backhoe loader, Grader, Crawler Dozers, Compactors, Excavators, Forklifts, Others), By Application (Excavation and Mining, Lifting and Material handling, Earth Moving, Transportation, Others), and Region (North America, Europe, Asia-Pacific, and Rest of the World) Global Industry Analysis, Size, Share, Growth, Trends, Regional Analysis, Competitor Analysis and Forecast 2023-2031.

Machinery & Equipment | December 2023 | Report ID: EMR00309 | Pages: 301

The global construction equipment market was valued at USD 198.50 billion in 2022 and is estimated to reach approximately USD 309.50 billion by 2031, at a CAGR of 5.0% from 2023 to 2031.


One of the key areas in the global infrastructure development panorama is the construction equipment market. With a large range of equipment, vehicles, and tools at its disposal, this industry plays a vital part in supporting building projects of all shapes and sizes across the globe. From large equipment like cranes, bulldozers, and excavators to smaller instruments like concrete mixers and compactors, the industry offers a wide range of tools designed to meet certain construction requirements. Technological developments that consistently improve equipment efficiency, safety features, and environmental sustainability are the cornerstones of the industry's expansion. Regulation changes, economic ups and downs, and the growing need for infrastructure in industries such as residential, commercial, and industrial building all influence market dynamics. Furthermore, the industry is seeing continuous advancements in the creation of electric and hybrid machinery with the goal of lowering carbon footprints. This dynamic and always changing industry is essential to advancing society and forming the infrastructure of the modern world. It has proven resilient and adaptable in serving a wide range of construction needs on a global scale.





Report Attribute


Estimated Market Value (2022)

198.50 Bn

Projected Market Value (2031)

309.50 Bn

Base Year


Forecast Years

2023 - 2031

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Solution Type, By Equipment Type, By Type, By Application, & Region

Segments Covered

By Solution Type, By Equipment Type, By Type, By Application, & Region

Forecast Units

Value (USD Billion or Million), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2023 to 2031

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and the Rest of World

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.


Global Construction Equipment Market Dynamics

Economic turbulence has a big effect since changes in GDP growth, interest rates, and government spending all have an immediate effect on consumer demand. Construction activities are driven by urbanization and population growth, which increases the demand for equipment in projects including homes, businesses, and infrastructure. Technological developments are fundamental because they stimulate innovations that improve the efficiency of machinery, safety regulations, and sustainable practices, which in turn shape customer preferences and market trends. The sector is also shaped by regulatory developments and environmental concerns, with an increasing focus on environmentally friendly technology and strict adherence to emissions requirements. Globalization also exposes the market to trade policies, currency fluctuations, and geopolitical variables that affect accessibility to the market and production costs. Construction organizations can benefit from flexibility and cost-effectiveness thanks to the growing market for rental construction equipment. Overall, the market for construction equipment is dynamic and subject to constant evolution and adaptation to meet the demands of a changing world due to the interplay of economic, technological, regulatory, and global variables.


Global Construction Equipment Market Drivers

  • Rapid Urbanization Leads to Increased Construction of Residential and Commercial Buildings

A worldwide phenomenon known as rapid urbanization is driving up demand for building in the residential and commercial sectors. The demand for housing and infrastructure surges as people congregate in metropolitan areas. As a result, the number of residential complexes, apartments, and commercial buildings being built increases in order to accommodate the growing urban population. This trend is further amplified by urban migration, which is motivated by lifestyle choices and economic possibilities. This increases demand for residential and commercial space. As a result, investors, construction companies, and real estate developers jump at the chance to profit from this spike in demand. There is a notable upsurge in the construction business, which sets off a domino effect including the architectural, engineering, materials, and labor sectors. This quick urban development has a cascading impact that boosts innovation, employment, and economic growth. Additionally, it helps to change the urban landscape by forming the skyline with examples of contemporary architecture and creating lively, dynamic urban hubs that meet the changing requirements of an expanding population.

  • Adoption of Advanced Technologies like Telematics, IoT, and Automation Enhancing Equipment

In the construction equipment sector, the use of cutting-edge technologies like automation, Internet of Things (IoT), and telematics is a game-changer. These developments completely transform conventional machinery, increasing its efficiency and power to previously unheard-of heights. Telematics enables real-time tracking of operational parameters, performance, and location of equipment remotely through the integration of GPS and communication networks. Interconnectedness between different equipment and systems is made possible by the Internet of Things, which promotes predictive maintenance and data-driven decision-making. Equipment may self-diagnose problems, plan maintenance in advance, and improve performance with the use of sensor integration and data analytics, which reduces downtime and increases productivity. Automation, which combines robotics and artificial intelligence, expedites work and improves accuracy and speed in construction procedures. Automated machinery performs dangerous or repetitive activities, enhancing safety and freeing up human labor for more intricate duties.



  • High Initial Investment

One major barrier to entry in the construction equipment industry is the significant initial expenditure necessary, especially for smaller businesses and new entrants. Purchasing heavy machinery entails a substantial financial commitment that includes the purchase price, shipping, installation, and startup costs. This financial barrier may be unaffordable for startups or smaller construction companies, restricting them access to contemporary, high-performance equipment. Furthermore, a large initial investment ties up significant resources that could be used for other important operational areas or expansion plans, which has an influence on the entire financial planning and cash flow of organizations. The financing alternatives available to enterprises that want to buy machinery are typically burdensome due to their strict conditions, high interest rates, or collateral requirements.

  • Skilled Labor Shortage

Modern construction machinery demands a skilled staff that can handle sophisticated equipment and advanced technologies due to its specialized nature. Nevertheless, the best use of these advanced devices is hampered by the lack of qualified operators, technicians, and engineers. The mismatch between the demand and supply of competent labor frequently leads to decreased output, more downtime, and less-than-ideal equipment performance. Furthermore, as competent operators are essential to guaranteeing safe and effective operations on construction sites, a shortage of experienced workers has an impact on safety standards. An aging workforce, a lack of vocational training programs, and a lack of incentives to draw people into these specialized industries are some of the factors causing this shortfall.



  • Rising Demand for Sustainable Solutions

There is an urgent need for eco-friendly methods and technologies in many industries, including building, as the world's attention turns to sustainability. This paradigm change pushes manufacturers to build greener, more energy-efficient, and environmentally sensitive technology since it provides a developing market for sustainable construction equipment. This involves utilizing recyclable or biodegradable materials in production processes and incorporating renewable energy sources, such as solar or electric-powered machinery. Furthermore, meeting strict legal requirements and environmentally sensitive consumers' demands is achieved by improving equipment designs for low emissions and lowest environmental impact. Adopting sustainable solutions delivers economic savings through energy efficiency and fewer operational costs during the equipment's lifecycle in addition to addressing environmental concerns. This trend pushes businesses to set themselves apart by providing environmentally friendly options, which encourages innovation and competitiveness within the sector. By taking advantage of this opportunity, one may gain a competitive edge and promote a more environmentally conscious and sustainable construction equipment industry, all while satisfying the changing expectations of the market.

  • Smart Cities Development

Digitalization and connectivity have made smart cities more complex, necessitating the use of specialized technological building equipment. These cities place a high value on sustainability, efficiency, and connection. To build intelligent infrastructure, such as smart buildings, integrated transportation systems, Internet of Things-enabled utilities, and cutting-edge communication networks, specialized machinery is needed. Such complex urban ecosystems require state-of-the-art machinery that can execute complex designs, incorporate various technologies, and guarantee smooth functioning. Producers who meet these demands can lead the way in developing solutions that support the goals of the smart city, such as building materials with low energy consumption, IoT-enabled devices for monitoring in real time, and automation for efficient use of resources. Furthermore, government partnerships and expenditures in smart city projects are frequently substantial, creating a strong need for cutting-edge construction equipment specifically designed for these large-scale urban development projects.


Segment Overview

By Solution Type

Based on solution type, the global construction equipment market is divided into products, services. The products category dominates the market with the largest revenue share in 2022. Construction equipment encompasses a wide array of machinery, tools, and vehicles utilized across various construction activities. Encompasses smaller-sized machinery like compact loaders, mini excavators, skid-steer loaders, and backhoe loaders, suitable for maneuvering in confined spaces or performing light to medium tasks. Machinery such as concrete mixers, pavers, and asphalt plants designed for mixing, paving, and surfacing roads and structures. Service providers offer maintenance, repair, and refurbishment services to ensure the optimal functioning and longevity of construction equipment. Training programs and technical support services help operators and construction teams understand equipment operation, safety protocols, and troubleshooting methods. Financial services like equipment financing, leasing, and insurance options are often provided to facilitate the acquisition of construction machinery.


By Equipment Type

Based on the equipment type, the global construction equipment market is categorized into heavy construction equipment, compact construction equipment. The compact construction equipment category leads the global construction equipment market with the largest revenue share in 2022. Compact construction equipment embodies smaller-sized machinery known for its agility and versatility in handling lighter to medium construction tasks, especially in confined or urban spaces. Mini excavators, skid-steer loaders, compact loaders, and backhoe loaders are typical examples within this segment. Compact equipment offers maneuverability and efficiency, making it ideal for navigating tight spaces and performing various tasks with precision. Heavy construction equipment and compact construction equipment. Heavy construction equipment comprises robust, powerful machinery tailored for significant earthmoving, lifting, and material handling tasks in large-scale construction projects. Excavators, bulldozers, cranes, and loaders form the core of this segment, designed to handle substantial loads and perform tasks requiring significant power and capacity.


By Type

Based on type, the global construction equipment market is segmented into wheel bulldozer, front loaders, dump trucks, backhoe loader, grader, crawler dozers, compactors, excavators, forklifts, others. The excavators segment dominates the construction equipment market. Excavators are versatile machines with a bucket, boom, and cab on a rotating platform, used for digging trenches, foundations, and holes. They come in various sizes and configurations for different tasks. Forklifts are industrial trucks equipped with forks at the front used for lifting and transporting materials within warehouses, construction sites, and other industrial settings. These bulldozers are equipped with wheels rather than tracks, enabling them to operate effectively on relatively smoother surfaces like asphalt or compacted soil. They're ideal for tasks requiring high-speed movement and less ground disturbance. Front loaders are versatile machines with a bucket attached to the front used for scooping, lifting, and transporting materials. They are commonly employed in loading trucks, moving earth, and handling various materials on construction sites. Specifically designed for hauling loose materials within construction sites, dump trucks come in various sizes and configurations, capable of transporting gravel, sand, or debris. Combining the functionalities of a loader and an excavator, backhoe loaders feature a loader in the front and an excavator-like arm at the back. They are versatile and used for tasks like digging, trenching, and material handling. Graders are machines equipped with a long blade used for fine grading and leveling surfaces, ensuring a smooth and even terrain for construction projects. These bulldozers operate on continuous tracks (crawlers), providing enhanced traction and stability, making them suitable for heavy-duty earthmoving and grading tasks on rough terrain. Compactors are used to compress and flatten surfaces, typically soil, asphalt, or other materials, ensuring proper compaction for roads, foundations, or other construction purposes.


By Application

Based on application, the global construction equipment market is divided into excavation and mining, lifting and material handling, earth moving, transportation, others. The lifting and material handling category dominates the market with the largest revenue share in 2022. Lifting and material handling equipment are crucial for moving heavy materials within construction sites. This category includes cranes of various types—tower cranes, mobile cranes, and overhead cranes used for lifting and placing materials or equipment at heights. Forklifts and telehandlers also fall under this segment, designed for lifting and transporting materials within warehouses, construction sites, and industrial settings. Excavation and mining equipment this segment encompasses machinery specifically designed for excavation and mining tasks. Equipment includes excavators, which are versatile machines used for digging trenches, foundations, and holes. Additionally, specialized mining equipment like underground loaders, drilling rigs, and haul trucks fall under this category, serving the needs of mining operations. Earth moving equipment is integral for tasks involving moving and shaping the earth's surface. It includes bulldozers, graders, and loaders used for leveling, grading, and moving earth and materials. Crawler dozers, compactors, and motor graders are common examples that fall under this category. Transportation equipment this category comprises equipment designed specifically for transportation purposes within construction sites. Dump trucks, haul trucks, and other specialized vehicles used for transporting materials, debris, or equipment from one location to another fall under this segment.


Global Construction Equipment Market Overview by Region

The global construction equipment market is categorized into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific emerged as the leading region, capturing the largest market share in 2022.





Global Construction Equipment Market Competitive Landscape

In the global construction equipment market, a few major players exert significant market dominance and have established a strong regional presence. These leading companies remain committed to continuous research and development endeavors and actively engage in strategic growth initiatives, including product development, launches, joint ventures, and partnerships. By pursuing these strategies, these companies aim to strengthen their market position, expand their customer base, and capture a substantial share of the market.

Some of the prominent players in the global construction equipment market include J C Bamford Excavators Ltd. (JCB), Deere & Company, CNH Industrial N.V., CATERPILLAR INC., Hyundai Doosan Infracore Co., Ltd., AB Volvo, Liebherr-International AG, Hitachi Ltd., Komatsu Ltd., XCMG Group, and various other key players.


Global Construction Equipment Market Recent Developments

In January 2023, The 410 P-Tier articulated dump truck and the 460 P-Tier truck have been added to John Deere's P-Tier lineup. The outward style and interior design of the new cars are more appealing. Similarly, AB Volvo introduced the double drum DD90C & DD100C Compactors and the single drum SD110C Compactor in India in August 2021. These devices have VECV engines that meet the most recent emissions regulations.  



Construction Equipment Market Report Segmentation



By Solution Type

  • Products
  • Services

By Equipment Type

  • Heavy construction equipment
  • Compact construction equipment


By Type

  • Wheel Bulldozer
  • Front Loaders
  • Dump Trucks
  • Backhoe loader
  • Grader
  • Crawler Dozers
  • Compactors
  • Excavators
  • Forklifts
  • Others

By Application

  • Excavation and Mining
  • Lifting and Material handling
  • Earth Moving
  • Transportation
  • Others


By Geography

  • North America (USA, and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request


  • Available upon request


Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

  • Global Construction Equipment Market Size and Forecast:

To identify and estimate the market size for the global construction equipment market segmented by solution type, by equipment type, by type, by application, region and by value (in U.S. dollars). Also, to understand the consumption/ demand created by consumers of construction equipment between 2019 and 2031.

  • Market Landscape and Trends:

To identify and infer the drivers, restraints, opportunities, and challenges for the global construction equipment market

  • Market Influencing Factors:

To find out the factors which are affecting the sales of construction equipment among consumers

  • Impact of COVID-19:

To identify and understand the various factors involved in the global construction equipment market affected by the pandemic

  • Company Profiling:

To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company's past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

Intended Audience

  • Construction Companies and Contractors
  • Equipment Manufacturers and Suppliers
  • Investors and Financial Institutions
  • Industry Analysts and Researchers
  • Construction Equipment Operators and Technicians
  • Governments, Associations, and Industrial Bodies
  • Investors and Trade Experts

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

The global construction equipment market forecast period is 2023 - 2031.
According to construction equipment market research, the market is expected to grow at a CAGR of ~5.0% over the coming years.
Asia-Pacific is expected to register the highest CAGR during 2023 - 2031.
Asia-Pacific held the largest share in 2022.
The major players operating in the global construction equipment market include J C Bamford Excavators Ltd. (JCB), Deere & Company, CNH Industrial N.V., CATERPILLAR INC., Hyundai Doosan Infracore Co., Ltd., AB Volvo, Liebherr-International AG, Hitachi Ltd., Komatsu Ltd., XCMG Group ,and various others.

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