Used Construction Equipment Market

Used Construction Equipment Market Size, Share, Trends, Growth, and Industry Analysis, By product type (Crane, Telescopic Handler, Excavator, Material Handling Equipment, Loader and Backhoe, and Others), by drive type (Internal Combustion Engine, Electric, and Hybrid), Regional Analysis, Competitor Analysis and Forecast 2032.

Manufacturing & Construction | March 2024 | Report ID: EMR00677 | Pages: 250

Global Used Construction Equipment market is predicted to reach approximately USD 167.63 billion by 2032, at a CAGR of 5.28% from 2024 to 2032.

 

The global used construction equipment market refers to the trade of previously owned machinery and vehicles utilized in the construction industry, including excavators, loaders, bulldozers, cranes, and more. It encompasses equipment that has been returned from lease agreements, traded in for newer models, or sold after completing a project. The market is driven by several factors, including the cyclical nature of the construction industry, cost-effectiveness of purchasing used equipment, and increasing demand for infrastructure development in emerging economies. Despite facing challenges such as concerns regarding equipment reliability and maintenance costs, the market continues to grow steadily due to the availability of financing options and the emergence of online platforms facilitating easy buying and selling processes. Key players in the market include equipment manufacturers, dealers, rental companies, and online marketplaces. Moving forward, technological advancements such as telematics and IoT integration are expected to further revolutionize the used construction equipment market, offering enhanced efficiency and cost savings to buyers and sellers alike.

 

Global Used Construction Equipment report scope and segmentation.

Report Attribute

Details

Estimated Market Value (2023)

USD 105.52 billion

Projected Market Value (2032)

USD 167.63 billion

Base Year

2023

Forecast Years

2024 – 2032

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- Based on By Product Type, By Drive Type, & Region.

Segments Covered

By Product Type, By Drive Type, & By Region.

Forecast Units

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

Quantitative Units

Revenue in USD million/billion and CAGR from 2024 to 2032.

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

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.

Delivery Format

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

 

Global Used Construction Equipment dynamics

The cyclical nature of the construction industry plays a significant role, as fluctuations in construction activity directly impact the demand for used equipment. Economic conditions, government infrastructure spending, and global construction trends all contribute to these fluctuations. Additionally, the cost-effectiveness of purchasing used equipment compared to new plays a crucial role in driving market growth. With escalating prices of new machinery and vehicles, many construction companies opt for used equipment to reduce upfront costs and improve overall project profitability.

Furthermore, emerging economies represent a significant driver of growth in the used construction equipment market. As these regions experience rapid urbanization and infrastructure development, there is a substantial demand for machinery and vehicles. However, concerns regarding the reliability and maintenance costs of used equipment pose challenges for market growth. Buyers often weigh the initial cost savings against potential long-term expenses associated with maintenance and repairs, impacting purchasing decisions.

Moreover, the availability of financing options plays a crucial role in facilitating transactions within the used construction equipment market. Financing options offered by banks, leasing companies, and equipment dealers enable buyers to overcome financial barriers and invest in used machinery. Additionally, the emergence of online platforms and auction websites has streamlined the buying and selling process, providing greater transparency and accessibility to a broader range of buyers and sellers.

 

Global Used Construction Equipment drivers

  • Cost-Effectiveness

One of the primary drivers propelling the used construction equipment market is its cost-effectiveness compared to purchasing new machinery. Construction companies, particularly in emerging economies and small to medium-sized enterprises (SMEs), often face budget constraints. Buying used equipment allows them to acquire necessary machinery at a significantly lower cost, enabling them to allocate resources more efficiently across various projects. This cost advantage extends beyond the initial purchase, as used equipment generally incurs lower depreciation rates compared to new machinery, further enhancing its appeal to budget-conscious buyers. Moreover, the availability of financing options tailored for used equipment purchases enhances affordability and accessibility, encouraging more companies to invest in the secondary market.

  • Global Infrastructure Development

The market for used construction equipment is significantly driven by the continuous development of infrastructure around the world, especially in emerging economies. The demand for construction vehicles and machinery is driven by population growth, infrastructure projects undertaken by the government, and rapid urbanisation. Equipment like loaders, cranes and excavators is always needed as governments work to improve transportation networks and close infrastructure gaps. For construction companies involved in these projects, used equipment offers an affordable solution that enables them to meet demand without going over budget on capital expenditures. The appeal of the used equipment market is further enhanced by the sustainability component of reusing existing machinery, which is in line with environmental initiatives and is becoming increasingly important in the context of sustainable construction practices.

 

Restraints:

  • Reliability Concerns

Reliability issues with used construction equipment, despite its cost advantages, are a major barrier to market expansion. Concerns regarding the pre-owned machinery's operational state, maintenance history, and possible repair costs are common among buyers. When it comes to important projects with short turnaround times, companies may be discouraged from purchasing used equipment due to the perceived risk of malfunctions and downtime. It is necessary for sellers to address these concerns by offering warranties or service agreements, conducting comprehensive inspections, and providing detailed maintenance records in order to give buyers confidence about the performance and dependability of the used machinery. Expanding the use of second-hand construction equipment is still hampered by the need to resolve these reliability issues.

  • Technology Obsolescence

Another restraint facing the used construction equipment market is the risk of technology obsolescence. As construction equipment manufacturers introduce newer models with advanced features and technology integration, older machinery may become outdated and less competitive in terms of performance and efficiency. Buyers may hesitate to invest in used equipment if they perceive it as technologically inferior or incompatible with modern construction practices. Additionally, the rapid pace of technological innovation in the industry exacerbates the risk of equipment becoming obsolete more quickly, further diminishing its resale value and market demand. To mitigate this restraint, sellers can focus on refurbishing used equipment with upgraded components or retrofitting technology solutions to enhance functionality and align with current industry standards, thereby prolonging the equipment's lifespan and market relevance.

 

Opportunities:

  • Rise of Online Marketplaces

 The proliferation of online marketplaces presents a significant opportunity for the used construction equipment market. Digital platforms offer a convenient and transparent way for buyers and sellers to connect, facilitating transactions and expanding market reach beyond geographical limitations. With the increasing adoption of e-commerce in the construction industry, online marketplaces provide a centralized hub for listing, browsing, and purchasing used equipment. These platforms offer features such as detailed equipment listings, virtual inspections, and secure payment options, streamlining the buying process and fostering trust between parties. Moreover, the availability of data analytics tools on online platforms enables stakeholders to track market trends, analyse pricing dynamics, and make informed decisions, optimizing their buying and selling strategies. Embracing digitalization and leveraging online marketplaces can unlock new growth opportunities for stakeholders in the used construction equipment market, enhancing efficiency and competitiveness in an increasingly digitized business environment.

 

Segment Overview

  • By Product Type

Under product type, the market encompasses a variety of equipment essential for construction activities, including cranes, telescopic handlers, excavators, material handling equipment, loaders, backhoes, and other specialized machinery. Cranes are pivotal for lifting heavy materials and facilitating construction operations at heights, while telescopic handlers provide versatility in material handling tasks with their extendable booms. Excavators are indispensable for earthmoving and excavation tasks, offering efficiency and precision in digging operations. Material handling equipment includes a range of machinery such as forklifts and conveyor systems, vital for transporting and managing materials on construction sites. Loaders and backhoes are versatile machines used for loading, digging, and transporting materials, offering multifunctional capabilities for various construction applications. The "others" category encompasses a diverse range of specialized equipment tailored to specific construction requirements, including compactors, pavers, and trenchers, among others.

  • By Driver Type

In terms of drive type, the market is classified into internal combustion engine, electric, and hybrid variants. Internal combustion engine-powered equipment relies on traditional fossil fuels such as diesel or gasoline for operation, offering high power output and mobility for heavy-duty construction tasks. Electrically powered equipment, on the other hand, operates using electricity as a primary energy source, offering environmental benefits with reduced emissions and noise levels, making them suitable for indoor and urban construction environments. Hybrid equipment combines elements of both internal combustion engines and electric motors, leveraging the advantages of both power sources to enhance fuel efficiency, reduce emissions, and optimize performance. Each drive type offers distinct advantages and trade-offs, catering to diverse customer preferences, regulatory requirements, and project-specific considerations in the construction industry.

 

Global Used Construction Equipment Overview by Region

In North America, the market is driven by robust construction activity, fuelled by government investments in infrastructure projects and a strong demand for equipment replacement and upgrades. Similarly, Europe exhibits steady growth, driven by stringent emission regulations encouraging the adoption of newer, more efficient equipment models. The Asia-Pacific region emerges as a key growth engine, buoyed by rapid urbanization, industrialization, and increasing construction expenditure in emerging economies such as China, India, and Southeast Asian countries.

These markets experience high demand for used construction equipment due to cost considerations, alongside initiatives promoting sustainable construction practices. In the Middle East and Africa, infrastructure development projects, particularly in the Gulf Cooperation Council (GCC) countries, drive demand for construction machinery, with a focus on modernization and expansion of transportation networks, utilities, and urban infrastructure. Latin America presents opportunities fuelled by urban development projects and investments in renewable energy infrastructure, albeit with challenges related to economic volatility and political instability in certain regions.

 

 

Global Used Construction Equipment market competitive landscape

Major manufacturers such as Caterpillar Inc., Komatsu Ltd., and Volvo Construction Equipment dominate the market with their extensive product portfolios, brand recognition, and global distribution networks. Dealerships play a crucial role as intermediaries, offering a wide range of used equipment options, financing solutions, and after-sales services to cater to diverse customer needs.

Rental companies such as United Rentals and Sunbelt Rentals leverage their fleet management expertise to provide access to well-maintained, pre-owned machinery, catering to customers seeking flexible equipment solutions for short-term projects or seasonal fluctuations in demand. Additionally, online marketplaces such as MachineryTrader.com, IronPlanet, and eBay Equipment facilitate transactions between buyers and sellers, offering a convenient platform for listing, browsing, and purchasing used equipment. These digital platforms provide transparency, accessibility, and a global reach, empowering both individual sellers and large-scale dealerships to expand their market presence and reach a broader customer base. Moreover, emerging start-ups and technology companies are disrupting the market with innovative solutions such as equipment rental apps, predictive maintenance software, and auction platforms, further intensifying competition and driving technological advancements in the industry.

 

Scope of global Used Construction Equipment report

Global Used Construction Equipment report segmentation

ATTRIBUTE

DETAILS

By Product Type

  • Crane
  • Telescopic Handler
  • Excavator
  • Material Handling Equipment
  • Loader and Backhoe
  • Others

By Drive Type

  • Internal Combustion Engine
  • Electric
  • Hybrid

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

Pricing

  • Available upon request

 

Objectives of the Study

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

  • Global Used Construction Equipment size and forecast: To identify and estimate the market size for global Used Construction Equipment market segmented by Product Type, By Drive Type, and by region. Also, to understand the consumption/ demand created by consumers between 2024 and 2032.
  • Market Landscape and Trends: To identify and infer the drivers, restraints, opportunities, and challenges for global Used Construction Equipment
  • Market Influencing Factors: To find out the factors which are affecting the market of global Used Construction Equipment among consumers.
  • 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.

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

Global Used Construction Equipment forecast period is 2024 - 2032.
According to global Used Construction Equipment research, the market is expected to grow at a CAGR of ~ 5.28% over the next eight years.
The possible segments in global Used Construction Equipment are based on by Product Type, By Drive Type, & by region.
The expected market size for Global Used Construction Equipment is USD 105.52 billion in 2023.
The major players in the market are Caterpillar Inc., Komatsu Ltd., Hitachi Construction Machinery Co., Ltd., Volvo Construction Equipment, Liebherr Group, CNH Industrial N.V., JCB (J.C. Bamford Excavators Ltd.), Terex Corporation, Doosan Infracore, Hyundai Construction Equipment, Kobelco Construction Machinery Co., Ltd., Wacker Neuson Group, Sany Group, XCMG Group, Case Construction Equipment, Bobcat Company, Yanmar Co., Ltd., Manitou Group, Bell Equipment, and United Rentals, Inc.