With the growth in urbanization, economic development, and rising population levels, the construction activities across the globe are on a high. Considerable growth has been observed in the construction activities in power infrastructure creation, mining, and refurbishing of residential and commercial spaces around the world. Moreover, several governments in the region such as Middle East, China, India, and Africa have defined specialized roadmaps to strengthen the construction market. Therefore, the growth opportunities for construction equipment OEMs have been advancing at a faster pace.
However, due to high capital investment and variability in the duration of proposed or under construction projects, the end users are increasingly aligned toward using the construction equipment on a rental basis. This allows real-estate developers to reduce their expenditure on assets in the form of upfront payment for the acquisition of construction equipment. Also, the hidden costs such as fuel, regular maintenance, and parts replacement expenses of end users are negligible. Moreover, the rental companies also provide exceptionally skilled manpower to operate the equipment which further reduces the operational complexities for end users.
According to the MarkNtel Advisors’ research report titled “Global Construction Equipment Rental Market Analysis, 2020”, the market size of Construction Equipment Rental market across the globe is projected to grow at a CAGR of around 4.7% during 2020-25.
Government Focus on Construction Industry is Acting as a Catalyst
The United States, China, India, and Middle East remained the key hotspots for construction equipment rental companies in 2019. The ongoing economic diversification in the Middle East region has led to massive investments in infrastructure creation for tourism, entertainment, and business purposes. Therefore, the regional governments have allocated the vast amount of funds to fuel the transformation from oil-based to manufacturing and services driven economies. China and India have laid down ambitious roadmaps for regional connectivity which consist of the creation of ports, airports, railways, highways, commercial spaces, etc., thereby catalyzing the Constriction Equipment Rental market.
Earthmoving Equipment is Dominating the Global Construction Equipment Rental Market
In 2019, the earthmoving equipment dominated the global construction equipment market, followed by material handling, road, and building & concrete equipment. The major equipment such as excavator, cranes, tipper, loader, and grader acquired a considerable market share in 2019. These types of equipment are anticipated to maintain their dominance through 2025. Growth in product innovation focusing on the compact size with greater manoeuvrability, better hydraulics, and informatics for real-time information on performance parameters are projected to catalyze the Construction Equipment Rental market growth.
United Rentals, Akito, Loxam, Kanamoto, Cramo Group, H&E Equipment, Ramirent, Sarens, etc., were the leading construction equipment rental companies accounting for a considerable market share in 2019. These companies have been expanding their geographical presence, portfolio, technological capabilities, etc., through organic and inorganic growth.
The Construction Equipment market is witnessing a growth-escalating trend owing to the rising cost of raw material, geopolitical events, and the rising cost of technological innovation. In this market, price, equipment condition, and performance are the key factors playing a major role in vendor selection.
Key Questions Answered in the Market Research Report
1. What are the key overall market statistics or market estimates (Market Overview, Market Size- By Value, Forecast Numbers, Market Segmentation, Market Shares) of Global Construction Equipment Rental Market?
2. What are the region wise industry size, growth drivers and challenges key market trends?
3. What are the key innovations, technology upgrades, opportunities, regulations, growth drivers and challenges in the Global Construction Equipment Rental Market?
4. Who are the key competitors or market players and how they perform in Global Construction Equipment Rental Market on the basis of competitive benchmarking matrix?
5. What are the key results derived from the market surveys conducted during the course of Global Construction Equipment Rental Market study?