North America Construction Equipment Market By Type (Loader, Forklift, Excavator, Dozers, Others), By Power Output (<100hp, 101-200hp, 201-400hp, >400hp), By Application (Material Handling, Excavation & Demolition, Recycling & Waste Management, Tunnelling, Others), By End User (Oil & Gas, Construction, Infrastructure, Manufacturing, Others), By Country, Competition, Forecast and Opportunities, 2028F

North America Construction Equipment market is currently growing at a steady pace. Due to the strong economic growth, a growing elite population, increased foreign investment, and other favorable factors, it is anticipated to follow the same market trend in the upcoming years also.

North America Construction Equipment Market Overview

The North American construction equipment market is a significant segment of the regions’ economy, driven by the construction industry's demand for various machinery and equipment. This market comprises a wide range of construction equipment used for infrastructure development, residential and commercial construction, and industrial projects. The North American construction equipment market has been witnessing steady growth over the years. The market size is influenced by factors such as population growth urbanization, infrastructure development, and government initiatives to enhance public facilities. Investments in infrastructure projects, including highways, bridges, airports, and public transportation systems, drive the demand for construction equipment. The growth of the real estate sector and urbanization fuels the need for construction equipment to support residential and commercial construction projects. Advancements in construction equipment technology such as GPS tracking telematics and automation improve productivity, efficiency, and safety, thereby boosting market growth. Aging equipment and the need for enhanced capabilities drive the replacement and upgradation of existing machinery, further contributing to market expansion. The trend of renting or leasing construction equipment instead of purchasing is growing as it offers cost savings flexibility and access to the latest equipment without heavy upfront investments, further driving the market of construction equipment in North America.

North America Construction Equipment Market Drivers

The mining industry in the North America region plays a significant role in driving the demand for construction equipment. The region is rich in natural resources including oil and gas and precious metals and minerals such as copper iron and diamonds. The mining industry requires heavy duty equipment that can handle harsh environments and heavy loads. To the benefit, construction equipment manufacturers are responding to this demand by producing specialized machinery for the mining industry. Due to this, the growth of the mining industry in the North America region is expected to continue to drive the demand for construction equipment in the coming years. Governments in the North America region are taking various initiatives to promote the construction equipment industry. Some governments in the region are offering tax incentives and subsidies to companies to encourage investment in the construction equipment industry. These incentives and subsidies include tax holidays, reduced tariffs on imported equipment, and financial assistance. These initiatives create a favorable environment for the industry to thrive, providing opportunities for equipment manufacturers and suppliers to expand their operations and meet the growing demand for construction equipment. Replacement demand is a significant driver of the construction equipment market in the North America region. The region has a large fleet of construction equipment that requires periodic replacement due to aging wear and tear, and technological obsolescence. Construction companies in the region are increasingly replacing their old and outdated equipment with new and advanced machinery to improve efficiency and productivity. Furthermore, old and outdated equipment are more prone to breakdowns and requires more maintenance, increasing operating costs. Replacing old equipment with new models can significantly reduce maintenance costs and improve equipment reliability. Technological advancements in construction equipment have a significant impact on market growth. Innovations and advancements in construction equipment features capabilities and systems, driving the demand for newer machinery. For example, the integration of GPS tracking systems allows real time monitoring of equipment location and usage, optimizing fleet management and logistics. Telematics systems collect data on equipment performance, fuel consumption, and maintenance needs, enabling predictive maintenance and reducing downtime. Automation technologies, such as remote-controlled or autonomous machinery, enhance precision and reduce the need for manual labor resulting in increased productivity and efficiency. These technological advancements attract customers who seek equipment with improved capabilities, increased efficiency, and enhanced safety features. As a result, the market experiences growth due to the demand for technologically advanced construction equipment.

North America Construction Equipment Market Trends

The utilization of construction equipment in the North America region varies depending on several factors such as specific industrial segment, the level of infrastructure development, the nature and complexity of the projects, and the availability of skilled labor and economic conditions. Adopting innovative flexible ways for project execution is highly demanded due to the increasing use of technology in various industries.  The requirement of construction equipment is not only limited to constructing infrastructure or buildings, rather they are used in diverse fields like mining agriculture prefabricated houses, etc. Furthermore, the nature and complexity of the projects would also affect equipment utilization. Green building practices are becoming increasingly popular in the construction industry, including the North America region. These practices aim to reduce the environmental impact of buildings, both during their construction and throughout their lifespan, by using sustainable materials, efficient design, and renewable energy sources. In the North America construction equipment market, there are multiple companies offering ecofriendly building materials and equipment. In addition, many construction equipment manufacturers are incorporating green technology into their products. For instance, there are now electric and hybrid construction vehicles available which offer reduced emissions and lower operating costs. Overall, the adoption of green building practices in North America construction equipment market is a positive trend, as it can lead to reduced environmental impact, lower operating costs, and improved health and wellbeing for building occupants. Digitization and automation are two key trends that are driving innovation and growth in the North America construction equipment market. The adoption of digital technologies and automation solutions is enabling companies in the construction industry to improve productivity, reduce costs, and enhance safety. One of the key technologies driving digitization in the construction industry is Building Information Modelling (BIM). BIM is a digital representation of a building or structure that provides information about its design, construction, and maintenance. BIM technology allows construction companies to create digital models of their projects, which can be used to optimize the construction process, reduce waste, and improve collaboration between project stakeholders.

North America Construction Equipment Market Challenges

The North America construction equipment market is highly competitive with both global and local players operating in the market. The competition is based on several factors, including product quality, brand recognition, price, distribution network, and after-sales service. Global players dominate the North America construction equipment market, including Liebherr, Caterpillar, Komatsu, Volvo, and Hitachi. These companies have a strong brand presence and a wide range of product offerings, including excavators, bulldozers, loaders, and cranes. The construction industry in the region is subject to increasingly stringent environmental regulations. Manufacturers and suppliers must comply with these regulations which can increase costs and limit the use of certain types of equipment. Maintenance and service of construction equipment are crucial for optimal performance, minimizing downtime and extending equipment lifespan. However, equipment maintenance can be challenging due to various factors. Inadequate infrastructure, especially in remote or challenging worksites, can make it difficult to access service facilities or obtain spare parts promptly. Limited availability of skilled technicians can also hinder timely maintenance and repairs. Extreme weather conditions can further impact equipment performance and maintenance schedules. High equipment utilization rates may result in shorter maintenance. The construction equipment market is highly competitive, with numerous manufacturers and suppliers striving for market share. Intense competition can lead to pricing pressures and reduced profit margins. Established players often have strong brand recognition and customer loyalty, making it challenging for new entrants to gain a foothold in the market. In order to attract and keep clients, businesses must pay extensively in marketing, distribution networks, and after-sales services, which raises operational costs.

Market Recent Developments

• Flexcavo, a construction technology firm with headquarters in Berlin, raised USD 8 million in funding in February 2022, for its fleet of construction equipment. Additionally, the initial use of the projected money will be to purchase a recently built rental park in Maisach, Munich. Additionally, manufacturers JCB and Wacker Neuson have already planned around 150 new pieces of construction machinery and equipment for a 4,500 square meter site.
• With a partnership with the top manufacturer of construction equipment, Xuzhou Construction Machinery Group Co., Ltd. (XCMG), CanLift Equipment Ltd., a provider of aerial equipment and material handling, has expanded its product line and now has the exclusive right to sell all XCMG earthmoving equipment in Ontario.

• This collaboration opens the door to further collaborations within the construction machines sector.

Market Segmentation

The North America Construction Equipment market is segmented based on type, power output, application, end user, and country. Based on type, the market is segmented into loader, forklift, excavator, dozers, and others. Based on power output, the market is segment into <100hp, 101-200hp, 201-400hp, and >400hp.Based on end user, the market is segmented into Oil & Gas, Construction, Infrastructure, Manufacturing, and Others Based on country, the market is segmented into United States, Canada, and Mexico.

Company Profiles

Caterpillar, Inc., Kobelco Construction Machinery Co., Ltd. Komatsu Ltd., Liebherr-International AG, Ltd., Terex Corporation, Volvo Group, Zoomlion Heavy Industry Science & Technology Co., Ltd., Hitachi Construction Machinery Co., Ltd. are some of the major players in the North America construction equipment market.

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Report Scope:

In this report, North America Construction Equipment market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

·         Construction Equipment Market, By Type:

• Loader
• Forklift
• Excavator
• Dozers,
• Others

·         Construction Equipment Market, By Technology:

• <100hp
• 101-200hp
• 201-400hp
• >400hp

·         Construction Equipment Market, By Application:

• Material Handling
• Excavation & Demolition
• Recycling & Waste Management
• Tunnelling
• Others

·         Construction Equipment Market, By End User:

• Oil & Gas
• Construction
• Infrastructure
• Manufacturing
• Others

·         Construction Equipment Market, By Country:

• United States
• Canada
• Mexico

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in North America Construction Equipment market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

·         Detailed analysis and profiling of additional market players (up to five).

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