Introduction of new technologies such as real-time monitoring for detecting system failure are predicted to fuel the earthmoving equipment market size over the coming years. Growing adoption of multifunctional equipment over single-functional equipment has helped the equipment operators to enhance their productivity, efficiency and save costs. Furthermore, escalating demand across commercial and residential sectors is predicted to drive the global earthmoving equipment market growth over the coming years. According to Global Market Insights, Inc.,” Earthmoving equipment market worth USD 105 billion in 2015, is predicted to reach USD 192 billion by 2023, registering a CAGR of 7.9% over the period of 2016-2023.”Among the various product types of earthmoving equipment such as excavators and loaders, excavators market is expected to witness highest growth over the coming seven years. Rising demand for excavators in manufacturing units and factories is anticipated to drive the growth of the product segment.
India earthmoving equipment market size, by application, 2012 - 2023 (USD Billion)
Earthmoving equipment find myriad applications in surface mining, construction, and underground mining industries. Construction industry which contributed nearly 60% to the overall revenue of the earth equipment market in 2015, is forecast to occupy a major revenue share over the period of 2015-2023 due to rise in number of construction activities along with infrastructure growth. Earthmoving equipment application in surface mining industry is expected to contribute a revenue of USD 29 billion by 2023.
Asia Pacific earthmoving equipment market is projected to witness a noticeable growth over the period of 2016-2023 driven by growing automation in the construction industry along with the rising expenditure on infrastructure development. China market is estimated to register a revenue of USD 40 billion by 2023.
North America market is anticipated to witness a significant growth over the period of 2016-2023. U.S. market share worth USD 12 billion in 2015, is forecast to grow at a rate of 7.3% over the period of 2016-2023. Europe earthmoving equipment market is predicted to display a revenue of USD 43 billion by 2023.
Key industry players include Caterpillar Incorporation, John Deere, Komatsu Limited, Liebherr Group, Hitachi Global, Terex Corporation, and Doosan Group. R & D Investments, technological innovations and product differentiation are the key business growth strategies adopted by the market players to enhance their market share. Firms have been expanding their business through mergers & acquisition to sustain the market competition. Furthermore, tough competition between global and emerging industry players along with growing demand for modern technology have compelled small players to form alliances with established giants. In 2015, Hitachi acquired KCM to expand its construction equipment business. During the same year, Komatsu entered a deal with Mitsui & Co for controlling distributorship in Mexico. In addition to this, industry players are focusing more towards low cost product development over energy efficiency in price sensitive regions such as Asia Pacific.