The market has seen a significant increase in the recent past and is predicted to grow significantly during the forecasted period as well.
A construction equipment rental facility acts as a hub where the general public can easily access, store, & use large vehicles & machinery majorly used in construction projects. These facilities not only provide the equipment but mostly offer complementary services & additional retail activities related to construction needs, which might include equipment maintenance services, safety gear supply, or even training resources, making a comprehensive & user-friendly resource hub for construction professionals & enthusiasts alike.
The expected growth of the industry in the forecasted period is likely to be driven by developments like equipment service tracking & mapping, as well as digital services that improve automated service processes.
Market Dynamic
The major driver behind the market's growth is the ongoing construction industry, particularly in emerging economies, this growth is due to various opportunities in the residential, non-residential, & infrastructure segments. For instance, the growth in multi-family housing construction is due to the presence of nuclear families & growing investments in projects such as expressways, bridges, metros, smart cities, highways, & roads to help growing urban populations. Additionally, the growth in preference towards automation is anticipated to further fuel market expansion.
However, these systems require significant investments, making them inaccessible to various small builders & contractors. The construction equipment rental service has effectively addressed this challenge by removing the need for complete ownership costs & offering rental alternatives. Renting construction equipment enables businesses to sidestep expenses associated with initial purchase, maintenance, & inventory management.
Research Scope and Analysis
By Product
The market landscape of 2023 is noticing that the earthmoving machinery sector holds a significant portion of the market share. This is particularly attributed to the escalated use of earthmoving excavators in industries like agriculture, mining, & construction. These industries have noticed significant expansion owing to the substantial contribution of earthmoving excavators. Additionally, there is an increase in trend in the adoption of several other earthmoving equipment types, including backhoe loaders, crawler excavators, skid-steer loaders, & mini excavators. These
machines possess impressive load capacities & better engine performance, making them highly suitable for deployment in challenging operational conditions.
A special trait of earthmoving equipment lies in its ability to grow in demanding work environments. This durability & capability have set them as indispensable tools for various tasks. Mainly, construction businesses & contractors have shown an interest in leasing earthmoving equipment. This shift can be due to the growth in large-scale commercial & residential civil projects. Moreover, this trend has given a major boost to the construction equipment rental market, driving its growth further.
Further, the segment related to concrete equipment is anticipated for a big growth in the forecast period.
The development of strong infrastructure plays a major role in growing trade & commercial activities. Particularly, the connectivity given by roads holds the potential to shape a country's economic prospects. This trend is evident in various developing countries in the Asia Pacific region, including countries like China and India. These nations are placing a strong stress on improving road networks. For instance, China's ambitious "One Belt, One Road" initiative focuses on establishing crucial connections between China & various European countries. This extensive undertaking carries a high price tag of USD 1.3 trillion
Moreover, India is actively investing in road improvement, as highlighted by its new budget for 2022-23. A significant allocation of USD 529.7 billion emphasizes the government's commitment to creating better road links, mainly through the development of new highways, as these governmental commitments to large-scale road & highway projects is expected to boost the demand for concrete equipment. These investments are set to drive the growth of this particular market segment.
The Global Construction Equipment Rental Market Report is segmented on the basis of the following:
By Product
- Earth Moving Machinery
- Backhoe
- Excavators
- Loaders
- Compaction Equipment
- Others
- Material Handling Machinery
- Concrete Equipment
- Concrete Pumps
- Crushers
- Transit Mixer
- Asphalt Pavers
- Batching Plants
Regional Analysis
In 2023, the North American region contains a significant market share, contributing
about 32.2% of the total revenue in the Global Construction Equipment Rental Market. The market landscape of 2022 saw the earthmoving machinery sector holding a significant portion of the market share. This was particularly due to the growth in the use of earthmoving excavators in industries like agriculture, mining, & construction. These industries have noticed significant expansion owing to the substantial contribution of earthmoving excavators. Additionally, there is an increase in trend in the adoption of several other earthmoving equipment types, including backhoe loaders, crawler excavators, skid-steer loaders, & mini excavators.
These machines possess impressive load capacities & better engine performance, making them highly suitable for deployment in challenging operational conditions. Further, the Asia Pacific region is also anticipated for significant growth in the forecast period. The governments of emerging economies in Asia are making significant funding in infrastructure development, including highways, airports, dams, & special economic zones (SEZs), to improve connectivity, promote trade, & stimulate overall economic growth.
These initiatives have gained the attention of international construction equipment companies, making them significantly invest & establish their presence in the region. Renowned global construction equipment manufacturers such as Caterpillar, Hitachi, Liebherr, & Sumitomo Corporation are constantly offering their products & services in this burgeoning market.
![Construction Equipment Rental Market Growth Analysis](https://dimensionmarketresearch.com/reportimage/Construction-Equipment-Rental-Market-Regional-Analysis.jpg)
By Region
North America
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- South Africa
- Israel
- Egypt
- Rest of MEA
Competitive Landscape
The construction equipment rental market noticed significant competitiveness, marked by the participation of various domestic & regional players. This diverse landscape encourages intense competition within the market. One prominent trend driving this industry is the popularity of opting for mergers & acquisitions, as well as the formation of joint ventures. These strategic activities play a major role in shaping the market dynamics, allowing companies to extend their offerings, diversify their portfolios, & access new markets.
For instance, in November 2022, Maxim Crane Works L.P. introduced Maxim MarketplaceTM, an ingenious online platform dedicated to the sale of used equipment. This move comes as the U.S. rental industry leader focuses on refreshing its fleet, containing a range of inventory of cranes & support equipment. In collaboration with Krank, one of the leading software developers in the industry, Maxim Crane Works has unveiled its own state-of-the-art online marketplace for used product sales, providing a modern & efficient channel for buyers & sellers in the construction equipment market.
Some of the prominent players in the Global Construction Equipment Rental Market are:
- Caterpillar
- Loxam
- United Rentals Inc
- Sumitomo Corp
- Cramo Plc
- Maxim Crane Works
- Kanamoto Co Ltd
- Ahern Rentals Inc
- Aktio Corp
- Finning International Inc
- Other Key Players
COVID-19 Pandemic & Recession: Impact on the Global Construction Equipment Rental Market:
The COVID-19 pandemic & following economic recession had a significant impact on the global construction equipment rental market. Lockdowns, supply chain disruptions, & less construction activity led to a temporary decline in the need for rental equipment. However, as construction projects steadily restarted & companies looked for cost-effective solutions, the market saw a rebound. Construction equipment rental has emerged as a favored option owing to its flexibility & cost-efficiency, with many businesses opting to rent rather than invest in new machinery during economic uncertainty. This shift in preference, along with ongoing infrastructure projects, is anticipated to drive the recovery & growth of the construction equipment rental market in the post-pandemic era.
Report Characteristics |
Market Size (2023) |
USD 209.7 Bn |
Forecast Value (2032) |
USD 364.6 Bn |
CAGR (2023-2032) |
6.3% |
Historical Data |
2017 - 2022 |
Forecast Data |
2023 - 2032 |
Base Year |
2022 |
Estimate Year |
2023 |
Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
Segments Covered |
By Product (Earth Moving Machinery (Backhoe,
Excavators, Loaders, Compaction Equipment and
Others), Material Handling Machinery (Cranes and
Dump Trucks) and Concrete Equipment (Concrete
Pumps, Crushers, Transit Mixer, Asphalt Pavers and
Batching Plants)) |
Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
Prominent Players |
Caterpillar, Loxam, United Rentals Inc, Sumitomo
Corp, Cramo Plc, Maxim Crane Works, Kanamoto Co
Ltd, Ahern Rentals Inc, Aktio Corp, Finning
International Inc, and Other Key Players |
Purchase Options |
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