Construction Equipment Market Size, Share Growth Report, 2024-2032
Construction Equipment Market Size, Share Growth Report, 2024-2032

Construction Equipment Market Share, Size, Trends, Industry Analysis Report, By Equipment Type; By Equipment Category; By Power Output (<100HP, 101-200HP, 201-400HP, >400 HP); By Application; By Region; Segment Forecast, 2024 - 2032

  • Published Date:Feb-2024
  • Pages: 117
  • Format: PDF
  • Report ID: PM4538
  • Base Year: 2023
  • Historical Data: 2019-2022

Report Outlook

Global construction equipment market size was valued at USD 155.79 billion in 2023. The market is anticipated to grow from USD 160.31 billion in 2024 to USD 205.05 billion by 2032, exhibiting a CAGR of 3.1% during the forecast period

Industry Trends

Construction equipment refers to the machinery, tools, and vehicles used in the construction industry for various purposes, such as excavation, lifting, loading, hauling, paving, drilling, and compacting. These equipment are designed to perform specific tasks efficiently and safely and are essential for completing construction projects on time and within budget.

The global construction equipment market is expected to experience significant growth in the forecast period, driven by increasing infrastructure development projects, rising demand for advanced machinery, and growing investments in renewable energy projects. The market is also expected to be fueled by the increasing market trends of automation and technological advancements in construction equipment, which will improve efficiency and productivity in construction activities. The surge in government expenditure on infrastructure development has led to a significant increase in construction activities across developing countries. In particular, India is prioritizing the improvement of its road infrastructure to facilitate seamless transportation of resources.

The research study provides a comprehensive analysis of the industry, assessing the market on the basis of various segments and sub-segments. It sheds light on the competitive landscape and introduces the construction equipment market key players from the perspective of market share, concentration ratio, etc. The study is a vital resource for understanding the growth drivers, opportunities, and challenges in the industry. 

Construction Equipment Market Size

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  • For instance, the Indian Minister of Road Transport and Highways announced in June 2022 the inauguration of 15 new national highway projects in Patna Hajipur and Bihar. The total cost of these projects is around USD 1.7 billion.

The rising demand for material handling and road construction equipment, such as pavers, forklifts, dozers, etc., is a result of this increased road construction activity. Moreover, the integration of technology with construction equipment is likely to boost market growth in the coming years. Original equipment manufacturers (OEMs) are leveraging this opportunity to introduce new products and expand their customer base in the market.

Key Takeaways

  • Asia Pacific dominated the market and contributed over 32% of the industry share in 2023
  • By equipment category, the material handling equipment segment held the largest construction equipment market share in 2023
  • By power output category, the <100HP segment dominated the global market for construction equipment in terms of construction equipment market size
  • By application category, the infrastructure segment is expected to grow with a significant CAGR over the market forecast period

What are the market drivers driving the demand for the Construction Equipment market?

The rise in demand of equipment for developmental projects drives construction equipment market growth.

As governments and private organizations invest in various development projects, such as infrastructure development, transportation networks, and real estate projects, there is a growing need for heavy-duty construction equipment to facilitate these projects, which subsequently drives market growth. This includes equipment such as excavators, cranes, bulldozers, and concrete mixers, among others. The increasing demand for this equipment is driven by the need for efficiency, speed, and quality in project execution, as well as the desire to minimize construction timelines and costs.

Also, the growing market trends of smart city initiatives and greenfield development create a heightened demand for advanced construction equipment that can deliver precision and efficiency in project execution. Thus, the surge in demand for construction equipment is expected to continue in the forthcoming years, driven by the increasing number of developmental projects and the need for modernization and expansion of existing infrastructure.

Which factor is restraining the demand for Construction Equipment?

The high maintenance cost hampers the construction equipment market growth.

Construction equipment requires frequent maintenance and repairs to ensure proper functioning, which results in substantial costs for equipment owners and operators. This includes not only the cost of replacement parts but also labor expenses for skilled technicians who are needed to perform maintenance tasks. In addition, hold-on time while equipment is being serviced or repaired leads to a loss of productivity and revenue for contractors, further increasing overall costs. Also, many firms may opt to continue using older machines to reduce operation costs, even if they are less efficient or reliable than newer models. This decision limits the adoption of advanced technology and innovative solutions that could otherwise improve efficiency and profitability across the industry.

Construction Equipment Market Infograpgics

Report Segmentation

The market is primarily segmented based on equipment type, equipment category, power output, application, and region.

By Equipment Type

By Equipment Category

By Power Output

By Application

By Region

  • Articulated Dump Trucks
  • Asphalt Finishers
  • Backhoe Loaders
  • Compactors
  • Crawler Dozers
  • Crawler Excavators
  • Crawler Loaders
  • Mini Excavators
  • Road Rollers
  • Wheeled Excavators
  • Others
  • Earthmoving Equipment
  • Heavy Construction Equipment
  • Material Handling Equipment
  • Others
  • <100HP
  • 101-200HP
  • 201-400HP
  • >400 HP
  • Commercial
  • Infrastructure
  • Residential
  • North America (U.S., Canada)
  • Europe (France, Germany, UK, Italy, Netherlands, Spain, Russia)
  • Asia Pacific (Japan, China, India, Malaysia, Indonesia. South Korea, Australia)
  • Latin America (Brazil, Mexico, Argentina)
  • Middle East & Africa (Saudi Arabia, UAE, Israel, South Africa)

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Category Wise Insights

By Equipment Category Insights

Based on equipment category analysis, the market has been segmented based on earthmoving equipment, heavy construction equipment, material handling equipment, and others. The material handling equipment segment dominated the global construction equipment market due to its versatility and wide range of applications on job sites. Material handling equipment includes cranes, excavators, telehandlers, and forklifts, which are essential for lifting, moving, and placing heavy materials such as steel beams, concrete slabs, and heavy machinery. These machines enable contractors to work efficiently and safely, reducing manual labor and increasing productivity.

In addition, advancements in technology have made material handling equipment more efficient, reliable, and cost-effective, further driving demand for these machines. The growth in infrastructure development, residential and non-residential construction projects, and industrial activities also contribute to the high demand for material handling equipment, making it the largest segment in the market.

By Power Output Insights

Based on power output category analysis, the market has been segmented based on <100HP, 101-200HP, 201-400HP, and >400 HP. The market for small construction equipment with <100HP, such as mini-excavators, compact wheel loaders, skid steer loaders, and compact track loaders, dominated the industry in terms of market size in 2023 due to its versatility and maneuverability. The demand for these machines is expected to increase even further in emerging economies like Asia Pacific, Latin America, and Africa due to infrastructure development, urbanization, and small-scale construction projects. Technological advancements, including improved operator comfort, powertrain efficiency, and automation, also drive the segment's growth. As a result, cost-effective, compact, and versatile machinery is becoming increasingly popular in the construction industry.

By Application Insights

Based on application analysis, the market has been segmented based on commercial, infrastructure, and residential. The infrastructure application segment, which includes construction equipment, is expected to experience significant market growth in the forecast period due to increasing investments in infrastructure development projects such as roads, highways, bridges, and buildings. Governments around the world are recognizing the importance of investing in infrastructure to stimulate economic growth, improve transportation efficiency, and enhance public safety. This has led to an increase in demand for construction equipment such as excavators, cranes, and bulldozers, which are essential for these projects.

In parallel, advancements in technology have made construction equipment more efficient and reliable, further driving their adoption in the industry. Overall, the growing demand for infrastructure development and technological advancements in construction equipment is expected to drive the growth of the infrastructure segment in the assessment period.

Construction Equipment Market Seg

Regional Insights

Asia Pacific

The Asia Pacific region held the largest market share in the global construction equipment market in 2023 since countries in this region, such as China, India, and Indonesia, are rapidly growing economies, which leads to an increased demand for infrastructure development and construction projects. In parallel, governments in these countries have been investing heavily in infrastructure development, including transportation networks, buildings, and energy infrastructure, which has created a high demand for construction equipment. Furthermore, the region's growing urbanization and industrialization have also driven the need for advanced construction equipment. The presence of major construction equipment manufacturers in countries like Japan and China has helped to drive innovation and technological advancements in the industry. All these factors have contributed to the dominance of the Asia Pacific region in 2023.


The construction equipment market in Europe is expected to witness significant growth in the forthcoming years. This growth can be attributed to heavy investments in infrastructure development by the European Union and individual countries. As a result, there has been a surge in construction activities that require specialized machinery. Infrastructure projects will provide a favorable environment for the construction equipment market growth. In addition, the need for urban development projects such as residential and commercial construction has created a high demand for a wide range of construction equipment. The demand for construction equipment is also driven by the need to accommodate the growing population and the revitalization of existing urban areas.

Construction Equipment Market Reg

Competitive Landscape

The global market for construction equipment is highly competitive and dominated by several well-established players, including Caterpillar, Volvo CE, Hitachi Construction Machinery, Komatsu, and John Deere. These companies have a strong presence worldwide and offer a wide range of products, such as excavators, bulldozers, wheel loaders, cranes, and compactors. They have extensive distribution networks, robust product portfolios, and strong brand recognition, which enables them to maintain their market share. In addition, these companies invest heavily in research and development to introduce innovative technologies and improve existing products, further solidifying their position in the market.     

Some of the major players operating in the global market include:

  • AB Volvo
  • Caterpillar, Inc
  • CNH Industrial America LLC.
  • Deere & Company
  • Doosan Corporation
  • Escorts Limited
  • Hitachi Construction Machinery Co., Ltd.
  • Hyundai Construction Equipment Co., Ltd.
  • J C Bamford Excavators Ltd.
  • Komatsu Ltd.
  • KUBOTA Corporation
  • MANITOU Group
  • SANY Group
  • Terex Corporation
  • Wacker Neuson SE
  • XCMG Group
  • Zoomlion Heavy Industry Science & Technology Co., Ltd.

Recent Developments

  • In October 2023, CASE Construction Equipment launched an all-new lineup of mini track loaders TL100 and small articulated loaders to offer a powerful attachment platform in a compact, easy-to-maneuver, and easy-to-transport machine.
  • In November 2023, Volvo Construction Equipment launched two models of electric equipment, including the ECR25 Electric compact excavator and the L25 Compact wheeled loader, in the markets of Asia, such as China, South Korea, Japan, and Singapore.
  • In September 2023, Komatsu launched an electric micro excavator (PC05E-1) in Japan, which has a hydraulic outlet that serves as a pressure source for hydraulic hand tools.
  • In May 2023, Hitachi Construction Machinery Americas launched the ZAXIS-7 compact excavators to complete tasks on urban job sites efficiently. These compact excavators are commonly used as tool carriers with a wide range of attachments that increase job-site versatility.

Report Coverage

The Construction Equipment market report emphasizes key regions across the globe to provide a better understanding of the product to the users. Also, the report provides market insights into recent developments, and trends and analyzes the technologies that are gaining traction around the globe. Furthermore, the report covers an in-depth qualitative analysis of various paradigm shifts associated with the transformation of these solutions.

The report provides a detailed analysis of the market while focusing on various key aspects such as competitive analysis, equipment type, equipment category, power output, application, and futuristic growth opportunities.

Construction Equipment Market Report Scope

Report Attributes


Market size value in 2024

USD 160.31 billion

Revenue Forecast in 2032

USD 205.05 billion


3.1% from 2024 – 2032

Base year


Historical data

2019 – 2022

Forecast period

2024 – 2032

Quantitative units

Revenue in USD billion and CAGR from 2024 to 2032

Segments Covered

By Equipment Type, By Equipment Category, By Power Output, By Application, By Region

Regional scope

North America, Europe, Asia Pacific, Latin America; Middle East & Africa


Report customization as per your requirements with respect to countries, regions, and segmentation.

Delve into the intricacies of construction equipment in 2024 through the meticulously compiled market share, size, and revenue growth rate statistics by Polaris Market Research Industry Reports. Uncover a comprehensive analysis that not only projects market trends up to 2029 but also provides valuable insights into the historical landscape. Immerse yourself in the depth of this industry analysis by acquiring a complimentary PDF download of the sample report.

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AB Volvo, Caterpillar, Inc., CNH Industrial America LLC., Deere & Company, Doosan Corporation, Escorts Limited, Hitachi Construction Machinery Co., Ltd., Hyundai Construction are the key companies in Construction Equipment Market.

Construction Equipment Market is exhibiting the CAGR of 3.1% during the forecast period

The Construction Equipment Market report covering key segments are equipment type, equipment category, power output, application, and region.

The rise in demand for equipment for developmental projects drives construction equipment market growth are the key driving factors in Construction Equipment Market.

The global Construction Equipment market size is expected to reach USD 205.05 Billion by 2032