Asia-Pacific Construction Equipment Market Outlook, 2029

Asia is seen embracing the digital revolution, though, with a significant dissimilarity across the region. With the advancement in technology and the shift in the concentration of governments towards the improvement of the infrastructure, the market for construction equipment is set to bloom in the Asia-Pacific market. Developing Asia's economies are forecast to grow 5.2% by 2024 and 5.3% by 2023, owing to a robust recovery in domestic demand and continued expansion in exports. Many countries in Asia face the important challenges of an ageing population and declining productivity growth with a need for structural reforms. As the global economy is becoming increasingly digitalized and more transformations are occurring with recent advancements, it brings in more challenges related to the future of work. According to the 'Asia Pacific Construction Equipment Market Outlook, 2029' published by Bonafide Research, the Asia-Pacific construction equipment market has recorded a tremendous growth rate by occupying more than a 60-billion dollar market size in 2023, which is anticipated to expand with more than 7% CAGR for 2024-2029. The infrastructure in the region is experiencing government and private investments as a part of the national development and urbanization strategies. Aside from that, the efforts of enhancement projects for development in Asia Pacific's rural regions are the primary drivers of the market. The construction segment, which includes residential and commercial buildings, and the infrastructure segment, drives the Asia-Pacific heavy vehicle market mainly. Moreover, the economic stability and increasing income of several countries, including Nepal, Sri Lanka, and Bangladesh, in recent years have supported the development of roads, irrigation systems, airports, and hydropower plants, further adding to the demand for machinery.

By utilizing modern machinery, end-users are experiencing an increase in profitability as they provide high productivity over labor, thereby increasing demand in the Asia-Pacific construction equipment market. Moreover, building sites with several high-risk operations are implementing these machineries to strengthen the safety parameters and reduce the time required in conventional operations. Contractors using the machinery have better safety and accident track records, which improve profitability as the companies eliminate labor accident compensation, further attributed to the rise in industry size. Considering the individual countries, Japan dominates the Asia-Pacific market for construction equipment, which is to lose its dominance to China during the forecast period. The construction equipment market in India has shown considerable growth over the years, with the highest growth rate in individual country terms. Apart from the major countries, the contributions of the other smaller countries in the region are immense. This segment has grown over the years, owing to the constant development in those countries, and has contributed nearly more than 30% of the total market share of the Asia-Pacific construction equipment market. Increasing adoption of earthmoving machinery, such as excavators and loaders, in traditional building applications owing to advantages over manual labor is fueling the APAC construction equipment market. These machines provide several benefits, such as quality improvement, increased project efficiency, and cost savings. The construction equipment market is witnessing rapid growth in the Asia-Pacific region, specifically in countries such as China, India, and Japan, due to favorable government investments in infrastructure projects and economic growth. A rise in crude oil prices has a negative impact on the Asia-Pacific construction equipment industry because it increases the cost of the construction project. There has been a significant demand for infrastructure in hospitals and other medical facility centers like laboratories, shipping, logistics, and others like healthcare centers, clinics, and others due to the pandemic's outbreak. In addition, some of the market countries are moderately functioning after the arrival of the pandemic. Hence, this is likely to create a demand for the Asia-Pacific construction equipment market's products and equipment. In addition, there has been rapid infrastructural development coupled with the availability of business capital investments in emerging economies, including China and India in the APAC region, which has propelled the demand for Asia-Pacific construction equipment. Recent Developments

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Manmayi Raval

Research Consultant

• In October 2018, Hitachi Construction Machinery launched its ICT-operated semi-autonomous ZX210X-6 excavator that can complete the task nearly 50% quicker than other standard excavators. • In 2019, Volvo Construction Equipment announced that it would start producing compact electric excavators and wheel loaders in an official statement. From mid-2020, EC 15 to EC 27 electric excavators and L20 to L28 electric wheel loaders will be produced. COVID-19 Impacts: The Asia-Pacific construction equipment market has been deeply impacted and has witnessed a negative impact on product demand in recent months owing to the lockdowns imposed in the majority of the countries due to the outbreak of the novel COVID-19 in December 2019, followed by the rising cases on an international scale in 2020. Several market countries, including prominent ones, have experienced curfew-like situations in which businesses, except for essential services with a small workforce, were not allowed to operate. In addition, most of the construction projects were temporarily shut down by the restrictions imposed in recent months to prevent the spread of COVID-19. The factors mentioned above have significantly impacted the demand for Asia-Pacific construction equipment in the last few months. As a result, the Asia-Pacific Construction Equipment Market producers and manufacturers and the overall construction industry are expected to face several challenges as most of the construction projects are likely to be left incomplete, at a halt, or be delayed because of the supply chain disruptions, cash flow constraints, unavailability of the workforce, and production shutdowns introduced by the pandemic. However, a change in consumer behavior and increasing demand for industrialization are expected to propel higher market growth. Major Companies Present In the Market Caterpillar Private Limited, CNH Industrial, Doosan Infracore, Epiroc Construction Machinery Co. Ltd, Hitachi Construction Machinery Co. Ltd, J C Bamford Excavators Ltd, John Deere Ltd, Kobe Steel Ltd, Komatsu Ltd., Kubota Corporation, Liebherr Group, Metso Corporation, Sandvik Mining And Rock Technology, Sany Group, Terex Corporation, Volvo Construction Equipments, XCMG Ltd., Zoomlion Co. Ltd

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Considered In the Report • Geography: Asia-Pacific • Base year: 2023 • Historical year: 2018 • Estimated year: 2024 • Forecasted year: 2029 Countries covered: • Japan • India • China • Australia Aspects Covered In the Report • Market Size by Value for the historic time period (2018-2023) • Market Size by Value for the forecast time period (2023-2029) • Market Share by Application (2018, 2023 & 2029F) • Market Share by Equipments (2018, 2023 & 2029F) • Market Share by Country (2018, 2023 & 2029F) • Market Share by Company (2023) Segments covered in the Report By Application • Earth Moving Machinery • Material Handling Machinery • Concrete and road construction Machinery • Other Machinery By Earth Moving Machinery • Excavators • Loaders • Dozers • Motor Graders By Material Handling Machinery • Dumper /Dump Truck/ Tippers • Cranes (Tower Crane, Mobile Crane) • Telescopic Handlers • Forklift By Concrete and Road Construction Machinery • Cement/Transit mixers • Compactors & Road Rollers • Pavers/Asphalt Finishers • Others The approach of the report: We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise. This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. From this, we get a rough estimate of the market and start checking existing product price variants, trade, production, raw material scenarios, policies and regulatory landscape, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. We follow our forecasting algorithm, which is unique for each product but gives more weight age to primary inputs. At the same time, the content team starts preparing company profiles, market dynamics, market trends, five forces, PEST analysis, etc. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations; validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free. Intended Audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the construction machinery and excavator industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.?