The global heavy construction equipment market is expected to grow with the CAGR of approximately 7.7% during the forecast period (2016-2023).The heavy construction equipment is particularly designed machinery for doing construction operations. Such equipment is utilized for several functions such as excavating, drilling, paving, grading and hauling. The global construction equipment market comprises several industries covering forestry, manufacturing, military, oil & gas and public works. The global construction equipment market has previously faced slowdown owing to sluggish economic conditions and sluggish growth of the construction industry; however the heavy construction equipment market is expected to grow with the fastest growth rate in near future. Increasing residential, industrial and commercial construction activities, economic growth worldwide and growing public-private partnerships is expected to boost the market. The government regulations regarding carbon emission and high cost associated with heavy construction equipment is likely to restrain the market growth. Increasing government investment for the infrastructure development is estimated to provide good opportunities for the market growth. Furthermore, increasing real estate market is also driving factor for market growth. According to the state council, In the peoples republic of china, the investment in China in property development was gained steam in 2016 as investors has constantly to initiate new projects amid increasing house prices. The investment in the real estate development increased 6.9% year over year in 2016 which is 1.1% rapid than the earlier three quarters and 5.9% points as compared to earlier year, as per the National Bureau of Statistics (NBS). The property investment has also increased 7.5% year on year. For residential properties, the investment increased 6.4% year over year and the floor space of new residential construction enhanced 8.7% year over year. Geographically, Asia Pacific is leading in the heavy construction equipment market, in terms of revenue due to rising population which leads the demand for large number of construction expenditure. Increasing industrialization in the region and various major companies such as Caterpillar, Inc. are interested to increase their presence in APAC countries such as China & India which as a result leads the demand for heavy construction equipment. The presence of major players such as Hitachi Construction Machinery Co., Ltd. (Japan), Caterpillar Inc. (U.S.), Hyundai Heavy Industries Co., Ltd. (South Korea), John Deere (U.S.) and so on are creating opportunity for large innovations in heavy construction equipment which will enable to increase the durability and reliability of such equipment.
The global heavy construction equipment market is segmented on the basis of application, end-use and machinery type. On the basis of application, the global heavy construction equipment market is segmented into material handling, recycling & waste management, excavation & demolition, heavy lifting and tunneling. Based on end-use industry, the market is further categorized into manufacturing, oil & gas, construction, mining, infrastructure and others. The machinery type is further segmented into heavy construction vehicles, material handling equipment, earthmoving equipment and other machinery type.