The global excavator market is anticipated to record substantial growth over 2030. Rapid growth in population, increasing disposable income, and a dramatic rise in preference for an urban lifestyle has triggered the need for modern residential and commercial spaces.
Increasing environmental concerns and advancements in green infrastructure will offer lucrative scope for electric construction equipment. Excavator manufacturers are constantly launching novel products with advanced features to better address the growing equipment demand in the construction and mining sectors.
In September 2022, Liebherr showcased its latest rail-road excavators called A 924 Rail Litronic with unique attachments and new features for a wide range of applications. Earlier in June, the company also unveiled its latest range of hydraulic mining excavators as a part of its existing portfolio of mid-class excavators catering to mining applications.
The excavator market is bifurcated into product, type, application, bucket capacity, and region.
Based on product, the industry is classified into large, medium, and mini/compact excavators. Among these, the medium-sized excavator segment accounted for over USD 10 billion in 2021. The introduction of advanced mid-size excavators with novel features and superior performance capabilities is attracting product sales.
By type, the excavator market is divided into crawler and wheel. In 2021, the crawler excavator segment held over 75% share in the market. This type of excavator offers superior strength and gradeability when used in muddy areas and mining sites.
With respect to application, the overall industry is fragmented into rental, mining, forestry & agriculture, and construction. The rental application segment is anticipated to witness a CAGR of more than 5% from 2022-2030. Rental excavator services are seen as a cost-efficient solution, particularly where the equipment is required only for a short period of time. Leasing an excavator offers a broad range of financial and operational advantages such as maintenance assurance.
In terms of bucket capacity, the global excavator market is categorized into below 3 cubic meters, 3-6 cubic meters, and above 6 cubic meters. Of these, the 3-6 cubic meters bucket capacity segment held over 33% share in the industry in 2021. Various mining activities rely on equipment with a capacity between 3 to 6 cubic meters as it ensures higher productivity levels and enhanced efficiency with fewer passes needed by the equipment.
Middle East & Africa excavator industry is projected to expand at a CAGR of over 3% between 2022-2030. The rapid proliferation of smart city development initiatives across several MEA countries such as Saudi Arabia, UAE, and Qatar are accelerating the demand for construction equipment. These countries are ramping up efforts to create connected infrastructure along with modern roads and airports. For instance, in July 2022, UAE announced an investment worth $27.8 million in infrastructure projects.