The excavator market across the world is likely to show a immense grow in the future despite of the lowering of the economy due to the Covid-19 pandemic. With the end users demanding for more additional features and a quick assembling of the equipment in the work site, the manufacturers focus on delivering more compact yet efficient excavators.
Globally the excavator market saw an overall growth despite the high cost of machinery manufacturing and the labour shortage. The market has grown exceptionally well in the in past, owing to the high demand of better construction and a advanced infrastructure. The market is also forecasted to grow at a considerable rate with the various governments’ initiatives to invest more in the development of infrastructure. The market is further divided into two segments based on the usages of the excavators which include application and types.
According to the report, "Global Excavator
Market Research Report, 2027" published by Actual Market Research, the market stood at around 46 billion in size, which is projected to reach nearly 65 billion by 2027. Furthermore, the market is expected to grow at a 6% CAGR between 2022 and 2027. Globally, the excavator market is seen increasing rapidly. The Asia Pacific region is the major contributor to the market. The Asia Pacific market has shown an increase in the market share over the years and is also expected to grow in the future, at a rate of more than 7%. The upswing in the number of large scale projects in the mining, road and transportation industry, oil and gas sector, and the increasing demand for residential and commercial buildings in this region.
The emergence of the rental concept is one of the major driving factors as it enables operators and manufacturers to utilize the equipment without heavy capital investments and make maximum utilization of the equipments. The prominent factors boosting the demand of the construction equipment are increased in demand of smart city projects coupled with an increased investment in infrastructure. Technological advancement in the excavators have come a long way and have made the excavators more efficient than the traditional equipments as they save time and provide information to service centres in case of malfunctions or break down.
Owing to the strict regulations related to the emission control, the equipment manufacturers are developing environment friendly equipments. The major hindrances of success in the excavator market are the high maintenance cost in addition to the high capital cost, continuous technical support, and stringent emission norms, unavailability of the skilled labours etc. The manufacturers in need to overcome these challenges have started with financial support for the buyers through which they can be able to afford the heavy machineries. Many manufacturers have also started with providing certification training which enable the buyers to enrol any of their employ who is going to be in charge of the excavator handling. This not only becomes an additional support to the construction company by getting a trained professional but also be advantageous as the chances of mishandling the equipment decreases.