Construction Equipment Rental Market to grow
As per reports, Construction Equipment Rental industry size worth USD 34 billion in 2015 is expected to record a CAGR of 9.1% over 2016-2024. Growing trend among the firms to acquire construction equipment on lease for reducing maintenance & administrative overhead costs is expected to propel global construction equipment rental market growth over the coming years. Getting the construction equipment on lease benefits the firm as it helps in eliminating replacement costs and avoiding hassles related to regulatory compliances associated with the equipment purchase. Rising number of renovation projects across the globe is further expected to boost the construction equipment rental market trends. Rapid technological innovations pertaining to the equipment will contribute towards its growing popularity, as it enables effective and accurate handling of materials ensuring workplace safety and productivity.
Rapidly growing real estate sector is predicted to play a key role in the growth of construction equipment rental market over the coming years. Smart city creations across many of the emerging economies such as India is predicted to propel the growth of construction & infrastructure sector. This in turn is expected to boost the construction equipment rental industry growth in the near future. Furthermore, construction equipment rental market is expected to receive a boost over the coming years due to presence of leasing channel, which has enhanced the consumer service in residential and commercial sectors by ensuring high product quality, quick response, timely delivery, and planned pick-ups. Moreover, growing natural gas drilling activities coupled with enhanced highway infrastructure facility are further expected to provide operational, logistical, and monetary benefits to construction equipment rental market over the coming years.
Major construction equipment products include concrete & road construction equipment, earthmoving equipment, and material handling equipment. Earthmoving equipment market accounted for 55% of the global construction equipment rental market share in 2015, and is expected to surpass USD 40 billion by 2024. The growth can be attributed to the increasing use of heavy equipment such as excavators and loaders in various sectors. Concrete & road construction equipment market is expected to witness high growth over 2016-2024, owing to its high demand across new infrastructure projects. Material handling equipment market is expected to record a CAGR of 9.9% over the period of 2016-2024, due to the growing need of automatic manufacturing processes to enable optimum energy conservation and raw material consumption.
China construction equipment rental market price worth USD 3 billion in 2015, is expected to witness a high surge over the coming eight years. The regional growth is credited to favorable government legislations, high economic development, rising population, and rapid urbanization. Germany construction equipment rental market size is anticipated to grow at a rate of 6.5% over the coming eight years owing to the rising number of construction activities taking place across the residential sector along with favorable government policies across this region. U.S. construction equipment rental market size is projected to surpass USD 23 billion by 2024.
Market players will try to grow their global presence and expand their business through frequent mergers & acquisitions, joint ventures, and strategic alliances. Key industry participants include United Rentals Company, Neff Rentals, Gemini Equipment and Rentals Private Limited, Terex Corporation, Sunbelt Rentals, Aggreko, Maxim Crane Works, L.P. Company, Ahern Rentals, The Hertz Corporation, Komatsu Limited, Liebherr Group, and Weldex International Offshore Limited.