There has been a massive upsurge in the modern construction of commercial and residential infrastructuresis highly anticipated that the construction equipment rental market will foster in the years to come. Market Research Future Reports have come up with its research report on the global construction equipment rental market, stating that it will rise and bolster exponentially at a CAGR of 4.7% by the year 2023.
The robust reason behind the growth of the market could be mounting numbers of construction activities coupled with the substantial infrastructure investments will drive the construction equipment rental market growth over the forecast time frame.
The key players contributing in the global construction equipment rental market are Ahern Rentals, Inc., Ashtead Group, Blueline Rental LLC, Caterpillar, Inc., Cramo PLC, Shanghai Hongxin Equipment Engineering Co., Ltd., Herc Holdings, Nesco Rentals, Riwal, United Rentals, Inc, and many others.
- Raw Material Suppliers
- End Users
- Traders & Distributors
- Regulatory Bodies
Construction Equipment Rental Market Drivers & Trends
The global construction equipment rental market is proliferating robustly owing to some significant factors such as the growing construction industry in developing countries, numerous growth opportunities in infrastructure, residential, and non-residential sectors. Recently, the trend of renting heavy construction equipment such as excavators and loaders has risen, which is estimated to boost the market to proliferate instantaneously.
Moreover, in the latest development in the construction industry, customers can now rent advanced technological equipment and save labor cost, maintenance cost, and operational costs that are involved in buying the same equipment. In addition, the rental companies perform appropriate tests and inspections on rental equipment, thus improving the safety aspect in the market as well. By this, the market of construction equipment rentals has experienced tremendous growth since few years owing to the upsurge in disposable income coupled with technological advancements in the construction projects in the overall construction industry on a global level.
Furthermore, the rising labor costs in emerging countries such as China and India have also contributed to propelling the demand for renting equipment in the years to come. With that, the rising demand for residential infrastructure due to the proliferating population mainly in China, India and other South Asian countries. These factors have immensely generated an impressive growth graph for the construction equipment rental market having promising future opportunities as well.
Most importantly, innovation in new models of the equipment has also made the market to expand drastically over the forecast period. However, the lack of skilled labor to operate advanced technology equipment is hindering the growth of the construction equipment rental market.
Construction Equipment Rental Market Segmentation
In the reports of MRFR, the global construction equipment rental market has been segmented under the categories of equipment, type, application, and region.
The equipment type segment is classified into earthmoving, material handling, and concrete & road construction. Wherein, the earthmoving segment is further classified into an excavator, loader, backhoe, motor grader, and others. Next comes the material handling segment, which is further classified into crawler crane, trailer mounted crane, and truck mounted crane.
Segmentation by equipment type, the earthmoving segment had accounted for the largest share in 2017 and is expected to retain this position by 2023 attributed to the upsurge in industrial and infrastructural construction projects that need excavators, loaders, and backhoe. Currently, earthmoving equipment has a huge demand in the construction and mining sectors which is providing the lucrative market potential to the equipment manufacturers across the globe.
However, the material handling segment is also projected to witness maximum growth over the forecast period owing to the increase in demand for machines such as crawler cranes, truck-mounted cranes, and trailer-mounted cranes for the construction of mega infrastructure projects especially countries such as China, India, and UAE. Truck-mounted cranes emerged as the largest segment due to its application in the construction of dams, bridges and other buildings.=
Global Construction Equipment Rental Market: Regional Analysis
Geographically, the global Construction Equipment Rental Market is segmented on the basis of region into North America, Europe, Asia-Pacific, and Rest of the world (RoW). Asia-Pacific accounted for the largest market share of around 40% in 2017, which is anticipated to witness maximum growth over the forecast period, followed by North America and Europe. China emerged as the most lucrative country in this region owing to the presence of construction machinery manufacturing facilities. China is one of the largest exporters of construction types of machinery and exports its most of the machines to Europe and another Asia-Pacific region. North America accounted for a market share of around 32% in the global construction equipment rental market, which is attributed to the increase in demand for construction machines such as excavators and motor graders.