Construction Equipment Rental Market Analysis

Construction Equipment Rental Market Analysis

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In 2024, the backhoes segment held a market share of over 50% and is expected to cross USD 76.3 billion by 2034.  Major factors contributing to the market growth include rapid growth in road-building projects and the development of public infrastructure by government authorities. The mechanization of infrastructure building activities to achieve fine quality is creating a demand for earthmoving & road building equipment rental services. Excavators are expected to witness high growth in the earthmoving and road building equipment segment. Increasing construction activities in the residential sector are providing growth opportunities for excavators in the market.
 

Based on material handling and cranes, the market is categorized into storage & handling equipment, engineered systems, industrial trucks, and bulk material handling equipment. The bulk material handling equipment segment held a market share of 45% in 2024. The rising importance of bulk-material handling equipment for speedy completion of large infrastructure projects is augmenting the equipment demand in the market. The growing market trend of constructing large commercial establishments and skyscrapers will promote the use of material handling construction equipment rental services in the industry.

The rising demand for advanced technologies, such as big data analytics and IoT, in logistics to manage operational requirements is changing the way several businesses handle their operations. Equipment, such as conveyors, robots, and storage equipment, is increasingly being used in manufacturing facilities for the efficient management of the materials. The rising manufacturing activities in the food & beverage, chemical, pharmaceutical, and automotive industries are anticipated to spur the demand for material handling equipment and crane rentals.
 

North America dominated the global construction equipment rental market with a major share of over 35% in 2024 and U.S. leads the market in the region. Increasing construction activities due to the rising demand for travel & tourism in Canada will further accelerate the construction equipment rental market in the region. The presence of prominent players in the U.S. including Ahern Rentals, Herc Rentals, and Ashtead Group will drive the demand for the adoption of equipment rental services in the region.
 

The rapid increase in construction activities in countries including the UK, Germany, and France will accelerate the demand for construction equipment rental services in the region. The widespread proliferation of recycling activities and government initiatives in Europe are contributing to market growth. Consistent growth in mining operations and urbanization across the region are contributing to market demand. The presence of prominent players such as Loxam Group, Mediaco Group, and Boels Rentals will proliferate the demand for construction equipment rental services in the region. These players majorly focusing on adopting technologically upgraded equipment to cater to the changing demand.
 

Road construction & refurbishment activities in Asian countries including China and India are increasing rapidly. The Chinese and Indian governments are investing hugely in infrastructure development activities such as the construction of highways & railways in the region. The rapid growth in the travel and tourism sector in countries including India and Japan will augment the construction equipment rental market during the forecast timeline. The Asia Pacific construction market will witness steady growth over the coming years owing to continuous upgrades and growth in telecommunication infrastructure development activities in the region. The rapidly expanding telecom network is anticipated to drive the crane rental demand during the forecast timeframe.