PUBLISHER: Grand View Research | PRODUCT CODE: 1908131
PUBLISHER: Grand View Research | PRODUCT CODE: 1908131
The global construction equipment market size was valued at USD 242.17 billion in 2025 and is projected to reach USD 471.25 billion by 2033, growing at a CAGR of 8.7% from 2026 to 2033. Rapid urbanization in developing countries, coupled with increasing government focus on upgrading the existing infrastructure, is expected to surge construction activities, which in turn is increasing demand for excavators, loaders, dump trucks, etc., for construction work.
Thus, increasing infrastructure development activities across the globe is anticipated to increase demand for earthmoving and material handling equipment, thereby driving the growth of the global construction equipment market.
Increasing government spending on upgrading the present infrastructure is responsible for increasing construction activities in developing countries. A country such as India is highly focused on enhancing the road infrastructure to facilitate the flawless transportation of resources. For instance, in June 2022, the Indian Minister of Road Transport and Highways announced the opening of 15 new national highway projects worth USD 1.7 billion in Patna and Hajipur in Bihar. For instance, in March 2023, the government of Singapore announced that it would commence the construction of new terminal 5 (T5) at Changi Airport in 2025. The T5 addition to the existing airport is focused on lowering the air passenger traffic at Changi Airport. This increasing road construction activity is increasing demand for material handling and road construction equipment, such as forklifts, pavers, dozers, etc., further supporting the growth of the global construction equipment market.
Technological integration with construction equipment is expected to favor market growth over the forecast period. OEMs have capitalized on this as an opportunity to launch new products and expand their customer base in the construction equipment market. For instance, in January 2023, John Deere announced the launch of farming and building equipment powered by batteries. The company states that when John Deere released new farming and building technologies, factors such as a growing population, dwindling amounts of arable land, and rising greenhouse gas emissions were all considered.
The high cost of product and contractor inclination towards adopting rental equipment are some significant factors expected to hamper the growth of the global construction equipment market. Contractors are inclined towards renting the construction equipment for the specified project's timeline, against being in charge of vehicle ownership. Construction equipment ownership ties up a significant amount of capital, impacting other business operations.
Global Construction Equipment Market Report Segmentation
The report forecasts revenue growth at global, regional, and at country level and provides an analysis on the latest trends in each of the sub-segments from 2021 to 2030. For this study, Grand View Research has segmented the global construction equipment market report on the basis of product, equipment type, propulsion type, power output, engine capacity, and region.