Global Construction Equipment Rental Market by Product (Concrete & Road Construction Machinery, Earth Moving Machinery, Material Handling Machinery) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global construction equipment rental market was worth USD 92.9 billion in 2019. It is expected to grow at a CAGR 4.9% during the forecast period. The market for rental equipment is driven by the growth in construction and mining activities in developing countries. There is a constant trend in the market for new technologies, including digital services that automate service improvements, tracking of equipment, and mapping. Due to technological improvements made by original equipment manufacturers, the adoption rates for construction equipment are rising in rental services.

Many new features have been introduced to rental equipment market by technological advances in the automotive and heavy machinery industries. Manufacturers of construction equipment are not only focused on safety features like lift assist, 360-degree video visual and additional work lights, but also aim to improve operational efficiency and reduce maintenance. These features are expensive and not affordable for many contractors or builders. These professionals prefer to rent construction machinery.

Not only does renting construction equipment save money, but it also reduces expenses like labor cost, maintenance cost and operational cost. It is possible to avoid the cost of regular maintenance, repair, or checking. To make a long-term profit, rental companies of construction equipment perform all these tasks on a regular basis. These companies now offer onsite support and services for equipment. This enhances the customer experience. Caterpillar Inc. offers mobile servicing vans that allow for quick response to customers in remote areas.

High down payments are required for the purchase of new equipment. This can also require large amounts of capital to be invested from operating expenses. After purchasing construction equipment, overhead costs include interest on loans, insurance, licensing, storage, and taxes. Transport costs between job sites are also the responsibility of equipment owners. If the equipment is rented, the provider will take care of transporting the equipment to the new locations. The overhead costs for the rental equipment are not borne by the company. Rental companies also frequently upgrade their equipment and machineries, providing customers with the most up-to-date equipment.

Product Insights

You can segment the market for construction equipment rental by product, into earthmoving, material handling, concrete, and road construction machinery. In 2019, the market for rental construction equipment was dominated by the earthmoving machinery segment. The segment that rents earthmoving machinery dominates the market for construction equipment rental in 2019. However, the CAGR for concrete and road construction machinery is expected to be 6.1% between 2020-2027.

Excavators, an earthmoving machine such as, are in high demand because of its wide range of applications in construction, mining and agriculture. There are also skid-steer loaders and backhoe loaders as well as crawler excavators and mini excavators that fall under this category. These equipments have a lot of market potential. These machines have a high load capacity and powerful engines, making them ideal for harsh environments.

Material handling machinery includes crawler cranes and trailer-mounted cranes. These types of equipment will be more in demand as a result of the increasing construction of skyscrapers, mega infrastructure projects, and other developments. Because of their ease of mobility, truck-mounted cranes dominate the rental market for construction equipment. These cranes are used to build bridges, buildings, and dams. Traditional crawler cranes have seen a sharp decline in their use over the past decade. Crawler cranes can be difficult to transport over long distances. They also need to be loaded onto other vehicles for transportation. Crawler cranes have a lower material handling capacity.

The forecast period predicts that there will be an increase in demand for road and concrete machinery to rent. As a measure of a country’s overall development, roads are important. Better road connectivity can lead to increased trade and economic growth. Many developing countries, such as India and China, are working to improve their road connectivity. China's ambitious "One Belt, One Road", initiative will link China and European countries. Similar to the Indian government's "Bharatmala", the project aims to connect all the major cities of the country via a single road.

These projects are driving up the demand for road and concrete machinery all over the globe. Due to the increased number of construction projects worldwide, concrete mixer trucks are in high demand. The market for concrete mixer trucks on a rental basis is expected to grow significantly, particularly in the Middle East and Africa where there is a high trend towards building large infrastructures.

Regional Insights

Asia Pacific will see the highest CAGR at 6.1% between 2020 and 2027. It is expected to maintain its dominance in terms both of manufacturing and usage over the forecast period. The region has seen an increase in highway constructions, metro constructions, airports and Special Economic Zones (SEZs), as well as hydroelectric projects and dams to support better connectivity, high-level industry activities, and growing energy demands. China is the world's leader in construction machinery manufacturing. This is due to its advanced manufacturing facilities, low labor costs and high production capacities. China exports its machinery to many European and Asian countries.

North America was home to the largest revenue share, with over 48%, in 2019. It is also characterized by prominent rental companies operating in both the U.S. and Canada. The strong growth in residential construction, combined with an increase of infrastructural segments owing to rising investment in Central- and Eastern Europe, has contributed to the strong growth. This will contribute to the expansion of the rental market for construction equipment. Due to the influx of major projects like Vision 2030, Jazan Economic City and King Abdullah Economic City and FIFA World Cup 2022 in the Middle East, countries such as Qatar and Saudi Arabia have seen an increase in rental equipment, such as excavators and loaders, in Middle East countries such as Qatar and Saudi Arabia.

Construction Equipment Rental Market Insights

The market for rental equipment for construction is competitive and highly concentrated. In 2019, the five largest companies accounted for the highest share of global revenue. The market was dominated by United Rental, Aggreko, Herc Rentals Inc. and Aktio Corporation. To maintain market share, key players used a variety of strategies to increase their equipment fleets as well as mergers and acquisitions. For rental equipment construction equipment, technologically advanced and efficient products will be key to being competitive.

Attempts to diversify product lines and increase market share are frequent reasons for mergers and acquisitions. Cooper Equipment Rentals Ltd. acquired Prime Rentals Ltd. in March 2019. Prime Rentals Ltd. is an independent rental company in Canada. United Rentals, Inc. acquired BlueLine Rental, a rental company with 114 locations across North America, in September 2018.

The Report Covers Certain Segments

This report provides a forecast of revenue growth at the global, regional and country level and analyzes the most recent industry trends in each sub-segment from 2016-2027. Grand View Research segmented the global rental equipment market report based on product and region.

• Product Outlook (Revenue, USD Billion, 2016 - 2027)

  • Earth Moving Machinery

  • Material Handling Machinery

  • Concrete & Road Construction Machinery

• Regional Outlook (Revenue USD Billion, 2016-2027)

  • North America

    • The U.S.

    • Canada

  • Europe

    • The U.K.

    • Germany

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

These are the most frequently asked questions about this report

b. Global construction equipment rental market was valued at USD 184.49 Billion in 2019, and is forecast to grow to USD 195.48 Billion in 2020.

b. Global construction equipment rental market will grow at 8.1% compound annual growth rate between 2020 and 2027, to reach USD 337.30 trillion by 2027.

b. With a market share of 59.77%, Asia Pacific was the dominant region in construction equipment rental. This can be attributed to the growth in highway and metro constructions as well as airports and Special Economic Zones (SEZs).

b. Ashtead Group, United Rental; Aggreko and Herc Rentals Inc. are some of the key players in the rental market for construction equipment.

b. The market's growth is driven by the availability of new and more advanced technology and better customer service.

Up Market Research published a new report titled “Construction Equipment Rental Market research report which is segmented by Product (Concrete & Road Construction Machinery, Earth Moving Machinery, Material Handling Machinery), By Players/Companies Ashtead Group; United Rental; Aggreko; Herc Rentals Inc; and Aktio Corp”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Construction Equipment Rental Market Report Segments:

The market is segmented by Product (Concrete & Road Construction Machinery, Earth Moving Machinery, Material Handling Machinery).

Construction Equipment Rental Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Construction Equipment Rental Market

Overview of the regional outlook of the Construction Equipment Rental Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Construction Equipment Rental Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Construction Equipment Rental Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Concrete & Road Construction Machinery

                2. Earth Moving Machinery

                3. Material Handling Machinery

7. Market scenario by region, sub-region, and country.
8. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
9. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
10. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Construction Equipment Rental Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Construction Equipment Rental Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.