Global mining equipment market was worth USD 144.37 Billion in 2019. It is projected to grow at a compound annual rate (CAGR of 12.7%) between 2020 and 2027. Over the next few years, digital mine innovation will transform key aspects of mining. During the forecast period, increased investment and government support for digital mine innovation will drive the demand for mining equipment. The improved ore grades and the innovations in equipment and extraction technology have extended the lives of older mines.
As digitization and automation gain momentum, technology is becoming a key differentiator for mining and manufacturing companies. The key players are focused on lowering the cost of equipment maintenance and extraction. The industry has seen a wide range of technologies adopted, including robotics & automation and smart sensors. ABB Ltd. introduced the Ability Smart Sensor in January 2019 to assess the condition of mounted bearings in order to avoid downtime during mining and material handling.
The demand for sustainable development is increasing and requires the provision of environmentally-friendly equipment. The demand for minerals has increased due to the shift towards renewable energy. Companies have been able to increase their profits by offering equipment that is more productive and has a lower environmental impact. Komatsu Ltd.'s Autonomous Haulage System, (AHS), uses advanced control technology to reduce fuel consumption and tire wear.
Over the next few decades, the demand for mining equipment will increase as underground mining becomes more efficient and economically viable. Mining requires large amounts of energy to extract and preserve resources. This includes a variety refining and concentration steps. The average copper ore grade is decreasing, which has resulted in an increase in energy use and total material production. This has fueled the demand for high-performance equipment.
High-performance equipment has allowed it to be possible to extract minerals of lower grades without raising the cost. Many steel manufacturers are attempting to get into the mineral exploration sector in order to secure their supply of coking coal and ironore at a reasonable cost.
In 2019, surface mining equipment accounted for the largest percentage of overall revenue. It is expected to continue its lead in the future. The future growth prospects for surface mining equipment are expected to be boosted by rising demand in emerging countries for chromium and coal. This equipment is being used more and more to mine high-quality materials, create embankments, and provide stable surfaces.
The growth of the segment for surface mining equipment will be aided by the increased demand for excavators within the construction and oil and gas industries. The emergence of compact excavators has led to an increase in demand for this equipment. These excavators can be used to carry out the excavating process within tight spaces. To meet current metal exploration demands, companies are upgrading excavators as well as electric shoves. Komatsu Ltd., for example, introduced the PC2000-11 hydraulic excavator in September 2019. It is equipped with KomVision, a machine-monitoring system. This can be used to load haul trucks, as well as for loading coal, stripping away overburden, or loading shot rock.
In 2019, revenue growth was largely attributed to underground mining equipment. Underground high-capacity trucks are in demand due to the need to optimize decline truck haulage's efficiency and keep it competitive with shaft haulage. Open-pit mining is not economically feasible for miners. This has led to an increase in underground mining to extend mine life and thereby driven the demand for underground mining equipment.
Due to increased hauling of metal deposits, and high demand for precious metals, the metal mining segment dominated global mining equipment market in 2019. Favorable government regulations, the growth of mining-related industries and fluctuations in commodity prices will all have an impact on the demand for mining equipment in metal mining applications. This will drive the expansion of this segment. South American and Australian copper mines are purchasing additional equipment. This is due to the increased exploration of copper and iron.
In 2019, the non-metal mining segment saw significant growth. The increased demand for non-metal mining materials has led to a significant increase in the need. The non-metal mining sector is seeing an increase in investment plans by different governments. In 2019, for example, the Australian government received new funding to support its rare earth and critical minerals sector. Export Finance Australia (EFA), and the Northern Australia Infrastructure Facility, (NAIF) will provide dual funding for projects in critical minerals and defense.
Asia Pacific held the largest market share in 2019, and it is expected to continue its dominance over the forecast period. Due to continuous investments and increased infrastructure projects, India was second in revenue. Mining companies have many opportunities in India, where there are significant exploration possibilities for iron ore and bauxite. The country's booming realty sector is expected to increase demand for metal mining equipment and contribute to regional growth.
Manufacturers have ample opportunity to improve their equipment because of the continuous support from government for mining exploration and development. The Government of India, for example, has permitted 100% foreign direct investment in this sector to explore metal and non-metal ore. The Ministry of Steel also aims to increase steel production to 300 million tonnes by 2030-31. These initiatives and support will encourage mining equipment manufacturers to set up a base in the country. This will increase the industry's growth over the coming years.
Latin America is becoming more popular due to increased mineral exploration activities. This can be attributed to large investments in this sector. Peru and Chile are home to large numbers of copper- and gold mines that contribute greatly to global metal exploration. Regional growth is also supported by favorable mining regulations, especially in Peru, Chile, Colombia. The region also has large copper, gold and iron deposits, which provide exploration opportunities. This increases the demand for equipment used in surface mining.
Companies are focusing on improving their after-service and service strategies in order to offer clients value-added services. Caterpillar, Inc., for example, aims to provide a superior customer experience and value-added services that transform traditional product support. This strategy has helped increase the company's sales, and will help strengthen its position in the aftermarket.
Major OEMs have been collaborating with other companies to develop components and bought-finished materials. This is done in an effort to lower manufacturing costs and increase competitive differentiation. Companies have a number of key strategies to retain customers. One of these is expanding their product ranges by creating the right differentiated products. Caterpillar, Inc.'s 20-ton class excavators, the next generation, have been able to reduce fuel consumption and maintenance costs, as well as increasing operational efficiency to meet cost- and productivity targets. The following are some of the most prominent players in the mining equipment industry:
Atlas Copco AB
Caterpillar, Inc.
Komatsu Ltd.
Sandvik AB
Up Market Research published a new report titled “Mining Equipment Market research report which is segmented by Equipment (Surface, Underground), by Application (Coal, Metal, Non-metal), By Players/Companies Atlas Copco AB, Sandvik AB, Caterpillar Inc, Komatsu Ltd”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.
Report Attributes | Report Details |
Report Title | Mining Equipment Market Research Report |
By Equipment | Surface, Underground |
By Application | Coal, Metal, Non-metal |
By Companies | Atlas Copco AB, Sandvik AB, Caterpillar Inc, Komatsu Ltd |
Regions Covered | North America, Europe, APAC, Latin America, MEA |
Base Year | 2020 |
Historical Year | 2018 to 2019 (Data from 2010 can be provided as per availability) |
Forecast Year | 2028 |
Number of Pages | 204 |
Number of Tables & Figures | 143 |
Customization Available | Yes, the report can be customized as per your need. |
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.
The market is segmented by Equipment (Surface, Underground), by Application (Coal, Metal, Non-metal).
Mining Equipment 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:
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.
We have studied the Mining Equipment 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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