According to Transparency Market Research, the competitive landscape of the global construction equipment market is heavily consolidated, with Caterpillar, Komatsu and Hitachi accounting for roughly 50% of the market.
Caterpillar, the global leader, has made technological leadership a priority, along with strategic mergers and acquisitions to expand its overall portfolio.
The widespread regional coverage of Caterpillar’s operations means they have established firm connections with dealers and other components in the industry’s supply chain, helping hassle-free operation. Other leading players in the global construction equipment market include Atlas Copco Construction & Mining, Terex, Volvo, John Deere, Escorts, JCB Service and Doosan.
One of the prime driving factors for the construction equipment market is the steady development of the infrastructure in developing economies. Countries such as China, India, South Korea, Turkey, Brazil, South Africa and Argentina are witnessing rapid urbanization due to the high availability of lucrative opportunities in urban centers. This has led to a steady demand for urban infrastructure, providing a steady source of revenue for construction equipment manufacturers.
The consistent technological advancement in construction equipment has also been beneficial for the global market. Modern construction equipment features the use of automation technology and is significantly aided by computers, both of which make the construction equipment much more reliable. New construction equipment is also likely to consume less energy than conventional construction equipment, thanks to the widespread prevalence of environmental protection laws across the world.
