Global excavator market to grow at CAGR of 2.7%
By the end of 2026, crawler excavators worth $76m are estimated to be sold across the globe.
Global demand for crawler excavator is expected to increase with growth in the mining, excavation, and construction sectors.
Over the years, usage of crawler excavators has increased significantly in these sectors owing to their superior functionality and efficiency as compared to the conventional systems.
Crawler excavators are becoming increasingly popular in construction and mining sites. They allow faster and safer removal of debris. With the help of crawler excavator, digging procedures have become much simpler and easier. Moreover, the arrival of more technologically advanced crawler excavators is also driving their adoption across sectors.
Increased automation coupled with rapid adoption of next-gen construction technology is expected to reflect favourably on the global crawler excavators market.
Manufacturers are also considering concepts such as driverless and self-managed vehicles.
At the same time, emphasis is also being placed on improving speed and payloads capacity to meet the fast-evolving industry requirements.
However, the high level of investment cost involved in installation of crawler excavator continues to hamper its adoption in small-scale construction or mining activities.
Market intelligence firm Future Market Insights (FMI) estimates that the global crawler excavator market will exhibit a CAGR of 2.7% during 2017–2026.
The global sales of crawler excavators currently accounts for more than 32% revenue share of the market. By the end of 2026, crawler excavators worth $76m are estimated to be sold across the globe.
Preference for crawler excavators with medium capacity is expected to remain high throughout the assessment period.
In terms of revenue, global sales of medium capacity crawler excavators currently represent for around 40% market share.
Crawler excavators with operating weights of 22,650–30,200kg will continue to find application in sectors such as construction and mining.
Wheeled excavator market to grow at a CAGR of 2% until 2021
Technology research and advisory company Technavio projects the global wheeled excavators market will grow $4.2bn by 2021, at a CAGR of nearly 2%, with a boost in construction of pipelines to provide essential services such as gas, water and sewage.
Technavio’s study finds the wheeled excavators market to be highly competitive with the presence of several fragmented vendors offering various models based on operating weight and engine rated power within the mini excavator segment. The accelerated growth of the construction market in China has led to the growth of new manufacturers in the excavator market. Riding on the construction boom and beneficial policies from China, these manufacturers have become global giants. The primary competitive factors among the market vendors are related to product design such as telescopic boom and knuckle boom, product price, product line in terms of attachments and size of the equipment, bucket and stick forces, digging and dumping height and after-sales service rendered by the manufacturers.
According to Technavio, the top five vendors in the global wheeled excavator market are Caterpillar, Hitachi Construction Machinery, Komatsu, Volvo Construction Equipment and Xuzhou Construction Machinery Group.
Tail swing to dominate compact excavator sales
Compact excavators have emerged as the preferred vehicles for performing high-level digging operations in cramped up spaces. Manufacturers are working towards improving the manoeuvrability of compact excavators for creating operational ease. Moreover, new compact excavators entering the market are being equipped with advanced function such as autonomous operability and telematics. In addition, several companies in the global compact excavators market are striving to develop compact excavators with low fuel consumption and reduced noise emissions.
Market research firm Fact.Mr estimates that by the end of 2026, over 173.6bn units of compact excavators will be sold across the globe, and nearly three-fourth of compact excavators sold in the global market will be used in construction sector.
Through 2026, the Asia-Pacific excluding Japan (APEJ) region is expected to dominate the global compact excavators market, by accounting for more than 40% share on global sales. Europe’s compact excavators market, on the other hand, is poised to expand at a CAGR of 2.8% during the forecast period, becoming the second-most leading market with high growth. On the basis of operating weight, the 1800–4500kg segment is likely to represent the leading segment in the global compact excavators market.
In 2017 and beyond, a majority of compact excavators sold in the global market will be tail swing. The demand for zero tail swing compact excavators, on the other hand, will gain traction by registering fastest growth in terms of volume. However, due to shortcomings of electric compact excavators in deep excavations, diesel compact excavators will remain predominant in the global market over the forecast period.