Heavy Construction Equipment Market Overview
The heavy construction equipment market is projected to grow from US$ 224.15 billion in 2024 to US$ 338.06 billion by 2031, expanding at a CAGR of 6.16% from 2025 to 2031.
📚Download Full PDF Sample Copy of Market Report @
https://wwcw.businessmarketinsights.com/sample/BMIRE00031135
Executive Summary and Global Market Outlook
Heavy construction equipment comprises large-scale machinery and vehicles designed to perform critical functions such as excavation, lifting, material handling, and demolition in construction projects. These machines are fundamental to infrastructure development, enhancing operational efficiency and productivity on job sites.
The market’s growth is primarily fueled by rising government investments in infrastructure sectors, including transportation, renewable energy, and public utilities—particularly across emerging economies like India, Mexico, and Brazil. According to the World Bank, global infrastructure spending exceeds US$ 3.7 trillion annually to accommodate the needs of expanding populations.
Additionally, surging investments in clean energy infrastructure are significantly boosting market demand. The International Energy Agency (IEA) reports that over US$ 3 trillion was allocated globally in 2024 for clean energy-related infrastructure projects, further driving the adoption of heavy construction equipment across the globe.
Heavy Construction Equipment Market Segmentation Analysis
The global Heavy Construction Equipment Market is segmented based on machinery type, propulsion type, power output, and end-use industry. Each segment plays a vital role in shaping market dynamics and growth trajectories.
By Machinery Type
- Earthmoving Equipment
- Material Handling Equipment
- Heavy Construction Vehicles
- Others
In 2024, the earthmoving equipment segment held the largest market share and is projected to maintain its dominance throughout the forecast period. Earthmoving machinery such as excavators, bulldozers, backhoe loaders, and wheel loaders are essential in large-scale infrastructure projects. Rising global infrastructure investment—such as Germany’s US$ 280.68 billion Federal Transport Infrastructure Plan 2030—is driving demand. Additionally, advancements like Volvo’s electric L120 Electric Wheel Loader, launched in September 2024, are accelerating segment growth.
By Propulsion Type
- Internal Combustion Engine (ICE)
- Electric
The ICE segment dominated the market in 2024, driven by the widespread adoption of diesel-powered equipment like excavators, dump trucks, cranes, and loaders. Diesel engines offer high fuel efficiency and are well-suited for heavy-duty operations, with established supply chains ensuring operational reliability. However, electric equipment is gaining traction as companies invest in sustainable construction solutions.
By Power Output
- Less than 100 HP
- 101–200 HP
- 201–400 HP
- Above 401 HP
In 2024, the 201–400 HP segment accounted for the largest market share. This category of machinery offers an ideal balance of power and efficiency for mid- to large-scale construction projects, making it the preferred choice among contractors and developers globally.
By End-Use Industry
- Building and Construction
- Forestry and Agriculture
- Energy and Power
- Mining
- Others
The building and construction segment led the market in 2024, supported by growing urbanization, commercial development, and public infrastructure projects. Increased public and private investment in housing, transport, and commercial real estate is fostering demand for heavy construction equipment globally.
Market Drivers and Opportunities
1. Surge in Global Construction Investments
The construction industry is expanding rapidly, fueled by substantial public investments and rising demand for infrastructure. Notable markets such as the US, China, Mexico, Brazil, and India are witnessing unprecedented growth. For instance:
- The US construction sector receives investments exceeding US$ 1.4 trillion annually, per AGC.
- The Bipartisan Infrastructure Law in the US allocated ~US$ 1.2 trillion, while the EU Infrastructure Development Fund committed US$ 828.8 billion, catalyzing market expansion.
In Asia Pacific, where infrastructure is under pressure from population growth, the construction market was valued at US$ 4.36 trillion in 2022, contributing nearly 45% of the global total. Countries like India, China, Japan, and Australia are leading regional growth, driving robust demand for heavy equipment.
2. Infrastructure Developments in Emerging Economies
Emerging economies such as Argentina, Brazil, China, India, Indonesia, Mexico, South Korea, and South Africa are executing large-scale infrastructure projects. Examples include:
- China: Projects like the Hong Kong-Zhuhai-Macau Bridge, Beijing Subway Network, and Giant Wind Turbines.
- India: Smart city initiatives, highway expansion, and metro rail development.
- Europe: Projects like Crossrail (UK), Baltic Offshore Pipeline, and Evora Public Central Hospital (Portugal) are boosting regional equipment demand.
These initiatives are creating lucrative opportunities for manufacturers and suppliers of heavy construction equipment, especially as governments aim to improve transportation, energy, and urban infrastructure.
Market leaders and key company profiles
JC BAMFORD EXCAVATORS LTD
AB VOLVO
CATERPILLAR INC
HITACHI LTD
HYUNDAI CONSTRUCTION EQUIPMENT CO LTD
DOOSAN CORP
CNH INDUSTRIAL NV
DEERE & CO
KOMATSU LTD
LIEBHERR
Heavy Construction Equipment Market Report Coverage and Deliverables
The “Heavy Construction Equipment Market Size and Forecast (2021–2031)” report provides a detailed analysis of the market covering below areas:
- Heavy Construction Equipment market size and forecast at global, regional, and country levels for all the key market segments covered under the scope
- Heavy Construction Equipment market trends, as well as market dynamics such as drivers, restraints, and key opportunities
- Detailed Porter’s Five Forces and SWOT analysis
- Heavy Construction Equipment market analysis covering key market trends, global and regional framework, major players, regulations, and recent market developments
- Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments for the Heavy Construction Equipment market
- Detailed company profiles
Geographic Scope and Market Overview
The Heavy Construction Equipment market report encompasses five key regions: North America, Asia Pacific, Europe, the Middle East & Africa, and South & Central America. Among these, Asia Pacific is expected to witness significant growth over the forecast period.
Within Asia Pacific, the market is further segmented into Australia, China, India, Japan, South Korea, Indonesia, Singapore, Malaysia, the Philippines, Vietnam, and the Rest of Asia Pacific. In 2022, the construction sector in this region generated approximately US$ 4.36 trillion in output, accounting for around 45% of the global construction market.
Infrastructure investment has been robust. In January 2025, Singapore and Malaysia recorded combined investments of US$ 21.9 billion in sectors such as transportation, renewable energy, and manufacturing. Meanwhile, New Zealand is prioritizing the development of essential infrastructure, including water and wastewater systems, road and rail networks, power transmission, and telecommunications. The New Zealand government has earmarked nearly US$ 47 billion for infrastructure development between 2023 and 2027.
Rising urbanization and population growth are intensifying the demand for infrastructure upgrades and expansion across Asia Pacific. These trends are expected to fuel construction activity and, consequently, the demand for heavy construction equipment across the region.
Heavy Construction Equipment Market Report Structure
The report delivers both qualitative and quantitative insights, segmented by type, vehicle type, end user, and geography. Below is a chapter-wise overview:
- Chapter 2: Key Takeaways – Highlights major trends and future market outlook.
- Chapter 3: Research Methodology – Details the methodology adopted for the study.
- Chapter 4: Ecosystem & Porter’s Analysis – Offers ecosystem mapping and competitive forces evaluation.
- Chapter 5: Market Dynamics – Covers drivers, challenges, opportunities, and future trends, including impact analysis.
- Chapter 6: Market Overview – Presents historical data and forecasts up to 2031.
- Chapters 7–9: Market Segmentation – Analyze market trends and forecasts by type, application, and region.
- Chapter 10: Competitive Analysis – Includes heat map and strategic positioning of key players.
- Chapter 11: Industry Landscape – Provides insight into market initiatives, mergers, new developments, and strategic collaborations.
- Chapter 12: Company Profiles – Detailed profiles of leading market players, including key facts, product offerings, financials, SWOT analysis, and recent developments.
- Chapter 13: Appendix – Lists abbreviations, disclaimers, and company overview.
Recent Market Developments
The Heavy Construction Equipment market is evaluated through both primary and secondary research, utilizing company reports, industry association data, and reliable databases. Notable recent developments include:
- Hitachi Construction Machinery Co., Ltd. announced the establishment of Hitachi Construction Machinery Development Center India Private Limited in December 2024. This new subsidiary will focus on developing and designing construction machinery in India, aiming to scale to 200 engineers and designers by FY2027, leveraging local expertise in IT and mechanical engineering.
(Source: Hitachi Construction Machinery Co., Ltd., Press Release, December 2024) - HD Hyundai Construction Equipment North America expanded its HX crawler excavator lineup with two large-frame mass excavators: the HX800A L (82 tons, 528 hp) and HX1000A L (100 tons, 620 hp). These machines are built for demanding earthmoving, mining, and quarrying operations.
(Source: HD Hyundai Construction Equipment, Press Release, August 2024)
About Us:
Business Market Insights is a market research platform that provides subscription service for industry and company reports. Our research team has extensive professional expertise in domains such as Electronics & Semiconductor; Aerospace & Défense; Automotive & Transportation; Energy & Power; Healthcare; Manufacturing & Construction; Food & Beverages; Chemicals & Materials; and Technology, Media, & Telecommunications
Author’s Bio
Akshay
Senior Market Research Expert at Business Market Insights
