Construction Machinery Manufacturing in Canada - Market Research Report (2014-2029)
New York, United States
Last Updated: August 2024
NAICS 33312CARevenue
$3.4bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
10,979
Businesses
428
Wages
$XXX.Xm
Construction Machinery Manufacturing in Canada industry analysis
Construction machinery manufacturers have enjoyed modest growth. Manufacturers have benefitted from the US dollar strengthening relative to the Canadian dollar, pushing up exports. Still, climbing imports from the US and Japan hindered some growth for manufacturers, in terms of revenue and profit. Overall, industry-wide revenue has been climbing at a CAGR of 0.8% over the past five years and is expected to total $3.4 billion in 2024, when revenue will dip by an estimated 0.6%.
Trends and Insights
- Construction machinery manufacturers are navigating growth challenges but benefiting from diverse markets and government investments. While residential construction has declined because of rising interest rates, commercial building and infrastructure projects are flourishing, offsetting the downturn.
- Construction machinery parts and equipment sales are climbing as manufacturers pivot toward specialized components. This trend reflects a strategic shift from large machinery, catering to evolving market demands and specific project needs.
- Ontario's strategic location offers manufacturers close access to major markets. The province's well-developed transportation infrastructure and thriving manufacturing sector make it an appealing hub for businesses connecting with Canadian and US markets.
- Construction machinery manufacturers face significant challenges because of heavy import competition. Established brands from countries like the US and Japan dominate the market, intensifying the competitive landscape and putting pressure on domestic producers.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.8 % over the past five years, to reach an estimated $3.4bn in 2024.
Trends and Insights
Changing trends in downstream markets
- Low interest rates in 2020 and 2021 were a boon to construction machinery manufacturers as these low rates incentivized solid growth in residential construction, which was crucial to manufacturers as nonresidential construction activity plummeted and greatly disincentivized investment in machinery.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Government investment and potential rate cuts to spur growth in the residential market
- Given that residential construction contractors are a large market manufacturers serve, government investment in housing is beneficial. Housing investment will be crucial to expanding residential construction, particularly as interest rates remain high early. The increase in residential construction leads to a climbing investment in machinery.
Biggest companies in the Construction Machinery Manufacturing in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Black Cat Wear Parts | 118.8 | 7.5 | 6.3 | |
Deere | 60.2 | 3.7 | 6.1 | |
CWS | 32.8 | 2.0 | 6.1 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Lifting, handling, loading machinery , Other construction machinery and equipment including parts and Diesel powered trucks and parts. Lifting, handling, loading machinery is the largest segment of the Construction Machinery Manufacturing in Canada.
Trends and Insights
Diesel-powered trucks and parts sales fall
- This segment includes drive-axles, wheels and motor parts for these vehicles, some of the most exported products, primarily to downstream markets in the US, by construction machinery manufacturers.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Tractors & Agricultural Machinery Manufacturing in Canada
- Plastics & Rubber Machinery Manufacturing in Canada
Complementors
- Mining, Oil & Gas Machinery Manufacturing in Canada
- Semiconductor Machinery Manufacturing in Canada
International industries
- Construction Machinery Manufacturing in the US
- Mining and Construction Machinery Manufacturing in Australia
- Mining, Quarrying & Construction Machinery Manufacturing in the UK
- Mining, Quarrying & Construction Machinery Manufacturing in Ireland
- Construction Equipment Manufacturing in China
Table of Contents
About this industry
Industry definition
This industry manufactures construction machinery and equipment for use in residential, nonresidential, highway, street and other infrastructure construction. This industry does not manufacture agricultural or mining vehicles such as farming tractors or mining drills.
What's included in this industry?
Manufacturing construction machinery partsManufacturing trucks and other vehiclesManufacturing lifting and handling machineryManufacturing grading and excavating machineryManufacturing snowplowing machineryManufacturing machinery for handling stone, ore and mineralsManufacturing tractorsCompanies
Black Cat Wear PartsDeereCWSPurchase this report to view all 3 major companies in this industry.
Related Terms
DOZERNORTH AMERICAN FREE TRADE AGREEMENT (NAFTA)GRADINGIndustry Code
NAICS 333120 - Construction Machinery Manufacturing in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Construction machinery manufacturers are navigating growth challenges but benefiting from diverse markets and government investments. While residential construction has decli...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Construction machinery parts and equipment sales are climbing as manufacturers pivot toward specialized components. This trend reflects a strategic shift from large machinery...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Ontario's strategic location offers manufacturers close access to major markets. The province's well-developed transportation infrastructure and thriving manufacturing sector...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Construction machinery manufacturers face significant challenges because of heavy import competition. Established brands from countries like the US and Japan dominate the mar...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The market remains highly fragmented, with no company surpassing a 5.0% market share. This fragmentation is mainly because manufacturers concentrate on specialized components...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Black Cat Wear Parts's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Deere's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of CWS's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Black Cat Wear Parts, and factors influencing its performance in the industry
- Description and key data for Deere, and factors influencing its performance in the industry
- Description and key data for CWS, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Manufacturers must adhere to federal and provincial regulations governing production standards and wastewater discharge. Compliance with these rules is essential for construc...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Canadian manufacturing is facing significant labour shortages that have increased wage costs. In response, many companies are boosting wages and benefits to attract and retai...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Construction Machinery Manufacturing industry in Canada in 2024?
The market size of the Construction Machinery Manufacturing industry in Canada is $3.4bn in 2024.
How many businesses are there in the Construction Machinery Manufacturing in Canada industry in 2024?
There are 428 businesses in the Construction Machinery Manufacturing industry in Canada, which has grown at a CAGR of 3.1 % between 2019 and 2024.
Has the Construction Machinery Manufacturing industry in Canada grown or declined over the past 5 years?
The market size of the Construction Machinery Manufacturing industry in Canada has been growing at a CAGR of 0.8 % between 2019 and 2024.
What is the forecast growth of the Construction Machinery Manufacturing industry in Canada over the next 5 years?
Over the next five years, the Construction Machinery Manufacturing industry in Canada is expected to grow.
What are the biggest companies in the Construction Machinery Manufacturing market in Canada?
The biggest companies operating in the Construction Machinery Manufacturing market in Canada are Black Cat Wear Parts, Deere and CWS
What does the Construction Machinery Manufacturing in Canada include?
Manufacturing construction machinery parts and Manufacturing trucks and other vehicles are part of the Construction Machinery Manufacturing industry.
Which companies have the highest market share in the Construction Machinery Manufacturing in Canada?
The company holding the most market share in Canada is Black Cat Wear Parts.
How competitive is the Construction Machinery Manufacturing industry in Canada?
The level of competition is high and increasing in the Construction Machinery Manufacturing industry in Canada.
